Macroeconomic expert Luke Gromen believes a Trump-era policy could dramatically change how Bitcoin trades. He argues that the “America First” investment policy, aimed at making US foreign investment more cautious, might push capital out of US markets.
A Shift in Investment Flows?
Gromen suggests this policy essentially tells China and other foreign investors to pull their money out of the US. This, he says, will likely hurt the Nasdaq, while simultaneously boosting Bitcoin. He reasons that Bitcoin, as a global asset largely unaffected by political agendas or tariffs, will become more attractive.
Bitcoin: A Safe Haven?
Gromen acknowledges the current short-term correlation between Bitcoin and the Nasdaq. However, he predicts that this will break down over time. He sees Bitcoin as a neutral reserve asset, unlike the Nasdaq, which is vulnerable to shifts in US policy. He believes that as the US becomes less welcoming to foreign investment, capital will flow into Bitcoin, mirroring the current trend seen in gold.
The Future of Bitcoin and Nasdaq
In short, Gromen’s theory is that the “America First” policy will act as a catalyst, driving capital away from the Nasdaq and towards Bitcoin, ultimately breaking the historical correlation between the two. He sees the increased interest in gold as a harbinger of what’s to come for Bitcoin. At the time of writing, Bitcoin was trading at $83,233.
Disclaimer: This information is for general knowledge and does not constitute financial advice. Always conduct your own thorough research before making any investment decisions.
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