Bitcoin (BTC) kicks off a new week with a target of $ 19,500 and more as the time for Brexit and the massive printing of US money meet.

Cointelegraph is looking at the price factors at stake for Bitcoin this week as the shaky $ 19,000 support is still in play.

Print $ 7 Trillion in Money?

The more controversial elements of US President Joe Biden’s future tenure are already becoming more apparent – and it’s good news for Bitcoin.

As his inauguration approaches, Biden has already said he plans a $ 7 trillion recovery package to address the impact of the coronavirus. This would add a huge new chunk of debt to the already massive mountain the US has built up this year.

Thus, against the backdrop of an already weakening dollar, the US could be faced with a powerful cocktail of dangerous economic factors driving down prosperity. So the appeal of a safe haven has never been more real.

“We had a terrible time in 2008 due to too much debt, and since 2008 debt has skyrocketed. We can’t even count how much debt has risen, ”said Jim Rogers, Quantum Fund co-founder with George Soros, at an investment freeze last week, quoted by Reuters.

“If Janet Yellen is the next treasury secretary, she likes to print and spend money.”

Such as Cointelegraph reported, the dollar’s strength is predicted to decline further in 2021, something that Bitcoin has traditionally supported. The greenback has been weakest against a basket of trading partner currencies since April 2018.

As an indication of the direction in which the US meanwhile Preston Pysh pointed out the opposite direction of US debt to M2’s monetary rate.

“Check out the inequality in these two charts – in 2020 alone,” he told Twitter followers.

“A growth of the M2 money supply of + 22.5%. Turnover speed drops by -20%. The printing house is nestling in bonds and stocks. It is causing a massive destruction of the middle class. Maybe you want to checkout Bitcoin. “

Stimulus comes without controls

New debts can come much sooner than even Biden can invoke. As senators began to hint on Sunday, a new coronavirus stimulus package could appear as early as Monday.

Subject to vote, the bill would have a price tag of nearly $ 1 trillion and “targeted relief,” said Democratic Senator Mark Warner of Virginia. CNN.

‘I think we did the numbers on the top line. We are now working on language so that we can have legislation tomorrow, ”he claimed.

Despite the Treasury Secretary Steven Mnuchin’s promises months earlier, little progress has been made with the new stimulus law. However, a second $ 1,200 incentive check for eligible Americans no longer features in the latest proposals.

The first $ 1,200 stimulus check from mid-April would be worth nearly $ 4,000 if invested in Bitcoin at that point.

UK meets its Brexit Waterloo

It’s a breeze for the UK and the European Union to sign a Brexit trade deal.

After many delayed deadlines and last-ditch attempts to resolve their disagreements, the two sides now accept that the time is up and that there is only a matter of days – or less – between leaving the UK with a deal or the crash. of the EU

“We remain calm as always and if there is still a way, we will see”, EU chief negotiator Michel Barnier told reporters during the weekend.

The pound was suppressed on Monday as uncertainty hit, and a surprising lack of a trade deal would automatically take more of its value, analysts said last week.

As with any major geopolitical event, the potential for Bitcoin to take advantage of the shock wave briefly remains, likely to come later on Monday.

Such as Cointelegraph reported Last week, Nigel Farage, formerly the head of the pro-Brexit UK Independence Party, described Bitcoin as the “ultimate anti-lockdown investment” in reference to the severe restriction of individual freedoms in London due to the coronavirus.

Buzzword Institutional FOMO

Within Bitcoin, attention remains on whether more “fear of missing out” or “FOMO” from institutional investors will see more massive buy-ins and a push on supply.

Even the mainstream media is fostering the idea of ​​a price transformation due to the entry of major players, which is all the more possible as the Federal Reserve supports stock markets and creates artificial competition.

Grayscale, the investment giant with more than $ 10 billion in Bitcoin assets under management alone, would be the industry’s first heavyweight to benefit in such circumstances.

“Institutional investors are excited about building a portfolio in the wake of Covid and the ways they need to reposition themselves, given the way governments have boosted the system,” said CEO Michael Sonnenshein. Bloomberg.