Bitcoin Bullish Over Next Five Years as Macro Guru Lyn Alden Foresees Growth Amid High US Interest Payments on Debt
Macro expert Lyn Alden is optimistic about Bitcoin’s future, particularly over the next five years, as the US government faces significant interest payments on its massive national debt exceeding $35 trillion. Alden, in a recent newsletter, highlights Bitcoin’s strong correlation with global liquidity, a trend she anticipates will persist.
Looking ahead, Alden expresses a bullish outlook on Bitcoin, acknowledging the importance of factoring in its volatility when managing portfolio positions. One key factor driving her positive stance is the projected “structurally high deficits” expected to confront the US government in the years to come.
Referencing data from the Congressional Budget Office (CBO), Alden suggests that the US national debt could surge to $55 trillion within a decade, with estimates indicating over $20 trillion in net new public debt additions over the next ten years. The escalating interest payments on the expanding national debt are seen as a catalyst for stimulating the US economy, contributing to global liquidity and favoring Bitcoin’s prospects.
Alden notes that the interest payments on the US debt, totaling $763 billion for the 2024 fiscal year according to Treasury Department data, represent the second-largest government expense, trailing only behind Social Security.
As of the latest update, Bitcoin is trading at $56,730, reflecting a 3.35% increase for the day.
In conclusion, Lyn Alden’s positive outlook on Bitcoin’s long-term performance is grounded in the interplay between the US government’s mounting debt burden, interest payments, and their implications for global liquidity dynamics. This perspective underscores the potential for Bitcoin to thrive amidst evolving economic landscapes and policy developments.
