US Will Collapse! Stunning Prediction for Bitcoin and Altcoins from Legendary Investor! - COINTURK NEWS
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US Will Collapse! Stunning Prediction for Bitcoin and Altcoins from Legendary Investor!

12:23 pm (80 days ago)
July 15, 2023

Jim Rogers, the co-founder of Soros Fund Management, a hedge fund that manages approximately $5.65 billion, has painted a bleak picture for the US, which has reached and continues to increase its debt to massive levels. Rogers’ positive scenario for Bitcoin and altcoins could be indicated by this.

“US Will Do What It Knows Best”

Legendary investor Jim Rogers stated in his recent interview with Sputnik International that the US has transformed from a creditor nation to the world’s largest debtor nation in half a century. According to Rogers, the country’s debt problem, which has reached $32.47 trillion and is rapidly increasing, will eventually reveal its ugly face in the form of persistent high inflation and higher interest rates:

In the 1970s and 1980s, the last time we faced a problem like this, interest rates on government bonds and securities rose to 21% because inflation was very bad. Now inflation is even worse. In 1980, the US was still a creditor nation. Now it is the world’s largest debtor nation. Of course, everything seems fine right now. Things have calmed down at the moment, but it won’t continue like this forever.

Someone has to pay this debt. Someone has to print more money. Someone has to borrow more. And when you borrow in large amounts, interest rates will rise. Inflation will rise because a lot of money will be printed.

The legendary investor warned that the country’s continuously high and increasing debt will make the next economic crisis the biggest crisis in our lives, saying, “We had a similar problem in 2008. When we have a similar problem next time, it will be the worst problem in my life, and it means the worst problem in your life. We had a big problem due to high debt in 2008. Since 2009, debt has been rapidly increasing everywhere. Therefore, the next economic crisis has to be very, very serious because the debt is much bigger.”

Rogers also stated that the US government, along with the Fed, will not have enough tools to sufficiently control the next crisis, saying, “They only know how to print money. They will print money. They may activate more control mechanisms. They will probably apply more control. This is something they always like to do. It usually makes things worse, but it’s the only thing they know how to do.”

The Congressional Budget Office (CBO) recently released a report predicting that the national debt will exceed the country’s gross domestic product (GDP) in the next 30 years. The CBO estimates that the national debt will reach approximately $144 trillion by 2053, nearly triple the country’s GDP.

How Can the Prediction of the Famous Figure Affect Bitcoin and Altcoins?

Market experts and analysts emphasize that the realization of Rogers’ prediction will be positive for the cryptocurrency market at some point. The basis of this positive scenario is that monetary expansion will replace monetary tightening.

As it is known, a high-interest environment has a negative impact on the cryptocurrency market, but the main negativity stands out as monetary tightening. However, if, as the legendary investor predicts, monetary expansion replaces monetary tightening in the US and inflation increases, those who want to protect themselves can flock to Bitcoin (BTC) and altcoins. The most recent example of this was seen during the period when the new type of coronavirus (COVID-19) pandemic started in the US. The Fed, which initiated monetary expansion to support the economy, injected $5 trillion into the markets. This injection triggered a rally in the altcoin market along with BTC and brought new records.

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