EUR/BTC Down by 80% Since This Scary ECB Prediction for Crypto

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As a seasoned researcher with over two decades of experience in the financial industry, I have witnessed the rise and fall of various economic systems and assets. The recent developments in the cryptocurrency market, particularly Bitcoin (BTC), have been nothing short of captivating.

Following the fall of the FTX/Alameda network, the European Central Bank (ECB) expressed an anxious forecast suggesting impending irrelevance for all cryptocurrencies. However, Charles Edwards from Capriole Investments asserts that the demise of fiat currency could occur even sooner.

EUR/BTC lost 80% since ECB predicted Bitcoin‘s irrelevance

Ever since the European Central Bank (ECB) released their comprehensive report penned by Ulrich Bindseil and Jürgen Schaaf, I’ve observed a significant 80% drop in the euro’s value against Bitcoin (BTC). This document, known as “Bitcoin’s last stand,” was laden with cautionary warnings for Bitcoin, which held a value of $16,000 at the time.

In simpler terms, the European Central Bank (ECB) expressed a desire for Bitcoin’s demise when its value reached $16,000. However, instead of being a final, desperate effort (one last gasp), it turned out to be the lowest point in Bitcoin’s generation. Since then, the Euro has dropped by 80% compared to Bitcoin. It wouldn’t be surprising if this moment indeed represented the highest value for the Euro. If the ECB doesn’t change their current policy…

— Charles Edwards (@caprioleio) November 15, 2024

As a researcher, I found myself referencing a previous report I had shared on my account regarding cryptocurrency analysis and investment, specifically calling out the European Central Bank (ECB). In doing so, I acknowledged that this reference might have coincided with the peak of the EUR price rather than the Bitcoin price.

As a crypto investor, I’m keeping a close eye on the possibility of Bitcoin (BTC) being added to the Federal Reserve in the U.S., as this could significantly impact the value of the euro. However, I’m convinced that the demise of all fiat currencies is not a question of if, but rather when it will happen.

Contrary to the estimates made by the European Central Bank, Edwards’ “Bitcoin Energy Value Model,” which predicted a value of $100,000 for Bitcoin (BTC) within five years as of March 2020, is remarkably on track with reality.

This week, Bitcoin reached a high of more than $93,000, which means it only requires an approximately 7% increase to reach the predicted six-digit value as suggested by the analyst.

ECB remains adamantly anti-crypto despite BTC price reaching new highs

Previously reported by U.Today, a November 2022 report from the European Central Bank amplified the fear following the FTX collapse. The advisors of the ECB expressed concern that Bitcoin’s (BTC) days might be numbered.

Despite its exceptional growth in Q4, 2024, the European Central Bank members remained skeptical about it. As the performance began to soar, the regulator expressed concerns that such progress might further widen social disparities.

One of the authors of the recent report, Schaaf, advocated for phasing out Bitcoin (BTC), arguing that it siphons off liquidity and consequently weakens the buying power of conventional currencies due to its growing popularity.

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2024-11-15 19:17