{"id":127829,"date":"2020-12-07T12:22:42","date_gmt":"2020-12-07T09:22:42","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/new-us-stimulus-brexit-and-20k-5-things-to-watch-in-bitcoin-this-week\/"},"modified":"2020-12-07T12:22:42","modified_gmt":"2020-12-07T09:22:42","slug":"new-us-stimulus-brexit-and-20k-5-things-to-watch-in-bitcoin-this-week","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/new-us-stimulus-brexit-and-20k-5-things-to-watch-in-bitcoin-this-week\/","title":{"rendered":"# New US stimulus, Brexit and $20K: 5 things to watch in Bitcoin this week"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_85 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a3fa8a9d425f\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a3fa8a9d425f\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/new-us-stimulus-brexit-and-20k-5-things-to-watch-in-bitcoin-this-week\/#7_trillion_money_printing\" >$7 trillion money printing?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/buradabiliyorum.com\/en\/new-us-stimulus-brexit-and-20k-5-things-to-watch-in-bitcoin-this-week\/#Stimulus_coming_but_without_checks\" >Stimulus coming but without checks<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/buradabiliyorum.com\/en\/new-us-stimulus-brexit-and-20k-5-things-to-watch-in-bitcoin-this-week\/#UK_meets_its_Brexit_Waterloo\" >UK meets its Brexit Waterloo<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/buradabiliyorum.com\/en\/new-us-stimulus-brexit-and-20k-5-things-to-watch-in-bitcoin-this-week\/#Buzzword_institutional_FOMO\" >Buzzword institutional FOMO<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/buradabiliyorum.com\/en\/new-us-stimulus-brexit-and-20k-5-things-to-watch-in-bitcoin-this-week\/#BTCUSD_at_crucial_resistance\" >BTC\/USD at crucial resistance<\/a><\/li><\/ul><\/nav><\/div>\n<p>&#8220;<strong># New US stimulus, Brexit and $20K: 5 things to watch in Bitcoin this week  <\/strong>&#8221;<\/p>\n<div class=\"post-content\" data-v-5a136f3a>Bitcoin (BTC) starts another week aiming for $19,500 and beyond as crunch time for Brexit meets mass U.S. money printing.<\/p>\n<p>Cointelegraph takes a look at the price factors at stake for Bitcoin this week as shaky $19,000 support remains in play. <\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2020-12\/b5061c55-d3f3-43a5-a314-c819a568561d.png\"><figcaption style=\"text-align: center;\"><em>Bitcoin CME futures hourly chart. Source: Tradingview<\/em><\/figcaption><\/figure>\n<h2><span class=\"ez-toc-section\" id=\"7_trillion_money_printing\"><\/span>$7 trillion money printing?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>The more controversial elements of U.S. President-elect Joe Biden\u2019s future tenure are already becoming clearer \u2014 and it\u2019s good <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">news<\/a> for Bitcoin. <\/p>\n<p>As his inauguration edges closer, Biden has already said that he plans a $7 trillion recovery package to tackle the impact of coronavirus. This would add a huge new chunk of debt to the already huge mountain that the U.S. has accrued this year. <\/p>\n<p>Against the backdrop of an already weakening dollar, the U.S. could thus face a potent cocktail of dangerous economic factors driving down wealth. The <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">app<\/a>eal of a safe haven has thus never been so real.<\/p>\n<p>\u201cWe had a horrible time in 2008 because of too much debt, and since 2008, the debt everywhere has skyrocketed. We can\u2019t even count how much the debt is up,\u201d Jim Rogers, co-founder of the Quantum Fund with George Soros, said at an investment summit last week quoted by <a rel=\"nofollow noopener noreferrer\" target=\"_blank\" href=\"https:\/\/in.reuters.com\/article\/us-investment-summit-jimrogers-gmf\/us-debt-fed-easy-money-biggest-risks-in-2021-jim-rogers-idINKBN28A1Y3\">Reuters<\/a>.<\/p>\n<blockquote><p>\u201cIf Janet Yellen is the next Secretary of the Treasury, she loves to print and spend money.\u201d <\/p><\/blockquote>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2020-12\/71cc2b54-0b36-413e-b1fa-da326862e612.png\"><figcaption style=\"text-align: center;\"><em>Federal Reserve balance sheet historical chart. Source: Federal Reserve<\/em><\/figcaption><\/figure>\n<p>As Cointelegraph reported, the strength of the dollar is predicted to fall further in 2021, something that has traditionally buoyed Bitcoin. The greenback is already at its weakest against a basket of trading partner currencies since April 2018. <\/p>\n<p>As an indication of the direction the U.S. is headed, meanwhile, <a rel=\"nofollow noopener noreferrer\" target=\"_blank\" href=\"https:\/\/twitter.com\/PrestonPysh\/status\/1335600320626499587\">Preston Pysh<\/a> noted the opposing direction of U.S. debt versus M2 money velocity.<\/p>\n<p>\u201cCheck out the disparity on these two charts -just in 2020 alone,\u201d he mentioned to <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/social-mediaa\/\" data-internallinksmanager029f6b8e52c=\"1\" title=\"Social Media\" target=\"_blank\" rel=\"noopener\">Twitter<\/a> followers. <\/p>\n<blockquote><p>\u201cA growth in M2 money supply by +22.5%. Velocity of money DOWN by -20%. Printing is nesting itself into bonds and stocks. It&#8217;s causing massive destruction of the middle class. You might want to checkout Bitcoin.\u201d<\/p><\/blockquote>\n<h2><span class=\"ez-toc-section\" id=\"Stimulus_coming_but_without_checks\"><\/span>Stimulus coming but without checks<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>New debt may come a lot sooner than even Biden can summon. As Senators began hinting on Sunday, a new coronavirus stimulus package could appear as soon as Monday.<\/p>\n<p>Subject to voting, the bill would come with a price tag of almost $1 trillion and provide \u201ctargeted relief,\u201d Democratic Senator Mark Warner of Virginia told <a rel=\"nofollow noopener noreferrer\" target=\"_blank\" href=\"https:\/\/edition.cnn.com\/2020\/12\/06\/politics\/coronavirus-stimulus-package-mark-warner-cnntv\/index.html\">CNN<\/a>.<\/p>\n<p>\u201cI think we have got the top line numbers done. We are working right now on language so that we can have \u2014 as early as tomorrow \u2014 a piece of legislation,\u201d he claimed.<\/p>\n<p>The new stimulus bill has seen little progress despite promises from Treasury Secretary Steven Mnuchin months before. A second stimulus check of $1,200 for eligible Americans, however, no longer features in the latest proposals.<\/p>\n<p>The first $1,200 stimulus check from mid April would be worth almost $4,000 if invested in Bitcoin at the time. <\/p>\n<h2><span class=\"ez-toc-section\" id=\"UK_meets_its_Brexit_Waterloo\"><\/span>UK meets its Brexit Waterloo<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>It\u2019s make or break for the United Kingdom and the Euopean Union agreeing a Brexit trade deal. <\/p>\n<p>After many a delayed deadline and last-ditch efforts to resolve their differences, the two sides now accept that time has run out and that only a matter of days \u2014 or less \u2014 stands between the U.K. leaving with a deal or crashing out of the E.U.<\/p>\n<p>\u201cWe keep calm as always and if there is still a way, we will see,\u201d the E.U.\u2019s chief negotiator Michel Barnier <a rel=\"nofollow noopener noreferrer\" target=\"_blank\" href=\"https:\/\/www.theguardian.com\/politics\/video\/2020\/dec\/05\/we-will-see-if-brexit-deal-is-still-possible-says-barnier-video\">told reporters<\/a> over the weekend.<\/p>\n<p>The pound was suppressed on Monday as uncertainty took hold, and a surprise lack of a trade deal would automatically shave off more of its value, analysts said last week. <\/p>\n<p>As with any major geopolitical event, the potential for Bitcoin to profit briefly from the shockwave remains, this likely to come later on Monday.<\/p>\n<p>As Cointelegraph reported last week, Nigel Farage, formerly the head of the pro-Brexit U.K. Independence Party, described Bitcoin as the \u201cultimate anti-lockdown investment\u201d in reference to London\u2019s harsh restriction of individual freedoms over the coronavirus.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Buzzword_institutional_FOMO\"><\/span>Buzzword institutional FOMO<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Within Bitcoin, attention remains fixed on whether more \u201cfear of missing out,\u201d or \u201cFOMO,\u201d from institutional investors will see more mass buy-ins and a squeeze on the supply. <\/p>\n<p>Even mainstream media is entertaining the idea of a price transformation thanks to large-volume players entering, something which is all the more possible thanks to the Federal Reserve propping up equities markets and creating artificial competition.<\/p>\n<p>Grayscale, the investment giant with over $10 billion in Bitcoin assets under management alone, would be the first industry heavyweight to benefit under such circumstances.<\/p>\n<p>\u201cInstitutional investors are keen on portfolio construction in the wake of Covid, and the ways they need to reposition themselves given how governments have injected stimulus into the system,\u201d managing director Michael Sonnenshein told <a rel=\"nofollow noopener noreferrer\" target=\"_blank\" href=\"https:\/\/www.bloomberg.com\/news\/articles\/2020-12-06\/fomo-among-big-investors-may-support-bitcoin-s-polarizing-rally?sref=323RPL5z\">Bloomberg<\/a>.<\/p>\n<p><template data-name=\"subscription_form\" data-type=\"markets_outlook\"><\/template><\/p>\n<p>Signs that more cash is coming to Bitcoin already abound. Just last week, Guggenheim revealed that it had reserved the right to buy into Grayscale\u2019s Bitcoin Trust via its $5.3 billion Macro Opportunities Fund.<\/p>\n<p>Regardless of who and how, institutional FOMO places more pressure on the dwindling Bitcoin supply, with price rises versus other assets the only logical outcome. <\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2020-12\/4140a40c-6baf-4606-bb32-bce97c7c9849.png\"><figcaption style=\"text-align: center;\"><em>BTC 90-day correlation vs. Gold, VIX, SP500, USD. Source: Cointelegraph Markets\/Digital Assets Data<\/em><\/figcaption><\/figure>\n<p>Henri Arslanian, Global Crypto Leader at PwC, summarized the situation to to Bloomberg:<\/p>\n<blockquote><p>\u201cThe question investors will ask fund managers will gradually switch from \u2018why did you invest in crypto?\u2019 to \u2018why have you not yet invested in crypto?\u2019\u201d<\/p><\/blockquote>\n<h2><span class=\"ez-toc-section\" id=\"BTCUSD_at_crucial_resistance\"><\/span>BTC\/USD at crucial resistance<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Focusing on short-term price action, meanwhile, Bitcoin is at a crossroads, Cointelegraph Markets analyst Micha\u00ebl van de Poppe says. <\/p>\n<p>In his latest <a rel=\"nofollow noopener noreferrer\" target=\"_blank\" href=\"https:\/\/www.youtube.com\/watch?v=-OCP5TnnUIY\">market update<\/a> on Monday, Van de Poppe noted that at $19,200, BTC\/USD could either retest $19,500 or try to break lower during trading.<\/p>\n<p><iframe loading=\"lazy\" title=\"Bitcoin Attacking ATH Again; Can The Market Break $20,000?\" width=\"640\" height=\"360\" src=\"https:\/\/www.youtube.com\/embed\/-OCP5TnnUIY?feature=oembed\" frameborder=\"0\" allow=\"accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share\" referrerpolicy=\"strict-origin-when-cross-origin\" allowfullscreen><\/iframe><\/p>\n<p>Both levels are significant. A shot above $19,500 would open up a clear move to expand on last week\u2019s all-time highs, possibly with a top as high as $21,000.<\/p>\n<p>Conversely, break below $18,600 again and real support may only emerge much lower \u2014 possibly beneath $17,000.<\/p>\n<p>\u201cOverall\u2026 we are in range resistance, which means no entries until the gain of the level,\u201d he summarized while waiting for $19,500 to appear.<\/p>\n<p>Van de Poppe also noted that CME futures gaps, including a giant $1,300 void from last weekend, remain a major nearby chart feature. A drop to just below $17,000 would fully &#8220;fill&#8221; the larger gap.<\/p>\n<\/div>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener noreferrer\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong>\n<\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more News articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/general\/\" target=\"_blank\" rel=\"noopener noreferrer\">General category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/cointelegraph.com\/news\/new-us-stimulus-brexit-and-20k-5-things-to-watch-in-bitcoin-this-week\" target=\"_blank\" rel=\"noopener noreferrer\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8220;# New US stimulus, Brexit and $20K: 5 things to watch in Bitcoin this week &#8221; Bitcoin (BTC) starts another week aiming for $19,500 and beyond as crunch time for Brexit meets mass U.S. money printing. Cointelegraph takes a look at the price factors at stake for Bitcoin this week as shaky $19,000 support remains&#8230;<\/p>\n","protected":false},"author":1,"featured_media":127830,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/s3.cointelegraph.com\/uploads\/2020-12\/9d8a1892-8602-4d5e-920c-35f94a54f601.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[74862,74937,75022,71675,70550,73785,70359],"class_list":["post-127829","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-bitcoin","tag-bitcoin-price","tag-central-bank","tag-brexit","tag-federal-reserve","tag-markets","tag-stocks"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/127829","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=127829"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/127829\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/127830"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=127829"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=127829"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=127829"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}