Renowned macro analyst: Liquidity easing requires nuclear-level money printing, short-term bearish on Bitcoin

On December 20, Forest for the Trees founder and macroeconomic analyst Luke Gromen stated on the podcast “The Monetary Matters Network” that he has been very optimistic about Bitcoin for a long time, having bought most of his positions below $30,000 at the end of 2022 and early 2023, holding them ever since, and never selling. However, he has now turned short-term bearish on Bitcoin for the following reasons: 1. Bitcoin’s price movement remains highly correlated with tech stocks. But in the future, the bottleneck for AI competition will be electricity rather than semiconductors, so the outlook for Bitcoin and tech stocks is not optimistic. 2. Bitcoin has not experienced a breakout relative to gold. The future liquidity environment will be “either nuclear-level money printing or tightening.” 3. Quantum computing poses a threat to Bitcoin. “This could become an issue within 2 to 9 years.” Gromen emphasized that Tether’s recent moves are a very noteworthy factor; they have recently invested in AI and gold. Their gold holdings on the balance sheet are larger than their Bitcoin holdings. These are all points worth paying attention to.