US Government Coordinates to Suppress Bitcoin Price Before Hyperinflation Takes Off: Macro Investor Luke Gromen

US Government Coordinates to Suppress Bitcoin Price Before Hyperinflation Takes Off: Macro Investor Luke Gromen

Macro investor Luke Gromen says the US government is likely trying to control the price of Bitcoin (BTC) ahead of the possibility of hyperinflation.

In an interview with Peter McCormack on the What Bitcoin Did podcast, the founder of investment research firm Forest for the Trees says that the US government does not want assets like Bitcoin or gold to rise, as it could damage confidence in their economic policies.

“[US authorities] don’t want things to go up that do [them] look bad. If the stock market goes up a ton, there aren’t going to be any Americans saying “you guys are terrible.” The stock market is up 100% a year for three years, people will love it. They won’t ask many questions. If Bitcoin goes up 500% a year for three years, or if gold goes up 200% a year for three years, more questions start to arise.”

Ahead of a possible rise in inflation, Groman says the US could try to limit the use of crypto in a coordinated attack on digital currencies that many refer to as “Choke Point 2.0”, or a series of unreasonable regulatory actions in space.

“They need to inflate, and by delaying inflation as much as they already have, they increase the chances they need to make a very compressed period [of inflation]. And then I look at Operation Choke Point 2.0… Geez, it sure looks like they’re trying to chain the theater doors before lighting the joint on fire.

…They’re starting to see the inevitability of where policy has to go, which is a compressed period of high inflation rates, and I don’t know if it’s 100 (% inflation) or if it’s 20. For me, 100 a year is still a tail risk, but that tail has become significantly fatter in the last two or three years.

For I, Choke Point 2.0, within this, is beginning to look like a capital control of an asset class that certain elements of the government do not want to go up as a result of what they are doing or what they are going to do. “

Don’t Miss a Beat – Subscribe to get crypto email alerts delivered straight to your inbox

Check price action

Follow us on TwitterFacebook and Telegram

Surf The Daily Hodl Mix

See also  A publicly traded bitcoin whale has an obvious (paper) loss.

Check the latest news headlines

&nbsp

Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making high-risk investments in Bitcoin, cryptocurrency or digital assets. Please note that your transfers and trades are at your own risk and any losses you incur are your responsibility. The Daily Hodl does not recommend the purchase or sale of cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.

Featured image: Shutterstock/Mfaqihh

O

You may also like...

Leave a Reply

Your email address will not be published. Required fields are marked *