As Bitcoin, Ethereum and larger cryptocurrencies like Bitcoin return to their 2020 levels, the crypto market is currently in chaos. Market cap-based, the number one cryptocurrency lost crucial support and has fallen to lower levels.
| Bitcoin long-term holders realize March 2020-Like losses as BTC crashes
Bitcoin traded at $23,300 on the date of this writing. It has suffered losses of 16% and 22% in the 24-hours and seven days, respectively. With an increase in inflation, and U.S. Federal Reserve’s (FED) efforts to stop it, the macro-economic outlook appears grim. The bears seem to be the winners.
Due to recent price drops, many Bitcoin advocates have switched their focus and now invest in other assets. Robert Kiyosaki, the best-selling author of the financial book “Rich Dad, Poor Dad”, could be counted in this group.
Kiyosaki was a longtime Bitcoin fan. He recommended to his audience that they buy Bitcoin in 2021 as a way of avoiding an economic recession.
At the time, the author claimed that a “giant crash” and a “new depression” could hit the U.S. economy. An economic problem could be seen in the U.S. due to rising inflation in dollars and an increase of interest rates by U.S. Federal Reserve.
However, Kiyosaki may not have followed his own advice and posted this via his Twitter account:
Best INVESTMENT: Cans of Tuna Fish. It is predicted that inflation will increase. Best investments are cans of tuna & baked beans. You can’t eat gold, silver, or Bitcoin. Baked beans or canned tuna are acceptable. Food most important. Starvation next problem. The solution is within reach. You must take care.
Many people responded that Kiyosaki may have meant it as a joke. Many others seem to be taking the advice as a sign that they think the world is heading into trouble.
Bitcoin Support and Resistance Levels
Kiyosaki predicted an economic crash, but he already saw it coming. He stated that a crash could lead to economic depression in 2021.
BIDEEN & FED need inflation to prevent New Depression. The poor are ripped off by inflation. Inflation makes rich richer. Biden, Fed are corrupt. Preparation: Giant crash, then new depression. Be smart Buy, gold, silver, Bitcoin.
These fundamentals are what prompted Kiyosaki trust BTC to be a good investment: The cryptocurrency allows you to get out of FED-controlled economies and enjoy greater financial freedom.
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At the time of writing, Bitcoin’s order book on Binance looks thin in either direction. The bids are around $7 million and the asks orders about $26,500 is $11 million. A break below or above either could determine BTC’s price next trend.