Bitcoin, which has finally broken its two weeks long slump is now on its way to $100,000 and the US government is going to play a major role in making it happen.
This is according to Anthony Pompliano, a renowned American entrepreneur, finance expert, co-founder of Morgan Creek digital assets fund, and staunch bitcoin supporter.
“The government is going to push bitcoin to $100,000 faster than any of us thought it would happen.”
The statement comes as nearly 160 million households in the US are expected to receive another stimulus check following the passing of the $1.9 trillion stimulus package.
Pompliano has been consistent with the opinion that the US government is actually hurting, rather than helping the US economy by injecting more debt as part of its fiscal measures against the pandemic.
“The stimulus package won’t cut poverty. It will accelerate it. There are no contrarians left on Wall Street. There are no contrarians left in finance.”
Bitcoin is the Answer to Undisciplined Monetary Policy
In a newsletter to investors, Pompliano explains that Bitcoin has outperformed gold and the S&P 500 index every year in the last 10 years.
In the last one year alone, Bitcoin’s Compound Annual Growth Rate (CAGR) has grown by +575% compared to gold’s 0.96% and +35% for S&P 500, while in 10 years, Bitcoin’s CAGR is +200% compared to gold’s and S&P 500’s +2% and +11% respectively.
On average, Bitcoin has returned 155% each year for the past 5 years, while gold has returned 7% on average each year, over the same period.