Since discovering the wonderful world of Bitcoin, my perspective on international news has changed considerably, especially when it comes to economic matters. In this case, meetings between major powers like China and the United States always generate buzz in the market. That's why I'm asking you, how much influence will these kinds of meetings have on the market and Bitcoin?
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Their very purpose is to influence (or inoculate) markets.
Trump/Xi could have had a Zoom call, or just done things as normal through respective state department / IC channels... the big meetings are only for optics, the pomp and circumstance are optics crafted for market digestion of fore-shadowing.
A slow drip is more powerful than a flood. This meeting in particular highlighted Taiwan and Weapons sales questions... a nudge to the market to start pricing in the possibility that we quit selling billions in hardware there or further accelerate the away from their chip fab.
But how much will it influence things? And what about Taiwan's allies? Beyond the political facade, is the trade war really that crucial?
Influencing markets and influencing direction are different things
Direction is already decided, these public displays are a slow drip of informing us what decisions have already been made... the influence to the markets is to let them price that in slowly rather than a vol shock all at once
For national security absolutely, a country without an industrial base is not a country, trade policy can either support or destroy an industrial base
The dollar too is a part of trade policy, and the current construct of the dollar has been a disaster for national security... having to export dollars instead of goods hollows out the industrial base... creates debt. This is why Bitcoin is so important, a neutral reserve to taper the US off the Triffin Dilemma
That makes sense. What is Triffin's dilemma?
Basically the country with the world reserve currency has to run trade deficits and debt spending to keep the global system liquid, coined in the 60s. JD Vance even spoke about it while in the Senate. Major natsec issue.
the stability of a system that doesn't have it interesting.
I think it'll be the same old story—nothing but manipulation. Bitcoin's fundamentals continue to point in the same direction, unchanged.
We agree on that, although we know they haven't bought any more Bitcoin and their current debt is enormous.