Welcome to the Morning Crypto News Bulletin in the US—where we provide you with the most important crypto information of the day.
Brew a cup of coffee because this is a time when small moves by big players can spread into something much larger. With rumors of supply shocks, strategic purchases, and sudden liquidations spreading, Bitcoin's development could come faster than expected.
Cryptocurrency News of the Day: Keiser Says Saylor Could Cause a Bitcoin Supply Shock
Michael Saylor's strategy, now MicroStrategy, recently purchased 21,000 BTC for $2.4 billion. This transaction raised Strategy's total Bitcoin holdings to 628,791 BTC, with unrealized profits of $28.18 billion.
Bitcoin pioneer Max Keiser commented on this transaction, suggesting that Saylor's move could make other BTC treasuries struggle to find Bitcoin to buy.
In this context, BeInCrypto contacted Max Keiser to understand how Saylor and Strategy's unintentional supply shock works in reality.
According to Keiser, the $2.4 billion purchase is just one step in many subsequent steps that could lead to a significant price gap.
"Saylor's recent $2.4 billion purchase is a step in the right direction. If he can make a $20 billion or higher purchase, he will create a supply shock and we will see a larger price gap," Keiser told BeInCrypto.
A price gap is a liquidity void that appears after a price moves strongly and quickly when an asset is suddenly over-purchased.
In a recent US Crypto News publication, Max Keiser stated that Bitcoin is becoming a Credit Default Swap (CDS) on the collapsing fiat system.
He said Bitcoin has always been equivalent to a CDS on the $400 trillion global Ponzi fiat system, which is collapsing as demand for securities like US Treasury Bonds drops sharply.
In his latest comment, the Bitcoin supporter reiterated this view when asked if the market would track the real-time collapse.
"Bitcoin has been a CDS representative on the global fiat currency from the first day. That's why the price has risen so much and why it will rise to millions of dollars per Bitcoin," he said.
Meanwhile, Bitcoin's price is stuck in a difficult situation, accumulating in a flag triangle. The next direction depends on how the breakout occurs.
