As the USD is going down against the EUR (http://www.xe.com/currencycharts/?from=USD&to=EUR&view=1Y) I feel myself (as a EU citizen) incentivised (is that even a word?) to buy more BTC with my USD sitting on my bitstamp account.
It's a dilemma:
*not buying BTC and waiting for price drop in BTC/USD to buy more BTC.
*if BTC/USD don't drop, I will loose a large percentage in EUR terms if USD/EUR keeps going down
How do you trade, EU-citizens?
It's a dilemma:
*not buying BTC and waiting for price drop in BTC/USD to buy more BTC.
*if BTC/USD don't drop, I will loose a large percentage in EUR terms if USD/EUR keeps going down
How do you trade, EU-citizens?
The way I see it, it's just a matter of time before the exchange rate gets back to 1.30.
Here my argument.
USD is dropping because quantitative easing (which was meant as a corrective measure to stop the downfall and pump the market) is not working anymore. QE is making things worse.
It is in the Feds' interest that central banks of the rest of the planet do as much QE as the Feds themselves do - otherwise USD will depreciate too much in comparison to other currencies and hence their Ponzi scam will become public knowledge.
http://www.nytimes.com/2013/05/22/business/global/in-europe-a-fed-president-urges-quantitative-easing.html?_r=0
ECB arguably has their own quantitative easing which is called LTRO. Last LTRO round also proved ineffective - nevertheless, in comparison to the Feds'one, ECB's QE is just spare change. Probably because Northern European politicians are a tad more serious and less influenced by financial lobbies than their American counterparts. Or maybe simply because they are so damn slow in taking any effective decisions.
BUT - a stronger EUR will cause European exports to stall. As a consequence ECB will be forced to devaluate the EUR through QE - this last measure of course at the expenses of European citizens' purchasing power. As a side effect your BTC's worth in EUR will increase. If that makes you happy...
