Robert Kiyosaki Predicts Bitcoin Price Surge Following Federal Reserve Policy Change
The highly anticipated pivot by the Federal Reserve is set to take place this week, with recent optimism among market analysts. The Federal Open Money Committee (FOMC) in the United States is expected to kickstart its easing cycle on September 18th.
Renowned author of “Rich Dad Poor Dad,” Robert Kiyosaki, believes that this Fed pivot will have a positive impact on Bitcoin (BTC) and gold. In his view, he expressed that as real assets like real estate, gold, silver, and Bitcoin gain value due to the shift, fake money will move away from assets such as US bonds.
Could Inflation Drive Bitcoin Prices Higher?
Kiyosaki has advised his followers to consider increasing their Bitcoin holdings before the Federal Reserve begins its easing cycle. He suggests, “Acquire more gold, silver, or Bitcoin before the Fed changes course and reduces interest rates.”
This forthcoming rate cut, the first in four years, could lead to significant gains for risk assets, according to market experts. However, Kiyosaki maintains that Bitcoin and other tangible assets will see greater benefits, mainly due to the unsustainable nature of US debts.
On September 13th, Kiyosaki highlighted the unmanageable US debts, underscoring that no matter the outcome of the US elections, the issue remains unresolved. He criticized the dollar, recommending that individuals store value in Bitcoin and gold rather than the currency.
Notably, Mike Novogratz of Galaxy Digital shared a similar viewpoint earlier in March, projecting that Bitcoin would appreciate as US debts escalate at a rate of $1 trillion every 100 days.
In essence, monetary inflation is anticipated to erode the dollar’s purchasing power, prompting individuals to turn to alternative options like gold, Bitcoin, or silver. Kiyosaki even suggested in a July forecast that significant inflation could potentially propel Bitcoin’s value to $10 million per coin.
Meanwhile, Bitcoin recently rebounded to $60,000 after struggling below this psychological threshold for two weeks. The market response following last week’s US economic data hinted at a 50/50 probability of a 25 or 50 basis points Fed rate cut. The repercussions of the Fed’s pivot in the immediate future remain uncertain.