Billionaire Bill Ackman Foresees Bitcoin Surge and US Economic Downturn

Billionaire investor and CEO of Pershing Square Capital, Bill Ackman, has expressed optimism about the prospects of the leading cryptocurrency and suggested a potential decline of the US dollar amidst rising inflation.

A scenario:

Bitcoin price rise leads to increased mining and greater energy use, driving up the cost of energy, causing inflation to rise and the dollar to decline, driving demand for Bitcoin and increased mining, driving demand for energy and the cycle continues.

Bitcoin… https://t.co/a5LzX69R7q

— Bill Ackman (@BillAckman) March 9, 2024

“Scenario: Bitcoin price rise leads to increased mining and energy consumption, raising the cost of the latter, causing inflation to rise and the dollar to decline. This stimulates demand for Bitcoin, its mining, and energy consumption. The cycle continues, Bitcoin goes to infinity, energy prices soar, the economy collapses. Maybe I should buy Bitcoin,” he wrote.

Ackman added that this scenario “works in reverse as well.”

The billionaire’s post caught the attention of Bitcoin advocate and MicroStrategy founder Michael Saylor.

You should buy some #bitcoin, but not for the reasons cited above. Most bitcoin miners are driving the cost of electricity down for other consumers, not up. Let me know if you would like to discuss 1 on 1.

— Michael Saylor⚡️ (@saylor) March 9, 2024

“You should buy some Bitcoin, but not for the reasons cited above. Most Bitcoin miners are driving the cost of electricity down for other consumers, not up. Let me know if you would like to discuss this one-on-one,” he wrote.

In November 2022, Ackman expressed optimism about the future of cryptocurrencies despite the recent collapse of FTX.

The billionaire clarified that he is a “small investor” in several crypto ventures. He estimated his investments in the industry at about 2% of his total assets, describing them mostly as a “hobby and learning experience.”

Earlier, Saylor declared a “gold rush” for digital gold. According to him, spot Bitcoin ETFs have led to the rapid adoption of the leading cryptocurrency among institutions.

In March, bestselling author of “Rich Dad Poor Dad” and entrepreneur Robert Kiyosaki predicted that digital gold could rise to $300,000 in 2024.