Asset manager Charles Edwards has pointed to the present market condition as a remarkable opportunity to accumulate Bitcoin. He has become the latest analyst to emphasize the strength of the cryptocurrency’s fundamentals which indicate a major price rebound on the horizon. DATA AND FUNDAMENTALS REMAIN STRONG Edwards encourages crypto investors to trust the data rather than the present Bitcoin price. All signs point to a significant recovery. Many other analysts have made the same assertion. In fact, long before COVID-19 began to impact the global economy Bitcoin was on track to have its strongest year ever, and every fundamental indicator remains the same. Edwards has tweeted: Holding #Bitcoin in 2020 is like shorting the housing market in 2008. It will hurt in the short term, but you know how the story ends.#TheBigShort pic.twitter.com/tuxaiz3T5c — Charles Edwards (@caprioleio) March 22, 2020 He is referencing the significantly over-leveraged housing bubble of 2008, which only a handful of wise analysts understood was unsustainable. As with all bubbles, the pop caused huge losses, yet investors that saw the crash coming and shorted the market reaped huge rewards. This month has seen governments across the globe begin to take aggressive steps designed to lessen the impact of the impending economic crisis. These solutions may result in short-term relief, yet could be very bad over time. It is in this context that buying Bitcoin becomes an even more attractive option. For example, the U.S Federal Reserve just eliminated reserve requirements banks must have for lending. Edwards, along with many others, believes that these moves are all but certain to send inflation through the roof and potentially open the door to massive bank failures down the road.. Last week the Fed abolished fractional reserve banking… Now banks don't need to hold any cash that has been deposited and can lend at will. We went from: 1861 – A gold standard1971 – To currency backed by nothing2020 – To no accountability .. I am sure this will end well. pic.twitter.com/fzUx0LhylY — Charles Edwards (@caprioleio) March 21, 2020 The Fed has also cut interest rates to zero percent. This move along with a potential multi-trillion dollar handout to the public will go far to ease the financial pain felt by millions of Americans. Nevertheless, these steps come at a steep cost that are presently unpredictable. BITCOIN VALUE SHOWS STABILITY Although volatility is strong, Bitcoin has hovered around USD $6,000 for a few days. Interest appears to be growing among crypto investors looking for a bargain, which could push the price back up. The same is true with the altcoin market, which may have finally found a price floor. It is worth noting that the block reward halving remains on track for May. Few doubt that this event will result in a market boost. Even if minor, a positive move will serve to demonstrate that the window to pick up Bitcoin and other crypto assets at a discount will soon close. Do you think now is a good time to accumulate more Bitcoin? Add your thoughts below! Images via Shutterstock, Twitter @caprioleio
Originally from Bitcoinist.com https://ift.tt/33DDzak
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