Donald Trump Team Weighs $1 Trillion for Infrastructure to Spur Economy, Bitcoin Jump To $9,570
The Trump administration is preparing a nearly $1 trillion infrastructure proposal as part of its push to spur the world’s largest economy back to life, according to Bloomberg on an hour ago.
US President Donald Trump
A preliminary version of the proposal being prepared by the Department of Transportation would reserve most of the money for traditional infrastructure work, like roads and bridges, but would also set aside funds for 5G wireless infrastructure and rural broadband.
President Donald Trump is scheduled to discuss rural broadband access at a White House event on Thursday.
This is good news for bitcoin, the market seems to immediately respond positively to the news.
At the press time, Bitcoin is trading jump 4% at its current price of $9,50. The cryptocurrency has been trading within a consolidation channel between $9,000 and $10,000 for the past couple of months.
BTC/USD 4 hours chart | Source: Tradingview, Coinbase
Bitcoin could be flashing signs of forming a mid-term bottom
Although not explicitly bullish, this same pattern did form when the cryptocurrency was trading within the mid-$8,000 region in late-May – just before it rallied up to highs of $10,400.
“Bitcoin 4 hour – RSI double bottom.” he tweeted.
Short-Term Bitcoin Scalping Is a “Distraction” And Is Dangerous
A hedge fund manager and the CEO of Bitcoin mining startup Blockware Mining, Matt D’Souza, recently remarked that the game for Bitcoin investors should be accumulating, not timing each short-term move:
Buying at $8500 vs $9300 has 0 relevance when the objective should be capturing a market cycle over the next 18-36 months that could print $20,000, $50,000 or $100,000+. Short term scalping is a distraction, itll lead to missing the big move. The real money is made in the sitting
— Matt D’Souza, CPA (@mjdsouza2) June 15, 2020
D’Souza is touting the long-held narrative of Bitcoin maximalists “not to trade, but HODL.” The idea goes that due to BTC’s volatility, it is better to dollar-cost average into your investment rather than trying to predict every 5-10% swing to maximize your gains.
As the prominent executive added:
“Short term scalping is a distraction, it’ll lead to missing the big move. The real money is made in the sitting. […] Holding coin is critical, dollar cost averaging smoothens your cost basis”
- Crypto Price Analysis 6/15: Bitcoin Is Plunging And Heading To $7000 Plus ETH, XRP, BSV, ADA
- Bitcoin Continues Trading Beneath Key Trendline As Selling Pressure Begins Mounting