If you haven't heard, the latest news out of the Middle East is quite shocking.
Saudi Arabia has arrested many senior princes and senior officials in a broad sweeping move that is said to target corruption.
One of those arrested is none other than Prince Alwaleed bin Talal, who just so happens to be the richest Arab on the planet.
You may recall hearing that name recently as he has been rather critical of bitcoin in the national news, saying it would soon collapse in an Enron-like manner.
Why the arrests?
The public reasons for the arrests, ordered by King Salman, were said to be about cleaning up the corruption that has run rampant in the region.
However, many are speculating that the arrests are more of a power move by the King.
It's possible he is clearing the path for his son, Crown Prince Mohammed bin Salman, to take over as King.
This seems all the more likely especially when you factor in that there was no official charges made against any of those arrested, at least not publicly.
Why is this potentially good news for cryptocurrencies?
Over the years, any geopolitical issues has resulted in people flocking to safe haven assets, specifically gold and precious metals.
However, with bitcoin being viewed as digital gold by many investors, there is the possibility that in times of turmoil, bitcoin and some of the other coins may find much stronger demand than they do in times of bliss.
Bitcoin seems to be particularly attractive vs gold because it is easier to store, it can transcend borders, and it is decentralized.
All things someone might want in times of uncertainty.
The price of bitcoin seems to be mirroring those thoughts again as it recently hit a new high just over $7600 per coin, seeing a spike in prices basically since the news in the Middle East dropped.
This type of uncertainty is particularly significant.
For years, the Middle East has been strategically important.
They have vast oil reserves and many of their citizens have tremendous wealth.
If several of these rich sheikhs in the Middle East decide that moving some of their wealth to bitcoin and cryptocurrencies makes sense given the uncertain political environment, prices could quickly reach new all time highs.
It seems everywhere we look, one factor or another is pushing money into bitcoin and cryptocurrencies.
The hope is that at some point that starts to trickle down into steem, which has been mostly stagnant for the last several months despite bitcoin making new high after new high.
Stay informed my friends.
Sources:
http://abcnews.go.com/International/wireStory/saudis-arrest-11-princes-dozens-ministers-shake-50940094
Image Sources:
http://abcnews.go.com/International/wireStory/saudis-arrest-11-princes-dozens-ministers-shake-50940094
https://www.thriveglobal.com/stories/9923-fully-committed-and-totally-detached
