Clear Signs of Economic DEFLATION: But Bitcoin above $50,000 in USD fiat, do the fundamentals support it? – August 23, 2021,

The rising price of Bitcoin in the modern economy seems rather fraudulent to me, it might not be, but my sources as well as the fundamentals suggest that the price of Bitcoin in U.S dollars is being manipulated. I say this only to say that risking the house and the farm on the USD price of Bitcoin rising might be something you’ll want to monitor closely.

Even with zero percent interest rates along with the likelihood that the U.S and other governments will buy votes with money BORROWED out of thin air, all charts point to deflation, I could argue that Bitcoin is getting ahead of the inevitable, but the reality is that more fiat cash can purchase fewer real goods and services, which points to deflation unless the government makes a Universal Basic Income permanent, which is also deflationary for the ECONOMY.

What does seem likely is forced austerity measures in the very near future, because as I’ve stated in prior posts, the problem is not so much the central banks as it is the politicians. We’re currently in a very progressive political cycle, even the former Republican President attempted to buy votes, so clearly, the markets are in a “progressive” cycle and this equates to artificial inflation.

Because the private sector is operating in the real economy and the governments are operating in a make-believe economy, it will take some years for the markets to rediscover prices, now on the surface this sounds like economic inflation, but it’s not, this is fiat price inflation, which is also economic DEFLATION.

Higher fiat prices, purchase fewer goods and services and being that most of the rich people in the world are in debt positions if prices were allowed to deflate with the economy deflating, asset prices would deflate. The Gold and Silver prices continue to retreat and I suspect they will retreat further as people are running out of fiat money.

If the Gold and Silver prices start rising while the U.S dollar is losing its value that’s a clear sign that the U.S dollar is in trouble, where Bitcoin comes into all of this is that Bitcoin is derivative or an improvement of the current DIGITAL dollar.

Most of the U.S dollars in circulation today are digital dollars, now the digital U.S dollars I’m talking about now shouldn’t be confused with a Fed-coin, which I personally believe might be the equivalent to a food stamp dollar in the future, digital U.S dollars can become decentralized the moment they’re withdrawn from an ATM and that cash can remain decentralized, whereas Bitcoin always has to be plugged back into the matrix, it’s a digital asset, not digital money and therefore as an asset one must look at Bitcoin the way it would any asset.

As I’ve stated in the past, being that Bitcoin can be tracked, it can also be taxed, now similar to the U.S dollar bitcoin spenders can avoid the regulators and the governments, the issue is that Bitcoins true value is valued in U.S dollars meaning it has no proven price discovery otherwise.

The charts all point to economic deflation which is a reflection on the declining price of Gold and Silver. The U.S dollar is a derivative of Gold and Bitcoin is a derivative of the U.S dollar so although Bitcoin should be worth more than 1 U.S dollar, one has to ask if one Bitcoin is worth $50,000US Dollars in a deflationary economy?

At the moment that markets say yes!

Bitcoin crosses $50,000 as PayPal offers crypto products in UK | yahoo.com

Interesting times ahead