Most politicians, even those that were on the optimistic end of the spectrum, didn’t see the coronavirus as being an economic boost by any means. Back in April 2020, Bitcoin was sitting below $10,000, despite the fact that Reserve banks everywhere were going into overdrive printing money.
However, only a year on, and the outlook has changed dramatically; with vaccines rolling out efficiently in most places, economists are feeling optimistic about the future, with inflation more likely than deflation.
For a second month, investors have been optimistic about the future of the world’s economy, and these predictions seem to be sticking. The proof is in the pudding: Bitcoin now sits about $50,000.
According to Deutsche Bank, 43% of investors expect higher inflation posing the biggest risk now to the economy. In the U.S., inflation is above was the U.S. Federal Reserve hoped for, but it’s still below 3%.
Amazingly, 61% of predictions believed that there is no risk to markets this year, as the Federal Reserve plans to taper asset purchases at $120 billion a month.