Why Should You Buy Bitcoin? (Relevant Forecast from Mark Heart)

22.03.2016 Many of you have probably watched much-talked-of movie “The Big Short”, scenario of which is based on real events. The character Michael Burry predicts a mortgage crisis that took place in the USA in 2006 - 2007. It became a kind of prelude of worldwide economic crisis known as Great recession.
The main character’s reflections on forthcoming global economic collapse were not extraordinary in 2005. The same views were shared by several not famous at one time experts, including Mark Heart. He not only predicted development of mortgage crisis, but earned on it as well. Heart is a reputable expert on China. He recommends Chinese government to weaken yuan at least by half this year.
Mark Heart is the head of the hedge fund Corrinete Advisors with the head-quarters in Texas, USA. The famous financier willingly shared his opinion on prospects of Chinese national currency.
 ‘It is possible to take yuan from current critical condition through not a one-time but step-by-step devaluation’, said Heart shortly before G-20 summit. Gradual devaluation of Chinese national currency threatens with:

• From time to time government has to unload onto the market currency reserves, gradual depletion of which will lead to the development of uncontrollable processes in economics.
• Instability of Chinese domestic market will result in domino effect and spread to other countries across the world. Chinese economics is one of the largest in the world; moreover, the country is a global supplier of products and services. Imbalance will certainly lead to problems of global-scale.

According to Heart, one-time devaluation will at first scale up capital outflow but will result in economic improvement in the long run. If currency reserves are spent at this rate, the situation will be out of control very quickly.
Well, Heart has succeeded to earn good money on devaluation of Chinese currency through speculations on a fall. In his latest interview he offered a new idea – he recommended to purchase Bitcoin or exchange it at the best exchangers.
 
Why Bitcoin?
Chinese government toughens control over finances. Population does not consider recently stable yuan as a successful investment and intends to transfer savings out of the country. Total amount is around 25 trillion dollars. However, restrictions on bringing in/out currency disturb people. The major part of population has a chance to protect savings via buying Bitcoin. Well, it should be done long before devaluation of yuan when cryptocurrency value was not more than 215 USD (currently it is over 400 USD). Transactions within Bitcoin system are absolutely anonymous; they allow managing your own capital without unnecessary control from official authorities. It is an easy guess how much profitable investments into cryptocurrency would be if its value grew almost twice in a very short time.
Government actions provoke panic among population. Toughening of control usually furthers capital outflow and weakens yuan positions. It is expected that population will begin massively to buy gold as one of the equivalents of financial prosperity. However, disharmony between depletion of state gold reserves and increase of gold reserves in hands of population leads to no good in economics. Bitcoin offers an array of advantages over gold. It doesn’t have material realization, so bitcoin-holders do not face obvious problems with transportation.
Increase in Bitcoin demand is one (but not a single) reason for next unscheduled increase in cryptocurrency rate. Digital money reminds a character of the famous writing “The Invisible Man” and is capable of evading all artificially created obstacles. There are several reasons:

1. It is possible to draw a parallel with summer 2015 events, when one more boost in exchange rate was determined by Greek crisis and Greek population began purchasing cryptocurrency.
2. Complication of mining, limited remittance and expected reduction of Bitcoin-bonuses for discovery of new blocks are among important factors.

It is not difficult to predict how much the increase in the cryptocurrency rate will be influenced by decision of Chinese population (over 1 milliard people) to invest in electronic money.
Intrigues of cryptocurrency ill-wishers, who called 100% increase in Bitcoin rate in China in 2015 as a “financial pyramid”, failed. Population continues purchasing the alternative monetary unit. Heart doubts continuous hegemony of Bitcoin but accepts its value as an instrument for significant short-term income.
Yuan instability which devaluation is inevitable, does not exhibit a smooth character. Periodic interventions cause significant rate fluctuations and may lead to obvious risks for major players in financial market. It is much more reasonable as soon as possible to count on increase in Bitcoin rate. One could already suspect that great influence in the amount of 25 trillion dollars (approximate value of Chinese population deposits) will result in substantial increase in cryptocurrency value, total capitalization of which is around 6.5 milliard dollars. The price of the virtual coin may reach 1.6 million dollars.
Heart’s forecast is based on reality. It is visible to the naked eye that the financial world is on the threshold of convulsions. Bitcoin has an excellent chance to remove fiduciary monetary units from Fame Olimpus and become the major reserve currency of the global scale.