Bitcoin’s Resilience in Face of Surging US Debt
Amidst a backdrop of an impending global financial crisis and the ever-growing national debt of the United States, the US Department of Treasury has recently elevated the country's debt by an amount exceeding half of Bitcoin's entire market capitalization in a single day.
To be precise, the US national debt ballooned by $275 billion within a 24-hour period, reaching an unprecedented high of $33.442 trillion. In comparison, at the time of this report, Bitcoin’s total market capitalization stood at $536.69 billion, as confirmed by Samson Mow, CEO of Pixematic and JAN3, in a post on October 4.
Samson Mow, who is also a key strategist behind El Salvador’s Bitcoin bonds initiative, highlighted that the staggering US debt figure is roughly equivalent to 10 million BTC. He also commented on the ongoing debate surrounding whether the current Bitcoin price of around $27,500 is a favorable entry point, considering the state of the flagship DeFi asset.
In a single day, the US added more than half of #Bitcoin’s entire market cap in debt. That’s something like 10 million @BTC. And yet there are still people that are unsure if $27k is a good price to buy. pic.twitter.com/RMxdzB01yL
— Samson Mow (@Excellion) October 4, 2023
Despite Bitcoin’s current price being significantly higher than its early days, it remains considerably below its all-time high (ATH) of $69,000, achieved in November 2021. This discrepancy has prompted many cryptocurrency traders and investors to consider this juncture as an opportune moment for acquiring Bitcoin.
Among these proponents is Robert Kiyosaki, renowned author of the bestselling personal finance book ‘Rich Dad Poor Dad.’ Kiyosaki recently shared his perspective that Bitcoin remains a relatively affordable investment at present. Still, he anticipates a shift in sentiment as more individuals recognize its merits and rush to invest, ultimately driving up its price.