US Could Be Hit by Potential Hyperinflation Soon-Will Bitcoin’s (BTC) Price Make It to $100K?
Bullish flags flutter for the crypto space as the current US bank crisis may get aggravated soon
The inflation rates which appear to have controlled may spike high marking new highs in the upcoming months
The crypto space appears to have relaxed a bit as the prices of the popular tokens have been consolidating within a very narrow range. Bitcoin, the star cryptocurrency, appears to be accumulating gains as it prepares to fly past previous highs very soon. Hence, the altcoins may also begin with a fresh bullish wave as the possibility of the global crypto market cap achieving the milestone of $2 trillion appears to be pretty high.
But how will the BTC price reach $100k? And by when?
The US economy has been badly hit by the ripple effects of the fallout from the major banks in the state. Although customers are assured they will get access to their funds, the stability of the banks continues to remain shady. In the meantime, JP Morgan, a leader in investment banking, raises the possibility of the FED releasing an emergency loan.
As per the reports, the FED may soon inject $2 trillion into the US banking system to stabilize the prevailing crisis. This facility is likely to be used by the largest banks, which may help the centralized banks recover from their losses.
The reserve balances at the FED had depleted, but they spiked since the beginning of 2020 and marked highs during the first half of 2021. This was when the inflation rates began to surge. The rates, which were 1.40% in January 2021, soared to 9.06% in July 2022, which was the highest in the past 42 years!
One needs to take note that this was the time when the crypto markets underwent a massive bull run where Bitcoin prices soared from around $10,000 to as high as $69,000. Now that the FED is preparing to inject $2 trillion into the economy, the dropped inflation rates may rebound and surpass the 2022 highs.
This may be when the US could be hit with hyperinflation, resulting in a bull run in the crypto markets. Many tokens may rise more than 10x to double their ATH as the BTC price is assumed to hit $100K then!