On Wednesday (March 18), Su Zhu, Co-Founder, CIO, and CEO of Singapore-based crypto-focused hedge fund Three Arrows Capital, commented on the current price of Bitcoin.
Zhu's comments came at a time when Bitcoin was trading around $5,182:
This is in theory the moment Bitcoiners have been waiting for— Su Zhu (@zhusu) March 18, 2020
Several EM mkts are now pricing in significant risk of sovereign defaults
USD itself set on an inflationary course it will be hard to turn back from
If $BTC mkt holds these lvls, 50K relatively quickly is possible https://t.co/CSSXEuNGyd
Whether you believe Bitcoin scarcity is socially enforced or absolute, in many emerging markets it will no longer be possible to even audit the money supply— Su Zhu (@zhusu) March 18, 2020
Zhu is presumably referring to the significant increase in debt that is taking place all over the world in an effort to combat the economic impact of COVID-19. As for the United States, he is probably referring to the Federal Reserve's recent actions, such as setting the federal funds rate to near zero and offering a $1.5 trillion loan to banks to ease T-bill liquidity issues.
Yan Pritzker, Co-Founder and CTO of crypto startup Swan Bitcoin seems to agree on the money printing part of Zhu's first tweet:
The money printers of the world are about to go into overdrive. Bitcoin's supply is about to experience a supply shock. Objectively speaking, there will be more dollars per bitcoin in the world than there ever have been. By a long shot.— Yan Pritzker 🦢 (@skwp) March 18, 2020
Just the facts.
Earlier today, Charlie Lee, the creator of Litecoin, also talked about the same issue:
I used to think that a Bitcoin ETF will kickstart the next bull market. I was wrong. Joe Sixpack will unfortunately get hit very hard due to the aftermath of the coronavirus and the central banks will keep on printing money. Joe will wonder if there's a better way. There is. https://t.co/29pY0mYhCC— Charlie Lee [LTC⚡] (@SatoshiLite) March 18, 2020