Bitcoin

Gold

<h2 id="key-points">Key Points</h2>
<ul>
 <li>The non-renewal of the U.S.-Saudi Petrodollar deal is causing speculation in global financial markets.</li>
 <li>Analysts suggest gold and Bitcoin as potential hedges if the dollar falls.</li>
</ul>
<p>The U.S.-Saudi Petrodollar agreement, which has been in effect for half a century, was not renewed when it expired on June 9th. This has led to speculation about its potential impact on the global financial system and <a href="https://coineagle.com/price/bitcoin/" rel="noopener noreferrer nofollow">Bitcoin (BTC)</a>.</p>
<h2 id="the-petrodollar-deal">The Petrodollar Deal</h2>
<p>The Petrodollar agreement, established in 1974, guaranteed military assistance, security, and economic development support from the U.S. to Saudi Arabia, in exchange for the oil-rich nation selling its oil in USD. This agreement took place three years after the U.S. abandoned the gold standard.</p>
<p>Without the renewal of the Petrodollar, Saudi Arabia is now free to sell its oil in any currency. Last week, the country reportedly participated in a China-led cross-border trial based on Central Bank Digital Currency (CBDC). This move is seen by analysts as a step towards less global oil trade being conducted in U.S. dollars.</p>
<h2 id="impact-on-btc-and-gold">Impact on BTC and Gold</h2>
<p>Crypto analyst Doctor Profit believes the non-extension of the Petrodollar agreement could lead to the U.S. printing more dollars. The analyst stated that this would put the dollar under heavy pressure, leading to increased inflation. This would be bullish for gold, Bitcoin, stocks, and real estate.</p>
<p>A user on social media platform X (formerly Twitter) also shared the same sentiment, suggesting that the outcomes could be massive USD inflation and a significant move into gold, silver, Bitcoin, and commodities.</p>
<p>The “Bankless” podcast discussed the topic and its potential impact. Guest market analyst Lukas Gromen advised listeners to prepare for a market shift and explained how he would do so. Gromen anticipates inflation and sees gold and Bitcoin as the best hedges against it following the non-renewal of the Petrodollar deal.</p>

Bitcoin Set to Thrive as Petrodollar Agreement Collapses

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CoinEagle.com

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