Is Bitcoin Still a Viable Hedge Against Inflation?

[Suba]

Many experts doubt the potential of Bitcoin as a hedging asset to fight inflation, they think that Bitcoin is still influenced by the American interest rate (the Fed), Bitcoin is correlated with the stock market, Bitcoin is also considered not purely decentralized because most of the Bitcoin market is controlled by hedge companies. funds on Wall Street.I personally think Bitcoin and altcoins can still be used as hedge assets to fight inflation if Bitcoin is made part of a diversified investment portfolio. So investors should be able to divide their investment portfolio into Bitcoin and altcoins, stocks, bonds, mutual funds, gold and deposits. What do you think?

 

[Golden9]

Currently, it's not looking like Bitcoin has fared well woth the rising inflation. The crypto market has been affected as much as traditional markets anytime decisions are made to combat inflation.

 

[Suba]

Currently, it's not looking like Bitcoin has fared well woth the rising inflation. The crypto market has been affected as much as traditional markets anytime decisions are made to combat inflation.

You are right, most of the crypto market has been influenced by traditional markets, and the whales on Wallstreet own most of the Bitcoin so, their movement in the stock also affects the crypto.

 

[IB D]

For my country's currency that experiences unexpected high inflation, I convert my financial resources to Bitcoin or USDT to keep the value of my money safe against all those manouvres in the coat currency.

 

[Suba]

For my country's currency that experiences unexpected high inflation, I convert my financial resources to Bitcoin or USDT to keep the value of my money safe against all those manouvres in the coat currency.

If your country has high inflation, I think your actions are right, you convert your fiat money to Bitcoin $ 25k and USDT to hedge against inflation, and you can sell after inflation subsides, and sell Bitcoin if it reaches a price above $ 35k.

 

[nomad]

Do you know why bitcoin and crypto market in general has gone through bearish run? Well, that's because there is a global recession and inflation. Crypto price also depends on traditional market and economy.