Decrypting the Demand for Digital Dollars

08.06.2017 • United States

Henry Bonner – Strategy and Council Letter (United States) –

Still some time in the United States … we fly on Monday … time to close …

What are we doing… ?

We say “goodbye …” because we had a death in the family …

Nothing very complicated …. No business to settle … no worries … but memories … pictures to watch …

We enjoy our return “in the country …”

Houlà … the market opened to fall … but caught up in the day.

Fall in the stock market this morning … the stock market opened lower after falling yesterday.

On the side of Wall Street, nothing moves …

As the Los Angeles Times says, authorities have revealed mixed figures on US employment …

“For the second day in a row, markets began to decline on Tuesday as investors absorbed the new set of business results and news.

“The Ministry of Labor initially encouraged markets, reporting that job creations rose by 4.5% in April to more than 6 million – the largest since December 2000, when the government began to follow numbers.

“Despite this, the number of hires fell by 4.8%.

“On Friday, the government announced that companies had created 138,000 jobs last month, which was about a third less than the average monthly level of 2016.”

Here in France, the market opened on Wednesday down 0.26% … following the trend of Wall Street …

In the course of the day, the Bourse has caught up with its losses … the CAC 40 has risen by about 1% today.

Bitcoin flambe … exceeding $ 3,000 per “piece …”

Should you buy Bitcoin …?

Bitcoin has surpassed the $ 3,000 … tripling in value since January …

His rival Ethereum climbs even faster … which reduces the market share of Bitcoin …

How to value a “currency?”

Bitcoin and others have value because people use it …

If markets no longer want to use it, its value disappears.

Unlike gold or silver, the Bitcoin has no “intrinsic” value, apart from its role as money.

So, if you buy Bitcoin, you have better hope that people will continue to want to use it …

How to know?

Why not Ethereum? Or Ripple? Or one of the dozens of others?

Or thousands of others that will be invented in the coming years?

JP Morgan, and other banks, are betting on Ethereum … a currency that would have “advantages” on Bitcoin … because the technology on which it rests has certain advantages that separate it from Bitcoin …

Each of these currencies, like a car model, has a different shape … and can be used for different transactions …

For some experts, Ethereum is more “accessible” for most people …

Yet who knows?

In the early days of computers, experts tried dozens of different languages ​​to write programs that run computers … arguing the pros and cons of each …

Ultimately, our computers run on combinations of different languages ​​- Windows, Mac, HTML, JavaScript, and many other …

Similarly, we will probably use a combination of currencies …

But what?

We will have to discover it over time.

Truly,

Henri Bonner

-Read more at www.lettre-strategie-conseil.com (French)-

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