Bestselling Rich Dad Poor Dad author, businessman, and vocal Bitcoin advocate Robert Kiyosaki has claimed that a “liquidity squeeze” is causing a drop in the price of Bitcoin and precious metals gold and silver, yesterday on Twitter.
Repeatedly referring to the U.S. dollar as “FAKE,” he advised this period as a good buying opportunity for (“REAL”) bitcoin, gold, and silver.
WHY ARE gold, silver Bitcoin dropping in price. MANY REASONS. One is crash in oil. Real reason LIQUIDITY SQUEEZE Shortage of FAKE $ forcing sale of LIQUID REAL ASSETS gold, silver, Bitcoin for FAKE $. Buying opportunity if you can find REAL gold,silver&Bitcoin.— therealkiyosaki (@theRealKiyosaki) April 21, 2020
Colorful delivery aside, Kiyosaki’s observation of a cash squeeze has become widespread. The FT’s Mike Mackenzie emphasized yesterday how collapsing oil prices are only going to augment the generalized flight to the U.S. dollar, and further hamper “the Federal Reserve’s efforts to weaken [it].”
Market demand around the world has dried up following measures taken to combat the spread of COVID-19, causing a spiral in asset prices across the board (including Bitcoin and other cryptos) as investors head to the safety of the U.S. dollar.
This deflationary liquidity crunch, which Kiyosaki is referring to, is of major concern to governments and the motivation behind trillions of dollars worth of cash injections deployed in the last month-plus.
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