We are now 3 days into a significant cryptocurrency sell off, which I predicted would happen in an article I published here on Steemit 8 days ago, just 5 days before it started.
Here is a link to that article: https://steemit.com/money/@marketreport/watch-for-a-short-lived-bitcoin-smack-down-here-s-why-by-gregory-mannarino
Now, I believe that a sharp move higher with regard to cryptocurrency is very close.
In the article I published 8 days ago I said specifically, that this sell-off would be short lived and would present a buying opportunity, and I still stand by that statement.
The fact of the matter is simple.
Current geopolitical events and hyper-inflated global debt (which will get monumentally worse) makes assets like Gold, Silver, AND cryptocurrencies very attractive moving forward. (See "A WARNING" Bottom of page).
I have been saying for years that we need to "bet against the debt" and "become our own central bank" as the current global debt is in a mega-bubble beyond anything that has ever been seen, or even imagined before.
The current central bank engineered risk-on environment, that is cash being "forced" into what is already a stock market bubble, will at one point be "risk-off." How do we know this? Because it is a repetitive pattern which happens in cycles and it will happen again. The current inflated stock market is a "symptom" of a global debt market mega-bubble. Once this debt mega-bubble bursts, a tsunami of cash will explode, coming out of the debt market which will cause a rapid and sharp spike in interest rates. Once this happens, and it will, the rising rate environment will put enormous pressure on stocks which will also sell-off rapidly. Cash then leaving both the debt market and stocks will simply look for places to go, and it will go into suppressed assets. Commodity prices, which include Gold, Silver, Crude, AND in my opinion, cryptocurrencies would potentially skyrocket in price.
Fiat currency, which include the US dollar, are debt units that are owned, and owed back to the issuing central bank plus interest which they print out of thin air.
When the global debt hits a "maximum saturation point" the dollar and other fiat currencies will bleed off massive amounts of purchasing power and dollar denominated assets, commodity prices, will rocket higher based in dollars.
Cryptocurrencies are not debt based units like the Dollar, Euro, etc. Nor are they owned or owed back to an issuing central bank. The holder of a cryptocurrency owns it outright, and there's where its value is.
The same can be said for an individual who holds a physical piece of Gold or Silver which have proven to be "real money" and holders of value for thousands of years.
Moreover and in conclusion, the current global debt issue is a Human survival problem, engineered by world central banks who have forced us to borrow, and steal, from future generations, (those who are not even born yet), just to sustain the/OUR current environment. The worst part is world leaders colluding with their respective central banks MUST borrow more every day in greater and greater amounts to sustain the current environment. This collusion includes finding and creating ANY reason to continue to borrow, then "sell it" to the public.
The human survival issue with regard to all this borrowing will have a terrible toll when we hit that "maximum saturation point" with regard to debt. When the debt mega-bubble bursts, and the credit card is maxed out, a worldwide resource issue will ensue. There will be a freezing up of the credit markets, transactions will halt, businesses will shut down, and we will find ourselves in another Great Depression magnitudes worse than the last one.
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