Bitcoin in this Geopolitical Landscape!

Bitcoin is surging as inflation hits many food commodities.  Russia imports 29% of the world’s wheat.  The US buys $700 Million worth of fertilizer from Russia per year.  Russia was kicked off the SWIFT banking system yesterday.  So their Oil imports will be denominated in another non USD currency from now on.  Gasoline and food prices will skyrocket from here on out!  Below is a chart of the price index of Salmon:

Next is a price index for Wheat:

 

 

Remember from a week or so ago.  We had a blog that discussed the different types of inflation.  They are:

Grocery and gasoline indexes are in charts below tracking nine food commodities.  Both are at all time highs and expected to keep climbing!  We have been warning about this for nearly two years now!  See the food and gasoline charts below:

 

 

As fertilizer begins to increase in scarcity, there will be food shortages.  Build a garden!  Now is a great time to start!  Here is mine:

 

 

Established circa May 2020.  It is work outside, which is healthy and it takes your mind off of everything that is going on.  Great therapy!  

 

As supply crisis after supply crisis comes up in the future, which we expect.  Prepare for them.  As supplies tighten raw materials go up in cost, food, transportation, all of it.  This means one has to hedge inflation in advance to get ahead of it.  In case you needed more convincing that things are getting dicy out there, in the real world.  Below is an index for the VIX chart.  It indexes volatility.  The chart shows the VIX breaking up, and the below chart is the S&P 500 breaking down:

 

 

Meanwhile the greatest inflation hedge in the world, Bitcoin, is breaking out as well.  We expect resistance at $46K to $47K.  If Bitcoin breaks through that resistance, and it’s when not if, Bitcoin will break the ATH of $69K!  The blue box in this next BTC chart shows the range Bitcoin has been trading in.  It is prime to break out very, very soon.  See the chart below:

 

 

This next chart is zoomed out to 2017.  After that bull market top of $20K, Bitcoin touched a base resistance between $3K and $3.5K three different times.  It broke through the resistance on the way to the ATH in 2017, bounced off of it in late 2018 and again during the Covid crash in March 2020.  See the red circles.  After the Covid crash, Bitcoin performed a 10X surge, broke through resistance at $30K in January and May 2021.  Now in February 2022, Bitcoin has bounced off of this resistance again and is climbing towards this $46K to $47K level.  The base is set.  It took over a year of consolidating.  Could Bitcoin be ready to surge 9X to 10X now, or very soon?:

 

 

It is not easy to hold Bitcoin due to the volatility.  However, look at the Geopolitical landscape we are living in now.  The Russia Ukraine crisis is a black swan event.  There will be more.  We expect a China Taiwan crisis to kick off at some point, this year.  As these come up, we are seeing countries getting removed from the SWIFT banking system.  So far only Russia, but China could see something similar as well if that crisis comes to fruition.  We have to wait and see what unfolds.  

 

Mexico is voting on making Bitcoin legal tender.  Russia is embracing Bitcoin, we are not clear on their intent regarding Bitcoin.  We know millions of Russians and Ukranians are adopting Bitcoin as this crisis unfolds.  We expect future crisis to unfold and inflation to worsen to a large degree in 2022.  It will be a tumultuous year, it is time to hedge inflation.  We are not financial advisors, and this is not financial advise.  Research Bitcoin, hold it long term and do not trade it.  Get possession of your own keys.  Do NOT hold Bitcoin on an online exchange!  Keep security of your coins a HIGH priority.

 

Neutral ATM is here to get everyone off of zero Bitcoin.