US Dollar vs Bitcoin

[jaberwock]

We're already seeing a very positive impact of Trump on the price of Bitcoin. I was very surprised to see it so high today, to be honest. But pumps are not usually consistent. We see a bull run now, for sure. But that doesn't mean it won't end abruptly at some point. People are very excited, anticipating some very pro-crypto times in the US with the Trump administration. However, I think we'll experience the most of it right now, and then once Trump is actually in power, that won't matter much. Sort of like the price went up amidst anticipations of ETF approvals, but then when the approvals actually happened, there was little impact.

Well, USA is the biggest nation in the world in many aspects, and mainly economy as well, so a pro-bitcoiner president, who attended bitcoin conference, will of course give a good impact, it's obvious.

In fact, there were plenty of people who took a long position with high leverage right next day after elections when we saw trump would win. Many were afraid, some said it was too late, but look at the price of btc and doge at 5th or 6th and look at it now, you can see the huge increase, and long position would have made you rich. I didn't do it neither, I was afraid, also I am poor, so risking money means that if I am wrong, it will hurt me a lot, so I try to hold it, I just own a tiny bit of bitcoin and that's it. And I believe we will just continue to increase too.

[MRY]

Won't having bitcoin as their strategic reserve harm US dollar? Especially with the rise of BRICS and their dedollarization agenda, won't Trump be just making their job easier if he were to prioritize bitcoin?

Actually it is the opposite. Having btc as the strategic reserve would strengthen the dollar even more. What if the US decide to print BTC backed USD in the future? I know it sounds impossible at the moment but if bitcoin rises to ridiculous price levels, the US pays off its debt with btc and then they can print BTC backed USD with the remaining reserves they have.

I think that's a plausible strategy. The US will hit multiple birds with one stone. They'll get rid of their debt, will become filthy rich and make USD great again.

Yes, creating Bitcoin as a strategic reserve opens up this unprecedented opportunity and maybe the US understands that bitcoin is important to strengthen the dollar in the future. Depending on how much Bitcoin continues to strengthen and achieve high prices, this can more greatly add on to the US economy. Nevertheless, if the US decides to support the dollar in the Bitcoin reserves, this may be an extraordinary financial policy and will bring credit to the world.However, printing of USDs supported by Bitcoin could also help in managing national debt in a better way might also be another way. By this approach, the US would simultaneously pay most of the outstanding obligations; it would also benefit from the rise in the bitcoin value as an asset that replenishes the state’s exchequer.

This would also place the US in economically auspicious state given it would have a digital asset reserve to back its currencies stability. Therefore, adopting Bitcoin as part of the national reserve can open the way for the creation of conditions where the USD becomes the dominant currency once again, but in the present day, backed up with novel assistance that is applicable in the modern world that is based on digital scales. If done correctly, it will not only help to build up the dollar as a dominating currency around the world, also it will have provided an additional financial weapon to America in the age of the emerging, quickly advancing digital economy.

[Darker45]

Trump loves the US dollar more than Bitcoin. He's concerned of the dollar more than he's concerned of Bitcoin. If he ever fulfills his promise of backing the US dollar with Bitcoin, it's not as much in support of Bitcoin as in support of the USD itself. The goal is to make the dollar great, powerful, dominant again. And if Bitcoin serves that purpose in one way or another, then it would be utilized. Bitcoin would grow stronger that way, but so is the dollar.

[tottong]

Won't having bitcoin as their strategic reserve harm US dollar? Especially with the rise of BRICS and their dedollarization agenda, won't Trump be just making their job easier if he were to prioritize bitcoin?

The possibility of bitcoin becoming an alternative reserve is possible because Trump also has to protect the dollar from being polarized by the rise of BRICS.
The agenda may be difficult because Trump will certainly be pressured by some influential people and I don’t think he will do something out of control, without calculating some potential outcomes.

Don't get me wrong, as someone not from the US but is holding bitcoin, if Trump were to follow through his promises it would greatly benefit me but I am just pondering over the real chances of Trump doing this. Am I correct with my assumption that dollar might weaken as bitcoin gets stronger? and if I am, won't that make bitcoin a direct competitor of the US dollar? What will the dollar benefit from Trump doing this? or am I missing something here?

That is not the real goal because there is no way Trump would weaken the dollar by choosing bitcoin as his reserve and if he did that would mess things up and they would have a big problem.
BRICS is trying to kill the dollar and they are trying to influence some countries to join and in such conditions Trump has to make a strategy to keep the dollar as an option so that they do not get into trouble.

[Mame89]

Bitcoin is a digital asset and the dollar is a fiat currency, both are clearly very different and I think Trump understands that and he wants to benefit from fiat with bitcoin. So it is not surprising that during his campaign he focused on crypto technology as his vision and mission. Because the more institutions, companies, and sovereign funds are interested in Bitcoin, it will not change the status of the dollar either. The dollar and bitcoin, although different, are interrelated, will continue to be used and of course both will benefit the government.

Trump has also claimed several times that what really weakens the US dollar is not Bitcoin, but the policies of the US government itself. Now that he has won the US election, of course he has the authority to make policies, of course his policies on pro-crypto will certainly have an impact on the economy as a whole, both for Bitcoin and the crypto world.

[DrBeer]

Now that Kamala Harris has conceded and does not seem interested in fighting the results (i.e by conducting a recount), we can now claim Trump to be the next US president for the second time. Of course, he won't have any power over anything until he is inaugurated but looking at the promises he made during his election I think we can start discussing about what could happen when Trump does whatever it he said the past few months once officiated as president.

One that concerns me is his promise of establishing bitcoin as the nation's strategic reserve. Doing this would definitely help with the perception of bitcoin to the general public and would be hugely beneficial to those who are already holding bitcoin now. However we also need to consider what this could mean for the US dollar? With bitcoin getting stronger and stronger and with the help of Trump, traditional financial sectors will dwindle down and interest will turn to digital currencies which is what Trump hopes to do as he mentioned that he wants US to be the world's capital of cryptocurrencies.

Won't having bitcoin as their strategic reserve harm US dollar? Especially with the rise of BRICS and their dedollarization agenda, won't Trump be just making their job easier if he were to prioritize bitcoin?

Don't get me wrong, as someone not from the US but is holding bitcoin, if Trump were to follow through his promises it would greatly benefit me but I am just pondering over the real chances of Trump doing this. Am I correct with my assumption that dollar might weaken as bitcoin gets stronger? and if I am, won't that make bitcoin a direct competitor of the US dollar? What will the dollar benefit from Trump doing this? or am I missing something here?

 If Trump implements his bitcoin plans, it will give a huge boost to bitcoin in the first place, and probably the entire crypto market. The formation of government reserves will mean a sharp increase in demand for bitcoin and a decrease in its supply on the market, which means a rise in price. Given that the state reserve is not a million dollars, but orders of magnitude more, the price of bitcoin will increase more than noticeably.
On the other hand, it will devalue the dollar to some extent....


UPD. And most importantly - bitcoin in the state reserve does not mean that bitcoin is recognized as an official means of payment and a substitute for the fiat dollar

[Oluwa-btc]

Remember that last time Trump was president he claimed to be against Bitcoin, because it was harmful to Dollar currency, and he is in full support of Dollar. Therefore, let's wait to see what is really going to happen in practice. Speeches during electoral campaigns give many expectations to the voters, but once the government takes place, things happen in a very different way. Personally, I doubt Bitcoin is going to have a special importance in the upcoming government. I believe Bitcoin was just used as a cheap campaign trick to gather votes from its enthusiasts, and especially the youngest ones.

I know right,but Inasmuch as you still feel and think that way,the best is yet to come out of Bitcoin in this Trump's tenure and government,There'll likely be a change this time around for Bitcoin and the economy at large.I know a lot of us feels that they used the likes of Bitcoin to get their votes,stay fixed&focused.US dollar will rule but Bitcoin will always be Bitcoin;Bitcoin stays!!

[Oluwa-btc]

Remember that last time Trump was president he claimed to be against Bitcoin, because it was harmful to Dollar currency, and he is in full support of Dollar. Therefore, let's wait to see what is really going to happen in practice. Speeches during electoral campaigns give many expectations to the voters, but once the government takes place, things happen in a very different way. Personally, I doubt Bitcoin is going to have a special importance in the upcoming government. I believe Bitcoin was just used as a cheap campaign trick to gather votes from its enthusiasts, and especially the youngest ones.

I know right,but Inasmuch as you still feel and think that way,the best is yet to come out of Bitcoin in this Trump's tenure and government,There'll likely be a change this time around for Bitcoin and the economy at large.I know a lot of us feels that they used the likes of Bitcoin to get their votes,stay fixed&focused.US dollar will rule but Bitcoin will always be Bitcoin;Bitcoin stays!!

[YOSHIE]

Am I correct with my assumption that dollar might weaken as bitcoin gets stronger? and if I am, won't that make bitcoin a direct competitor of the US dollar? What will the dollar benefit from Trump doing this? or am I missing something here?

In my understanding, Trump will only be in power for the next five years. I see that many of Trump's policies when he became the first US president were not resolved. This is meaningful when compared between the US Dollar vs. Bitcoin exchange rate. Bitcoin's value doesn't seem to have a big impact on the US Dollar, considering.

As far as I know, the weakening and strengthening of the US Dollar is greatly influenced by the policies of the US government itself and also the Federal Reserve, while Bitcoin, as we know, its value is determined based on supply and demand, that is the essence or can also be influenced byother external factors.

Likewise with the control of Bitcoin, we generally know that it only operates based on a blockchain network or what is called transparent and decentralized. The US Dollar, as I said above, the government has power over the US Dollar.

There are interesting things to read when talking about US Dollars vs Bitcoin or being linked to Trump in the future.

The US dollar is the official currency in many countries and is widely used in international trade. Bitcoin, on the other hand, is still struggling to gain recognition as a legitimate currency in many countries, despite its growing adoption as an investment asset and means of payment.

A number of large companies have started accepting Bitcoin as payment, and some countries such as El Salvador have adopted it as a legal currency. However, Bitcoin still has to face various challenges, including price volatility and strict regulations.

A comparison between the US Dollar and Bitcoin shows significant differences in terms of value, security and usage. Even though the US Dollar still dominates global financial markets, Bitcoin has shown tremendous potential as an attractive alternative for investors and users. Only time will tell how the two will evolve and compete in the future.

My assessment is that El Salvador has adopted Bitcoin, the currency used in El Salvador is also the US Dollar, are there any drastic changes to the US Dollar, the answer is no, I think this would also be the same if Trump adopted a policy like El Salvador.

[Marvell1]

Trump loves the US dollar more than Bitcoin. He's concerned of the dollar more than he's concerned of Bitcoin. If he ever fulfills his promise of backing the US dollar with Bitcoin, it's not as much in support of Bitcoin as in support of the USD itself. The goal is to make the dollar great, powerful, dominant again. And if Bitcoin serves that purpose in one way or another, then it would be utilized. Bitcoin would grow stronger that way, but so is the dollar.

Let's not forget his campaign slogan for the past 8 years was "Make America Great Again" and the USD represents the power of the United States. So he will do anything or even try to eliminate bitcoin if it hurts the USD. But I find it quite surprising that some people miss this important point and argue that his use of bitcoin will hurt the USD.

We still don't know if he will keep his promise and what he will use bitcoin for but I am pretty sure he will not use bitcoin as an alternative currency because that will directly affect the dominance of USD. A strategic reserve in bitcoin sounds more reasonable but is not easy to implement

[Findingnemo]

Won't having bitcoin as their strategic reserve harm US dollar? Especially with the rise of BRICS and their dedollarization agenda, won't Trump be just making their job easier if he were to prioritize bitcoin?

First of all, politicians doesn't really commit themselves to fulfill all the promises given during the election and he will not make it reserves for the benefit of USD, because their superpower strength will last as long as countries using dollars as their reserves and if US itself consider it as unsafe and looking for Bitcoin which will definitely help Bitcoin to grow a lot but the possibility of happening is very minimal.

[Fortify]

Now that Kamala Harris has conceded and does not seem interested in fighting the results (i.e by conducting a recount), we can now claim Trump to be the next US president for the second time. Of course, he won't have any power over anything until he is inaugurated but looking at the promises he made during his election I think we can start discussing about what could happen when Trump does whatever it he said the past few months once officiated as president.

One that concerns me is his promise of establishing bitcoin as the nation's strategic reserve. Doing this would definitely help with the perception of bitcoin to the general public and would be hugely beneficial to those who are already holding bitcoin now. However we also need to consider what this could mean for the US dollar? With bitcoin getting stronger and stronger and with the help of Trump, traditional financial sectors will dwindle down and interest will turn to digital currencies which is what Trump hopes to do as he mentioned that he wants US to be the world's capital of cryptocurrencies.

Won't having bitcoin as their strategic reserve harm US dollar? Especially with the rise of BRICS and their dedollarization agenda, won't Trump be just making their job easier if he were to prioritize bitcoin?

Don't get me wrong, as someone not from the US but is holding bitcoin, if Trump were to follow through his promises it would greatly benefit me but I am just pondering over the real chances of Trump doing this. Am I correct with my assumption that dollar might weaken as bitcoin gets stronger? and if I am, won't that make bitcoin a direct competitor of the US dollar? What will the dollar benefit from Trump doing this? or am I missing something here?

What does strategic reserve even mean in this context because it doesn't make much sense. America already has the reserve currency of the world and will never have the ability to control Bitcoin in any way, because by it's very nature it is decentralized. That basically means whichever countries can control the computing power behind it, potentially enough to control 51% or more - will be in charge of it's future. Trump has said a lot of things in the past but is very random in what he actually ends up doing, so we cannot rely on him for anything but his own self interested gain. The fact that Elon has a position of power within the government might allow him to make some moves that will benefit cryptocurrency.

[Catenaccio]

What does strategic reserve even mean in this context because it doesn't make much sense. America already has the reserve currency of the world and will never have the ability to control Bitcoin in any way, because by it's very nature it is decentralized. That basically means whichever countries can control the computing power behind it, potentially enough to control 51% or more - will be in charge of it's future. Trump has said a lot of things in the past but is very random in what he actually ends up doing, so we cannot rely on him for anything but his own self interested gain. The fact that Elon has a position of power within the government might allow him to make some moves that will benefit cryptocurrency.

A fact is known for everyone including USA government as well as other governments. They knew that if they can succeed to control Bitcoin network, are able to do 51% attacks, Bitcoin value will be damaged. They will not do this if they want to add Bitcoin to their national treasuries, because it is like their suicides with their own money and national treasuries.

They will only do it if they don't have bitcoin in their national treasuries, and they want to destroy Bitcoin network, its decentralization and Bitcoin value.

How many Bitcoin confirmations is enough?
https://jlopp.github.io/bitcoin-confirmation-risk-calculator/

[Cryptmuster]

Let's not forget his campaign slogan for the past 8 years was "Make America Great Again" and the USD represents the power of the United States. So he will do anything or even try to eliminate bitcoin if it hurts the USD. But I find it quite surprising that some people miss this important point and argue that his use of bitcoin will hurt the USD.

We still don't know if he will keep his promise and what he will use bitcoin for but I am pretty sure he will not use bitcoin as an alternative currency because that will directly affect the dominance of USD. A strategic reserve in bitcoin sounds more reasonable but is not easy to implement

Cogngres is already preparing a proposal to consider bitcoin as a strategic reserve with a clear purchase plan, so if adopted, this could all happen very quickly, although understanding how quickly bureaucratic institutions work, I assume that this could all stretch out for quite a long time. But the most important thing is for this to happen, it will give bitcoin an additional impetus for growth. From the events that are developing, I see a possible high for bitcoin in January-December, then a better time for altcoins, which are waiting in the wings, may follow.

[TheUltraElite]

It is a waiting game to see how far the US government goes to keep up their promises. Most parties are unable to keep more than 40% of what they spew out. Then its just a matter to keeping the tugging continued with voters lamenting for their choice. Its not that the other party would have been better - both are sticks from the same stack.

The bitcoin users need to stick together and make their voice heard, not appear to follow in the lines of some party, it ruins the concept of decentralization.

[Haunebu]

Let's be real here. Anyone with a sane mind knows that Trump just used gullible crypto investors for votes and doesn't really give two shits about BTC or any other crypto currency for that matter.

He probably forgot about his pointless promises already. This ongoing crypto pump will stop and there will be a massive correction at some point. The USD will probably get weaker again once he implements some of his policies.

[WillyAp]

Let's be real here. Anyone with a sane mind knows that Trump just used gullible crypto investors for votes and doesn't really give two shits about BTC or any other crypto currency for that matter.

Have look how much he's changed:
https://invezz.com/news/2024/11/12/trump-meme-coin-pnut-skyrockets-320-in-24-hours-after-election-victory/

Money makes the world go round

[Coyster]

It is a waiting game to see how far the US government goes to keep up their promises.

The U.S. government didn't make any promises, lol, Trump was campaigning for president and he said things he would do as regards bitcoin and crypto if he won, which he did win.

The bitcoin users need to stick together and make their voice heard, not appear to follow in the lines of some party, it ruins the concept of decentralization.

Even if they support one party, they should not have to involve bitcoin in it. I know that a government like that of the U.S. has quite a lot of influence on bitcoin price, but nothing can ruin its decentralization.

[Marvell1]

Let's not forget his campaign slogan for the past 8 years was "Make America Great Again" and the USD represents the power of the United States. So he will do anything or even try to eliminate bitcoin if it hurts the USD. But I find it quite surprising that some people miss this important point and argue that his use of bitcoin will hurt the USD.

We still don't know if he will keep his promise and what he will use bitcoin for but I am pretty sure he will not use bitcoin as an alternative currency because that will directly affect the dominance of USD. A strategic reserve in bitcoin sounds more reasonable but is not easy to implement

Cogngres is already preparing a proposal to consider bitcoin as a strategic reserve with a clear purchase plan, so if adopted, this could all happen very quickly, although understanding how quickly bureaucratic institutions work, I assume that this could all stretch out for quite a long time. But the most important thing is for this to happen, it will give bitcoin an additional impetus for growth. From the events that are developing, I see a possible high for bitcoin in January-December, then a better time for altcoins, which are waiting in the wings, may follow.

Are you referring to the news that they are proposing to sell gold reserves to buy bitcoin for national reserves? But as you can see, they also aim to use bitcoin as an asset similar to gold, they do not intend to turn bitcoin into a currency as many people mistakenly believe. How can it be said that bitcoin can harm the dominance of USD? The Trump administration may try to block the issuance of CBDCs in the United States, but the use of bitcoin as a currency will never happen.

Certainly, if they can pass that proposal and make bitcoin a strategic reserve, this would have a huge impact on bitcoin as other countries will soon join the US. I believe that would be the scenario that would get bitcoin to $1 million as quickly as possible.

[bangjoe]

Let's be real here. Anyone with a sane mind knows that Trump just used gullible crypto investors for votes and doesn't really give two shits about BTC or any other crypto currency for that matter.

He probably forgot about his pointless promises already. This ongoing crypto pump will stop and there will be a massive correction at some point. The USD will probably get weaker again once he implements some of his policies.

That is uncertain, let's see after his inauguration, what he will do with Bitcoin in America, he said he would fully support the Crypto industry in the US and it became a big catalyst why the market was very bullish about Bitcoin and this industry in the future.

However we will witness whether he is a liar or not because the digital track record is very clear and can be easily found, the dollar is destined to decline in the long run, that is the mechanism of Fiat.