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Peter Thiel Believes Current High Bitcoin Prices Point to US Inflation

UTC by Tolu Ajiboye · 3 min read
Peter Thiel Believes Current High Bitcoin Prices Point to US Inflation
Photo: Fortune Live Media / Flickr

Before the Chinese crypto crackdown happened back in September, Theil cautioned the US government that it could become a “Chinese financial weapon.”

Billionaire venture capitalist Peter Thiel recently suggested that the high price of Bitcoin is indicative of inflation in the US. The Paypal Holdings Inc (NASDAQ: PYPL) co-founder stated this while speaking at the second National Conservatism Conference conference on Sunday – adding that he should have bought more BTC earlier. According to Bloomberg, He said:

“You know, $60,000 Bitcoin, I’m not sure that one should aggressively buy,” he said. “But surely what it is telling us is that we are having a crisis moment.”

Meanwhile, back in October, some analysts at banking giant JPMorgan also stated that BTC was in strong form. However, they ascribed the aforementioned trend to inflationary concerns, as opposed to the launch of new US Bitcoin exchange-traded funds.

According to Thiel, the US economy is facing real inflation, and the price rises currently being experienced are not transitory. Furthermore, the German-American businessman criticized the Federal Reserve for treating inflation with levity and not properly tackling it. Thiel showed disapproval at the Federal Reserve’s ‘ill-advised’ assumption that it could print money without triggering inflation. As far as he was concerned, the governing bank was just complicit in compounding the inflation issue due to its close-mindedness.

Peter Thiel Considers Himself a Bitcoin Devotee amid Perceived Inflation

In the past, Thiel has considered himself to be in favor of crypto and even referred to himself as “pro-bitcoin maximalist.” Furthermore, the conference served as a veritable hotbed whereupon he voiced his displeasure at the Fed.

Meanwhile, other speakers slated to attend the convention included a slew of US Republican lawmakers. They are Senators Josh Hawley of Missouri, Marco Rubio of Florida, and Ted Cruz of Texas. Rounding out the group is Ohio Senate candidate JD Vance, a venture capitalist and the author of “Hillbilly Elegy”. The US Congress hopeful is currently enjoying the backing of Thiel and even benefitted from a generous donation from the billionaire investor.

In addition, another Senate hopeful who has benefitted from Thiel’s largess is Arizona Senate candidate Blake Masters. In addition to running for Senate, Masters also happens to lead Thiel Capital as well as the Thiel Foundation. Both Masters and Vance were the beneficiaries of a $10 million donation by Thiel to super PACS that support their cause.

Theil Previously Cautioned Washington after China Crypto Crackdown

Before the Chinese crypto crackdown happened back in September, Theil cautioned the US government that it could become a “Chinese financial weapon.” Furthermore, speaking last month on the digital currency, he also stated:

“It’s the canary in the coal mine. It’s the most honest market we have in the country, and it’s telling us that this decrepit […] regime is just about to blow up.”

As of press time, BTC is at $62K, a 2% rise in a day. Last month alone, the digital asset rallied by 29%. BTC was the highest performing digital currency in the month of October after riding a five-month rally. Plus, the crypto even set a new all-time high of just under $67K.

Bitcoin News, Cryptocurrency news, News
Tolu Ajiboye
Author Tolu Ajiboye

Tolu is a cryptocurrency and blockchain enthusiast based in Lagos. He likes to demystify crypto stories to the bare basics so that anyone anywhere can understand without too much background knowledge. When he's not neck-deep in crypto stories, Tolu enjoys music, loves to sing and is an avid movie lover.

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