Why is Bitcoin a CDS on the Federal Reserve – Bitcoin Magazine

This is an editorial by Adam Taha, an entrepreneur with two decades of experience in government and corporate finance.

The latest Consumer Price Index (CPI) came in at a shocking 9.1% (9.8% in cities), many speculators predicted that the price of Bitcoin would rise to the “moon”. What happened was just the opposite and the bitcoin price movement correlates with other risk assets. Many threw an expected tantrum and asked why? “I thought bitcoin was a way to hedge against inflation…when is the moon?”

Keep in mind that Bitcoin is a 13-year-old elastic asset with only 13 years of network impact. How to be flexible? While the dollar, as we all know, has continued its rapid rise, posting new yearly highs against the British pound, euro and Japanese yen year-to-date, making it a wrecking ball against most foreign currencies and risky assets. However, in the past week, something incredible began to happen: the price of Bitcoin (in US dollars) has been maintaining a very strong level of support as the dollar is rising. This indicates a very important event in my opinion.