Bitcoin, which declined last week after the non-farm payrolls data released in the US, could not exceed the $70,000 level despite rising after this week's inflation figures and the Fed decision. While investors are questioning whether the uptrend is over, Fidelity executive Jurrien Timmer stated that new peaks can only come with the growth of the Bitcoin network.
Timmer, Fidelity's global macro manager, pointed out in his assessments on his X account that network growth in Bitcoin has slowed in recent months. Timmer said, "The growth of the Bitcoin network has slowed in recent months. However, we see that the price has increased and remains high. This price-adoption mismatch may be behind Bitcoin's failure to reach new records. The Bitcoin price has been and will continue to swing like a pendulum around the growth curve. For records, the network needs to grow again. How will this happen? Perhaps with the arrival of the next phase of the financial dominance thesis..."
Timmer's fiscal dominance thesis is based on the mismatch between countries' fiscal and monetary policies. This results in central banks' monetary policies being ineffective at times. Timmer said that the US's rising debt and falling GDP rate could cause people to turn to assets such as Bitcoin, which could accelerate the growth of the Bitcoin network again. Timmer also tweeted that Bitcoin is a far superior asset than gold.
