Author: According to Robert Kiyosaki, Bitcoin will be valued at $75,000 in three years, as an incompetent Fed oversees a dying economy.
The author of the global phenomenon, Rich Dad, Poor Dad, took to Twitter on May 16, where he revealed his recent investments in hard assets such as gold and silver – and also Bitcoin.
He made three bold price predictions about the assets mentioned above, citing a dying economy and Fed bailouts as the main catalysts. Kiyosaki tweeted:
ECONOMY dying. FED incompetent. Next BAILOUT trillions in pensions. HOPE fading. Bought more gold silver Bitcoin. GOLD @$1700. Predict $3000 in 1 year. Silver @ $17. Predict $40 in 5 years. Bitcoin @$9800. Predict $75000 in 3 years. PRAY for the BEST-PREPARE for the WORST.
— therealkiyosaki (@theRealKiyosaki) May 16, 2020
Heroes Act
The “trillions in pensions” Kiyosaki refers to the $3 trillion Heroes Act stimulus package, passed by the US House of Representatives. According to a May 15 Forbes article, tucked away in the bill was a “hidden” provision which outlined a potentially limitless pension bailout.
Forbes writer Elizabeth Bauer said US House Democrats were pursuing, “unrealistic giveaways that have nothing to do with pandemic relief.” Revealing how much would be set aside for the pension package, the bill reads:
“There is appropriated from the general fund such amounts as necessary.”
By pairing this with his Bitcoin price prediction, Kiyosaki appears to be signaling a belief in the hard-coded, cautionary limits of Bitcoin’s protocol. Particularly its deflationary rate of production.
Gold, Silver and Bitcoin Rush
Kiyosaki’s decision to invest in gold and silver could be a wise one given both metals’ increase against the dollar in recent times.
Gold is up 31% since December 2019, while the value of Silver increased 33% in a rapid surge that began on March 17 – two days after the first round of stimulus packages were announced. What’s more, the bulk of gold’s recent growth (19%) came following a price spike on March 17.
So Kiyosaki may not be reaching too far when he correlates the money-printing Fed with the increase in the value of hard assets.
As for Bitcoin – the dollar value of BTC has more than doubled since the March launch of pandemic relief bills. From a price of $4,601 on March 16, Bitcoin is now priced at $9,300 at the time of writing, following recent flirtations with $10,000.
Kiyosaki’s prediction of Bitcoin at $75,000 in three years might seem outlandish – in normal times. But with a virus pandemic now turning into a full-on financial crisis, could he be onto something?
Click here to start trading on BitMEX and receive 10% discount on fees for 6 months.