The Anti-Bitcoin Bubble Is About to Burst
More and more Bitcoin’s opponents are finally becoming pragmatic.
Bitcoin’s opponents have been explaining for many years that Bitcoin is a bubble that will burst sooner or later. The bear market that took place in 2018 in the Bitcoin market was the ultimate proof for all these opponents that Bitcoin was a bubble.
Bitcoin went from a price of $20,000 at the end of 2017 to just over $3,000 at the end of 2018.
Many opponents believed that Bitcoin would then slowly but surely see its value go towards zero. The Bitcoiners may have explained that the bear market made sense given the surge in Bitcoin price after its second Halving, but the opponents didn’t want to hear anything.
The anti-Bitcoin bubble has been growing steadily in recent years
In 2018, the attacks of the anti-Bitcoin have redoubled in intensity.
The arguments used are always the same. Bitcoin is said to be a Ponzi scheme, a scam that will end very badly for its users. For Warren Buffett, Bitcoin is comparable to “Rat poison squared”.
Warren Buffett Calling Bitcoin “Rat Poison Squared” Is a Great Reason to Buy Some
Bitcoin is a total paradigm shift that is reshuffling the cards.
Governments, banks, and famous economists such as Joseph Stiglitz, attacked Bitcoin, explaining that apart from money laundering, Bitcoin was hardly ever used.
Others were more original in explaining that Bitcoin was bad for the environment. The fact that its consensus algorithm, the Proof-of-Work, was extremely energy-consuming made Bitcoin bad for the environment.
Recent studies have proven that Bitcoin’s energy consumption is not its Achilles Heel since it comes mainly from renewable energies. Bitcoin is climate-friendly.
Donald Trump, the President of the United States, tweeted in July 2019 that Bitcoin was worthless because it was created out of thin air.
Even within the cryptocurrency industry, Sh*tcoins’ supporters don’t hesitate to criticize Bitcoin by explaining that its technology is outdated. The fact that Bitcoin cannot validate more than 7 transactions per second indicates a major scalability problem for these Sh*tcoiners.
Listening to these Sh*tcoiners, Bitcoin could never be a means of payment in everyday life for the general public.
Of course, their Sh*tcoin, with its supposedly superior technology on paper, would be the ideal replacement for Bitcoin.
Finally, some fans of highly confidential cryptocurrencies, such as Monero, never hesitate to criticize the fact that Bitcoin is only pseudonymous, while their favorite cryptocurrency is truly anonymous.
And then, from April 2019, Bitcoin price started to rise again.
Bitcoin price exceeded $10,000 on June 22, 2019, before reaching $13,000 at the end of the month.
Bitcoin’s opponents began to wonder but continued to use the same clichés to denigrate the king of cryptocurrency.
Bitcoin always comes out stronger from all the attacks it receives
Yet, once again, Bitcoin, which had been announced dead throughout 2018, had proved to its critics that like a phoenix it is rising stronger and stronger from its ashes. The more Bitcoin is pronounced dead, the stronger it grows.
Bitcoin Is Like a Phoenix That Grows Stronger After Each of Its Obituaries
Bitcoin will recover even stronger from the crisis the world is going through.
Since its creation, Bitcoin has grown up in this hostile climate of people who find themselves disrupted by this unique invention in the history of mankind.
Feeling threatened by the freedom Bitcoin gives its users, the powerful at the head of the current monetary and financial system have always adopted the same strategy: criticize Bitcoin with false arguments in an attempt to discredit it among the general public.
This behavior of governments, banks, and economists has created a bubble in the Bitcoin world.
While they explained that Bitcoin was a bubble, these powerful people from the old system created an anti-Bitcoin bubble. Within this bubble, they tried to blind a majority of people.
The fact that the education system does not teach us anything about how money works has greatly helped their actions.
Many preferred not to come and find out for themselves what Bitcoin was because they thought it was extremely dangerous. Hearing Donald Trump saying that Bitcoin was worthless was enough to convince them.
The saddest part of the story is that so many people have blind faith in what Donald Trump said, while his economic skills are far from being recognized. In my opinion, he has discredited himself with his tweet.
Bitcoin is attacked with false arguments
Attacking Bitcoin by explaining that it has no value because it can be created out of thin air is quite ironic when you consider that it is the US dollar, and fiat currencies, that can be created that way.
Bitcoin is hard-capped, and there will never be more than 21 million units created.
Each Bitcoin is created by a very specific process that does not depend on any arbitrary human decision. Everything is predictable with Bitcoin, and that is what gives so many guarantees to its users in this uncertain world.
Many of Bitcoin’s opponents watched with undisguised joy the Bitcoin Black Thursday in March 2020. Seeing Bitcoin price drop more than 50% in a few hours, from $8,000 to $3,800, allowed them to criticize Bitcoin’s volatility.
Some even went so far as to say that this economic crisis, triggered brutally by the coronavirus pandemic, would bring about the end of Bitcoin.
Once again, they were wrong, and Bitcoin saw its price rebound sharply to $10,000 in early May 2020 just before its third Halving.
The 2020 economic crisis is a turning point for Bitcoin’s opponents
This is the moment that macro investor Paul Tudor Jones chose to explain to his investors that in the face of the great monetary inflation, he was opting for Bitcoin instead of gold.
The actions of the various central banks around the world to print more than 10,000 billion dollars of fiat money required radical measures to guard against the inflation that was coming.
In this context, Paul Tudor Jones explained that he chose Bitcoin as the fastest horse in the race for profits in 2020.
Paul Tudor Jones even admitted that Bitcoin now represented 2% of his assets. It was no longer a question of whether you like Bitcoin or not, but simply of being pragmatic.
Bitcoin Is the Fastest Horse in the Profits Race
Whether you like Bitcoin or not, it’s an undeniable reality.
Shortly afterward, JPMorgan, which has always been one of the most fierce opponents of Bitcoin, radically changed its position. Jamie Dimon, the JPMorgan, first explained that he regretted having repeatedly declared Bitcoin was a fraud in the past.
Jamie Dimon went on to say that Bitcoin had just proven its resilience in the midst of amid the liquidity crisis that hit the markets in March 2020. For him, the future of Bitcoin is now assured. The possibility of Bitcoin falling to zero and then disappearing is no longer an issue.
Therefore, JPMorgan no longer has a reason to see Bitcoin as an enemy. America’s largest bank then announced that it would offer its banking services to the Coinbase and Gemini cryptocurrency trading platforms. A combination that could herald more ambitious collaborations in the future.
Entering the Bitcoin world becomes an obligation in 2020
Since the beginning of June 2020, Grayscale investments has made the headlines several times. The investment fund specialized in cryptocurrencies has been accumulating an incredible number of Bitcoins since the beginning of 2020.
Grayscale has thus purchased for its customers more Bitcoins than the supply of new Bitcoins produced since the third Halving which took place on May 11th, 2020.
The clients of Grayscale investments are mainly institutional investors. This confirms that more and more former opponents of Bitcoin are starting to be pragmatic in their decision to buy Bitcoin.
In the second half of June 2020, a rumor also appeared in the Bitcoin world that PayPal was about to offer its clients to buy/sell Bitcoin directly from its platform.
Again, we are talking about a long-time Bitcoin opponent who would realize that Bitcoin is here to stay. Rather than wasting time by fighting Bitcoin unnecessarily, it is better to embrace the Bitcoin revolution as soon as possible.
This news is important because it would give the 325 million PayPal users access to purchase Bitcoin.
So far, PayPal has neither confirmed nor denied this rumor, which has given rise to a whole bunch of fantasies. If this is confirmed in the coming weeks and months, I wouldn’t be surprised in the future to see a giant like Amazon offering payment in Bitcoin on its platform.
Bitcoin’s Adoption: Today PayPal, Tomorrow Amazon?
Bitcoin’s adoption is accelerating strongly.
Finally, at the beginning of July 2020, Bank of America has just made an official communication to its customers explaining that the bank was changing the conditions of use of their credit card.
Bitcoin and cryptocurrencies are now considered equivalent to cash:
“The section titled Types of Transactions has been revised to clarify that cryptocurrency is considered a Cash Equivalent treated as a Cash Advance.”
This change in attitude by Bank of America is of course not disinterested since transactions considered as “Cash Advance” have aggregate fees of around 5%.
Some will argue that the positions of JPMorgan or Bank of America change as their interests change. However, this is an indication that Bitcoin is being taken seriously.
To see all these historical opponents of Bitcoin gradually changing their opinion on the king of cryptocurrency is something strong.
It indicates that the anti-Bitcoin bubble is about to burst.
More and more people are realizing the obvious about Bitcoin. It is much more than a fad, or a speculative bubble, that is about to disappear.
Bitcoin is a real monetary revolution, and the powerful people in the current system will not be able to continue to ignore it. In the months and years to come, it will be the turn of governments to take Bitcoin into account. They will have no choice but to ignore this revolution that is emerging from the people.
For all Bitcoiners who support Bitcoin no matter what, the good news is that the best is yet to come in the future. For others, the sooner they realize that they need to enter the world of Bitcoin, the sooner they will be able to make the right decisions for their future.