Bitcoin is the most widely acceptable and valuable crypto-asset. It is also the most preferred asset among institutional investors. Cameron Winklevoss, the co-founder of the Gemini crypto exchange, has pointed out there is a sudden rush among the investors to have a share of Bitcoin. There has never been a better time to buy Bitcoin as consumer prices have grown by 0.6%, which signals that consumer spending may be on the upside as more and more Americans are returning to work. The inflation has gone up in the US last month, which probably suggests that deflationary pressures from the lockdown have come down. So this is the best time to yearn for Bitcoin.
The Consumer Price Index or CPI has seen the most significant monthly jump in July. The CPI is essential as it is used to measure inflation, deflation, and other data. The core CPI has seen the most substantial rise in a month in about 30 years. The annual inflation rate is 1.6%, which is also the highest in four months after June saw a core inflation of 1.2%.
The financial experts are much concerned about lowering the value of the USD, and this has led many high-profile investors to turn their attention to Bitcoin to hedge against the risks posed by inflation. Many investors are not in favor of Bitcoin, but they do recognize the potential during this period when some of the most unorthodox economic policies are in place. The various corporations are looking towards Bitcoin for a sense of certainty in the apprehension of fiat debasement. MicroStrategy, the software company, has already announced plans to invest as much as USD 250 million of capital in Bitcoin and precious metals to ensure a healthy and robust capital base in the face of weakening dollars. As many as 30 million unemployed Americans rely on cash handouts, the stimulus measures have led to inflation pressures. If such a trend continues for long, then the desire to own Bitcoins will only increase steadily.