The potential downfall of the US Dollar in the coming months may be due to a global economic phenomenon known as the “Bitcoin May Panic”. Although this phenomenon is nothing new, the fact that the global financial markets have suddenly become so volatile and unsettled with such a short period of time is a very troubling situation indeed. This issue has been causing concerns among many business investors around the globe and they have been scrambling to come up with some kind of an effective strategy to protect themselves and their capital from the possible loss of thousands of dollars.
Many people are concerned that the recent turmoil in Cyprus and the UK financial markets could lead to the United States dollar and European Euro becoming worthless. Indeed, in some markets the US Dollar has already lost over 50% of its value in recent months, but this may not necessarily mean that everything else is going to follow suit. In fact, this could also cause a large number of US investors to lose a lot of money on their investments in the upcoming months as well.
It is important to realize that just because a country’s currency loses value against other currencies does not necessarily mean that it is going to go bankrupt or be wiped out completely in a matter of weeks or months. However, this has made it much more difficult for many investors to protect their funds and avoid losses. Even the most successful investors will want to invest money in a well-regulated market such as the stock market, not a highly volatile currency market.
It is also important to realize that the current turmoil in Cyprus is likely only one small piece of a bigger puzzle that many have been trying to figure out in the recent months. It is believed that the global economic crisis is going to continue to wreak havoc on the world economy for a very long time and we cannot fully expect the United States to stop paying attention to this growing issue, nor can we expect Europe to get over this problem as quickly.
There is a possibility that the European Union could actually become involved in the process of rescuing Cyprus, but this is something that should not even be considered until the United States government takes action. This is a very volatile situation and the sooner we can start putting a stop to it, the better it will be for the future of the United States Dollar. and Europe as a whole.
At this point, it would appear that the only way that the United States government is going to be able to put some kind of a stop to the global economic meltdown is to impose a strict and extensive trade embargoes on all of its trading partners. This is not the easiest thing to do at this point, however, which means that there may be very limited ways that this problem can be resolved before the end of the year. However, if this is going to happen, then it is extremely important to remember that we may be able to take some comfort from the fact that the global economy is not going to collapse any time soon, but it may also be in our best interest to prepare ourselves for possible loss of some US Dollar wealth.