Forbes: Trump's "Great War is Coming" warning may boost expectations for Fed monetary easing, benefiting Bitcoin
According to a Forbes article, Trump recently warned that U.S. military actions against Iran could last more than five weeks, stating that "the real large-scale operations have not yet begun, and the big ones will come soon."
The market believes that if the conflict in the Middle East becomes prolonged, it could lead to increased fiscal spending and raise the probability of the Federal Reserve easing monetary policy or even restarting large-scale liquidity injections, which may benefit cryptocurrencies like Bitcoin. Some aggressive predictions suggest that Bitcoin could reach highs of $200,000 to $500,000 within the year.
Additionally, a potential financial crisis driven by artificial intelligence could trigger impacts more severe than those of 2008, similarly benefiting Bitcoin in reaching new historical highs. Analysts point out that geopolitical risks, expectations of fiscal expansion, and shifts in monetary policy are becoming important macro variables for the current market's bets on Bitcoin's upward movement.
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