In a recent tweet, legendary trader Peter Brandt opined that Bitcoin would “continue to trend higher” despite many analysts claiming that its rally is too overstretched.
His bullish case is built on the fact the purchasing power of the U.S. dollar continues to diminish.
Brandt is also convinced that both U.S. equities and commodities will continue to appreciate in fiat terms for the same reason.
Stimulus aid pushes Bitcoin higher
Bitcoin is trading in the green this Sunday, soaring to an intraday high of $50,877 earlier today.
On Friday, the largest cryptocurrency dipped to the $46,000 level when the global bond turmoil tanked the equities market. It then managed to end the day in positive territory after the U.S. stocks staged a major comeback near the end of the trading session.
The $1.9 trillion relief package that was passed by the Senate on Saturday has contributed to Bitcoin’s ongoing recovery.
In his recent op-ed posted in the Washington Post, prominent American economist Larry Summers opined that the massive stimulus bill could threaten future inflation:
We must make sure that it is enacted in a way that neither threatens future inflation and financial stability nor our ability to build back better through public investment.