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The US Can Control Venezuela's Oil: Sounds Big, But Does It Affect Crypto?
After recent tensions between the US and Venezuela, most of the market’s attention is focused on oil prices, energy stocks, and political factors. These topics are very noisy. However, crypto has almost been overlooked, even though in the past, such geopolitical events often have an indirect but significant impact on the cryptocurrency market. 💵 Early Stage: The US Dollar Speaks First When news emerges that the US might intervene or regulate oil supply, the initial reaction usually comes from the US dollar. Oil is priced in USD, so such information often helps the USD stay strong or appreciate in the short term. And when the USD is strong: Crypto usually struggles to surge significantlyMarkets tend to enter sideways, choppy, or slowly weakenThe general sentiment is risk-off (risk aversion) This scenario is not new. We have seen it repeat many times in the past. 💸 Less Discussed Part: Long-Term Costs Managing oil is not just on paper. It means: High operating costsInvestments in infrastructure, security, and personnelIncreased public spending and debt These factors do not immediately reflect in asset prices. But over time, they increase the money supply in the system, gradually eroding the value of the currency. 🔁 Familiar Pattern in History Looking back at times when the US was deeply involved in global hotspots: Early stage: USD strong, risk assets (including crypto) weakenLater stage: Liquidity gradually increases, inflationary pressures emergeCapital begins seeking refuge outside the USD system It is precisely in this stage that crypto starts to attract attention again, not loudly or explosively, but growing quietly. 📊 Personal Conclusion Short-term: If the USD continues to strengthen, crypto may remain stagnant and lack clear wavesLong-term: If spending and debt continue to rise, crypto has an advantage as a hedge of value This is just a personal perspective based on past cash flows and market behaviors. There may still be many other factors not considered. I look forward to hearing everyone’s opinions for discussion and broadening perspectives 📈