Will Bitcoin Benefit From the Declining Dollar?
The U.S. dollar has been put under the limelight for an array of reasons. BRICS undoubtedly tops the list after its De-dollarization initiative. Amidst this, Stanley Druckenmiller, a billionaire investor, disclosed that he has shorted the U.S. dollar. He believed the Federal Reserve would soon need to lower interest rates due to a setback in the economy. In what he described as the most uncertain phase of his career, he claimed the move is his lone confident trade while speaking at an event. He added, “One area I’m comfortable with is I’m short the US dollar. Currency trends tend to run for two or three years. We have had a long [run] higher.” The investor believed that the dollar would continue to decline. Druckenmiller pointed out that Fed will take action to counteract the impacts of a downturn in the economy. However, if interest rates decrease the value of the dollar will tag along. While it is certainly bad for the dollar, Bitcoin [BTC] and other investments...