February 14 News, Bitcoin entrepreneur Anthony Pompliano recently stated that as inflation data declines, Bitcoin investors face the challenge of reassessing their holding motivations. Pompliano pointed out on Fox Business that the value of Bitcoin lies in its limited supply, and when governments increase money issuance, Bitcoin prices tend to rise. He believes that, like gold, Bitcoin is a preferred long-term investment asset, but during periods of weakening inflation, investors may need to be more cautious about their reasons for holding.
According to data from the U.S. Bureau of Labor Statistics, the Consumer Price Index (CPI) in January decreased from 2.7% in December to 2.4%. Moody’s chief economist Mark Zandi warned that reported inflation data might be lower than actual experience, implying that market demand for inflation-hedging assets like Bitcoin could be affected in the short term. Pompliano stated that the macroeconomic environment will continue to influence Bitcoin price volatility, referring to this as the “currency slingshot effect”—the short-term deflation masking the dollar’s devaluation trend, which may lead investors to focus more on Bitcoin’s value preservation function in the future.
Currently, market sentiment for Bitcoin has fallen to its lowest point since June 2022. The Crypto Fear & Greed Index shows an “extreme fear” score of 9. According to CoinMarketCap, Bitcoin’s current trading price is approximately $68,850, down nearly 29% over the past 30 days. Pompliano believes the Federal Reserve will continue to expand the money supply to combat inflation, which will further devalue the dollar, and as digital gold, Bitcoin’s value is expected to become more apparent in the future.
Pompliano’s view reminds investors that, despite obvious short-term market volatility, Bitcoin remains attractive in the context of the global macroeconomic environment and potential dollar devaluation. Monitoring CPI data and the dollar index closely will help assess the feasibility and potential returns of Bitcoin holding strategies.
Disclaimer: The information on this page may come from third parties and does not represent the views or opinions of Gate. The content displayed on this page is for reference only and does not constitute any financial, investment, or legal advice. Gate does not guarantee the accuracy or completeness of the information and shall not be liable for any losses arising from the use of this information. Virtual asset investments carry high risks and are subject to significant price volatility. You may lose all of your invested principal. Please fully understand the relevant risks and make prudent decisions based on your own financial situation and risk tolerance. For details, please refer to
Disclaimer.
Related Articles
In the past 24 hours, liquidations across the entire network totaled $197 million, with short liquidations accounting for over 54%.
Gate News message, April 7, according to CoinAnk data, over the past 24 hours the entire network liquidated $197 million in total, including approximately $89.12 million in long positions and approximately $108 million in short positions. By coin, liquidations were approximately $98.06 million for Bitcoin and approximately $37.04 million for Ethereum.
GateNews3m ago
Bitcoin miners face a new rival for cheap power as Anthropic signs multi-gigawatt compute deal
Anthropic has announced a partnership with Google and Broadcom for "multiple gigawatts" of next-generation TPU compute capacity expected to come online starting in 2027, a commitment the company called its most significant to date as revenue growth accelerated to a $30 billion annual run rate
CoinDesk23m ago
Bitcoin, ether, solana hold steady as Trump sets Tuesday night deadline for Iran deal
Bitcoin dipped to $68,589 after a brief rally fueled by ceasefire news, as geopolitical tensions persist. Other cryptocurrencies also fell. Market uncertainty continues, with Bitcoin trading within the $65,000 to $73,000 range, awaiting Trump's deadline for Iran negotiations.
CoinDesk1h ago
Bitcoin spot ETF saw net inflows of $471 million yesterday, with BlackRock’s IBIT leading the way at $182 million in inflows in a single day
On April 6, Bitcoin spot ETF net inflows reached $471 million, including a single-day net inflow of $182 million for the BlackRock ETF and a net inflow of $147 million for the Fidelity ETF. Bitcoin spot ETF total net assets were $90.26B, with cumulative net inflows of $56.43B.
GateNews1h ago
Bitcoin is hovering around the $68,000 threshold, and the risk of further downside is increasing as whales sell and demand remains weak.
Gate News: Bitcoin’s price has fallen to around $68,000. It had repeatedly failed to break through the $70,000 level, and market momentum has clearly weakened. The current price is still within the $65,000 to $73,000 trading range, but the risk of testing the lower end of the range is rising.
GateNews1h ago
