Topic: How negative interest rates affect Bitcoin (Read 716 times)
People who usually avoid negative interest rates and look for ways to secure investment value, prefer gold/silver than crypto. The crypto community that is in the stock investment class is still small, considering that bitcoin fluctuations are a wrong way to secure value. The impact of negative interest rates is not too big, what we need is the adoption of blockchain technology first.
I think negative interest rates will affect crypto currencies positively because as countries give negative interest, people will keep their money away from countries. No investor will let own money melt. Moreover, crypto currencies are safer than banks and countries, and they cannot be traced. Considering these facts, I'm almost certain that negative interest rates will positively affect bitcoin and crypto currencies
In short, these negative interest rates that OP were saying will stay as long as the Government are badmouthing it to the public, but it doesn't affect the bitcoin price at all, only the adaptation is at risk in this case, the slow bitcoin adaptation, the more bearish market we are going to have in the future. We will not move forward until we overcome the huge wall in front of us (the Government) unless they will finally destroy that wall to let us pass through.
Basically government has the capability to present information in their way, but the fact that individual knows how to spread the real information personally, it is much trustworthy since media is also known as deceiving. Basically it affects the bitcoin price, since the reputation of bitcoin decreases, the same thing happens to the number of adoption it has.
in my opinion bitcoin will continue to rise along with the good news that continues to spend, bitcoin is now slowly starting to rise maybe 2017/2018 events will recur.
Negative is very useful. Thanks to it, people better remember information, because it is negative, it carries a greater emotional charge, which contributes to the imprint in memory. As a result, when the situation changes in a positive direction, people change their attitude, because they are already familiar with the subject.
It is already obvious that the market is controlled not by the crowd, but by whales. So, if necessary, it will be possible to create stronger FOMO, which, against the backdrop of all the general awareness of cryptocurrency, will take its effect on the minds of ordinary people, inciting them to buy even at dubious prices.
The crypto market is indeed very sensitive and easily played by many whales. and fomo made people follow the trend at the time. and regarding the question op is the negative interest rate in the world. For me the effect is not included in the price of cryptocurrency to make it go up or down It is already obvious that the market is controlled not by the crowd, but by whales. So, if necessary, it will be possible to create stronger FOMO, which, against the backdrop of all the general awareness of cryptocurrency, will take its effect on the minds of ordinary people, inciting them to buy even at dubious prices.
Negative is very useful. Thanks to it, people better remember information, because it is negative, it carries a greater emotional charge, which contributes to the imprint in memory. As a result, when the situation changes in a positive direction, people change their attitude, because they are already familiar with the subject.
It is already obvious that the market is controlled not by the crowd, but by whales. So, if necessary, it will be possible to create stronger FOMO, which, against the backdrop of all the general awareness of cryptocurrency, will take its effect on the minds of ordinary people, inciting them to buy even at dubious prices.
It is already obvious that the market is controlled not by the crowd, but by whales. So, if necessary, it will be possible to create stronger FOMO, which, against the backdrop of all the general awareness of cryptocurrency, will take its effect on the minds of ordinary people, inciting them to buy even at dubious prices.
The declining of negative interest rates of fiat money has a positive effect to the world of btc and altcoins. Why it is so? Because of negative interest rates it distresses the investors since the fiat is repeatedly lessen the value by the banks.
And the cryptocurrency and btc are not same with fiat, the crypto cannot be maneuver by anyone or anything for the reason that it is firmly day by day has limited output. No one can create more because it has limitations.
Also because the crypto is a trend today, I think more investors will choose crypto since it proposes supreme substitute for savings with indemand technology.
And the cryptocurrency and btc are not same with fiat, the crypto cannot be maneuver by anyone or anything for the reason that it is firmly day by day has limited output. No one can create more because it has limitations.
Also because the crypto is a trend today, I think more investors will choose crypto since it proposes supreme substitute for savings with indemand technology.
I think negative interest rates will affect crypto currencies positively because as countries give negative interest, people will keep their money away from countries. No investor will let own money melt. Moreover, crypto currencies are safer than banks and countries, and they cannot be traced. Considering these facts, I'm almost certain that negative interest rates will positively affect bitcoin and crypto currencies
In short, these negative interest rates that OP were saying will stay as long as the Government are badmouthing it to the public, but it doesn't affect the bitcoin price at all, only the adaptation is at risk in this case, the slow bitcoin adaptation, the more bearish market we are going to have in the future. We will not move forward until we overcome the huge wall in front of us (the Government) unless they will finally destroy that wall to let us pass through.
Higher low interest if bitcoin rates still down, maybe old investor is not worried about how drop bitcoin price, for the new investor re thing what have he does because is not good ideas for investing in bitcoin and afraid bitcoin will be down. Low interest because price of bitcoin still lower and higher interest when bitcoin up.
Negatives rates are from years.Meanwhile bitcoin was pumped and dumped.Bitcoin has his own rhythm
But of course .Any massive QE will support bitcoin price rise same like is supporting any emerging assets and market
But of course .Any massive QE will support bitcoin price rise same like is supporting any emerging assets and market
Negative interest depend on how bitcoin price years by years, with always lower bitcoin just take time for less interested by investor and move looking other investment kinds for their investment assets, now when bitcoin still profitable maybe many investor have big interest with bitcoin for investing or trading.
Majority of the impact of the negative interest rate will go to precious metals like Gold or silver and not to bitcoin. because precious metals are being used as a tool to safeguard capital since ages and bitcoin just came into the picture just 10-11 years ago. People are not yet accustomed with this high-tech virtual currency. It's easier for them to invest in gold. Obviously we have few handful percentage of population who will prefer cryptos over gold, but they are super minorities!
Just see the link below and you will get an understanding that how the gold price in moving up in the international market.
https://goldprice.org/gold-price-chart.html
Bitcoin has not yet become a preferred choice of the mass!
Just see the link below and you will get an understanding that how the gold price in moving up in the international market.
https://goldprice.org/gold-price-chart.html
Bitcoin has not yet become a preferred choice of the mass!
I don't think this nonesense with negative interest rates will even work. People will simply stop using the bank and as you say they will invest in precious metals. Not only will that take them out of negative debt but into positive. Remember that will inflation you need to be making 5-6% on your investment just to break even and retain the same value. All that will happen is new banks will open that hold gold instead of fiat which basically means we going all the way to the beginning again and where this rabbit hole ends noone knows.
I think negative interest rates will affect crypto currencies positively because as countries give negative interest, people will keep their money away from countries. No investor will let own money melt. Moreover, crypto currencies are safer than banks and countries, and they cannot be traced. Considering these facts, I'm almost certain that negative interest rates will positively affect bitcoin and crypto currencies
I don't think negative interest rate will have any negative impact on the bitcoin, since bitcoin is not dependent on such market model to strive. Bitcoin is on a different class. It should rather have a positive impact on the bitcoin, If because excess fund should be allowed to flow to bitcoin market.
Wait wait, in this situation I think we discuss about scenario similar of this: National currency which hugely depends on USD, falls and NatCur/USD exchange rate increases a lot, usd rises for national currency. From this point negativity rises and this affects further situation of national currency in a very negative way, people buy USD cause no one wants your national currency (it falls and isn't something that you can hold on).So how does same situation can't affect bitcoin? Of course it affects but at the same time there is hope in bitcoin too which sometimes rises. People use lows to buy as much as possible and then have huge hope that it will rise and that happens too cause everyone wants rise instead of further fall. Also halving affects price a lot where mined bitcoins are reduced and in our fiat reality money printing is increased.
Negative interest rates are spreading all over the world, and it seems this trend is here to stay.
How do you think it will affect Bitcoin value in the long term ?
Will Bitcoin rise because negative interest rates are just another form of money printing ?
If everyone starts purchasing products for credit and if they are not able to repay those in time, what happens to the economy. If the interest rate is negative it is cheaper to purchase something through credit rather than shelling your money, the problem happens if there is no control over the process as you will end up in a crises but it is good for the financial market as people will be ready to spend more. How do you think it will affect Bitcoin value in the long term ?
Will Bitcoin rise because negative interest rates are just another form of money printing ?
Eventually they should realize that central banks cause more harm than good whenever they do something. They think that when they print money to keep the people going they are doing something good but they are just allowing people to spend the money they don't have and then that money is printed so the money exists.
If central banks didn't then eventually a lot of worlds economy would collapse everything will be horrible we would be in economical dark ages but eventually whoever survives that will lead us into a world where banks are no longer greedy or can be greedy even if they wanted to because they would collapse and bankrupt if they do.
Just let banks bankrupt and jail the CEO's for letting it happen and you will not have any more scammers there, the power resides in the central banks to make that happen, only if they do not help the banks out. There are customers whose money get bankrupted as well? Customers who can provide proof of ownership will be reimburse by the central bank, that way banks will still go bankrupt, new money still would be printed and all the regular people would be saved.
If central banks didn't then eventually a lot of worlds economy would collapse everything will be horrible we would be in economical dark ages but eventually whoever survives that will lead us into a world where banks are no longer greedy or can be greedy even if they wanted to because they would collapse and bankrupt if they do.
Just let banks bankrupt and jail the CEO's for letting it happen and you will not have any more scammers there, the power resides in the central banks to make that happen, only if they do not help the banks out. There are customers whose money get bankrupted as well? Customers who can provide proof of ownership will be reimburse by the central bank, that way banks will still go bankrupt, new money still would be printed and all the regular people would be saved.
I don't think negative interest rate will have any negative impact on the bitcoin, since bitcoin is not dependent on such market model to strive. Bitcoin is on a different class. It should rather have a positive impact on the bitcoin, If because excess fund should be allowed to flow to bitcoin market.
Negative interest rates act as a simulator for banks to give their excess reserve as loans rather than keeping it with central bank of the country. The concept is more evident in developed countries like Japan and Switzerland. In developing countries like India, central banks pays interest upto 5-6% when it receives fund from commercial banks but in case of developed countries, commercial banks have to pay to central bank to keep their money.
Therefore, banks are more inclined to give money to general public than central bank.
I don't see any direct impact of this on Bitcoin but since negative rated instills economic growth, it may have indirect positive impact on investments like Bitcoin.
Therefore, banks are more inclined to give money to general public than central bank.
I don't see any direct impact of this on Bitcoin but since negative rated instills economic growth, it may have indirect positive impact on investments like Bitcoin.
Negative interest rates are temporary for this reason: the banking system can't make a profit if the entire yield curve is negative.
Did you see what happened to Japanese bonds yesterday? Kuroda (the governor of the Bank of Japan) decided that the central bank would not buy any more government bonds with a term greater than 25 years (to reduce demand and thus increase yields). He is trying to steepen the yield curve. The 10 year Japanese bond auction went really badly and yields shot up along the curve and then this spread to Europe.
I think this is a harbinger to come: central banks are finally realising that they are causing more harm than good in buying bonds. If they abstain from buying, yields will go positive.
Did you see what happened to Japanese bonds yesterday? Kuroda (the governor of the Bank of Japan) decided that the central bank would not buy any more government bonds with a term greater than 25 years (to reduce demand and thus increase yields). He is trying to steepen the yield curve. The 10 year Japanese bond auction went really badly and yields shot up along the curve and then this spread to Europe.
I think this is a harbinger to come: central banks are finally realising that they are causing more harm than good in buying bonds. If they abstain from buying, yields will go positive.
I doubt negative interest rates will really affect BTC that much, more so the regular markets. I could definitely see negative impacts coming from this for investments like gold and sliver, but probably not such a new thing, there's nothing really to affect.
A lot of "correlation" we've seen over the past couple of years isn't all it seems, how BTC works is actually very, very unique, and I've only seen 1 clear-cut example of something affecting the price of BTC, which was when the media pumped BTC all the way up to 20k, pretty amazing stuff.
A lot of "correlation" we've seen over the past couple of years isn't all it seems, how BTC works is actually very, very unique, and I've only seen 1 clear-cut example of something affecting the price of BTC, which was when the media pumped BTC all the way up to 20k, pretty amazing stuff.
Negative interest rates are spreading all over the world, and it seems this trend is here to stay.
How do you think it will affect Bitcoin value in the long term ?
Will Bitcoin rise because negative interest rates are just another form of money printing ?
Here in our country we experience a high inflation rate, and I’m glad that I used bitcoin to many transaction and investment. Negative interest rate is really the conflict in investing money in the bank. But due to negative interest rate, the demand in bitcoin will increase and also its price and value.
When the time comes that the inflation rate goes high, other investors will seize the opportunity to buy a lot of bitcoin because of the decrease in its demand.
Jump to: