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The United States, with its cycle of growing debt and debt servicing, may face a financial crisis in the next few years. Ray Dalio, the billionaire investor and founder of Bridgewater Associates, boldly claims a looming debt crisis and calls it a “potential heart attack.” In a statement, Dalio argued that once we reach a point in the cycle where one borrows more money to service debt and bond holders say that it’s risky, it becomes a “debt debt spiral.” Dalio compares the current debt crisis to a heart attack waiting to happen if authorities fail to provide interventions. Related Reading: Bitcoin ‘Won’t Stop At $150K’ This Year, Research Firm Chief Says Understanding The Current US Debt Issue Dalio’s insights on the current economic landscape and the country’s looming debt crisis come as the crypto market cap drops to $2.76 trillion in one day. During the market shakeoff this week, the overall crypto market cap dropped by 8%, with Ethereum and Bitcoin leading the losers with 11% and 8%, respectively. The US is currently facing a growing debt and excessive budget deficits. According to recent data, the country’s national debt is now $33.6 trillion, with a massive deficit of $1.7 trillion in 2023, equal to 5.8% of the total GDP. Researchers are also warning about the increasing cost of servicing the debt, hitting $879 billion in 2023, comparable to the size of the country’s budget for national defense. Recognize that conflicts are essential for great relationships because they are how people determine whether their principles are aligned and resolve their differences. pic.twitter.com/MbBpHO76mN — Ray Dalio (@RayDalio) February 6, 2018 Dalio Says Alternative Stores Of Value Can Help In an interview on the Odds Lots podcast, Dalio offered insights on how the general public responds to an economic crisis. He mentioned that in times of economic uncertainties, many investors are looking at alternative stores of value. Dalio asks: What’s an alternative to money with a stable supply? He mentioned the growing role of Bitcoin and digital assets as leverage against inflation. “Recognize that conflicts are essential for great relationships because they are how people determine whether their principles are aligned and resolve their differences.” he added. Dalio’s insights followed US President Trump’s announcement on the proposed US strategic reserve, which includes top coins such as Bitcoin, Ethereum, Solana, Ripple, and Cardano. Trump’s statement was followed by a spike in crypto prices, with Bitcoin surging to over $90k after revisiting $80k. While Bitcoin’s price surged for the day, its dominance dipped from 55.4% to 50%, reflecting the shift in capital to altcoins. Historically, a decline in Bitcoin’s dominance catalyzes an altcoin run, which now excites many on social media. Is Bitcoin The Answer? Although Ray Dalio didn’t categorically mention Bitcoin as the “potential savior”, his recent statements suggest a favorable view on the premier digital asset. Due to its decentralization, Dalio highlighted the asset’s potential as a hedge against economic uncertainties.  Related Reading: Ripple Co-Founder Tied To Untouched XRP Holdings Worth Billions—Crypto Sleuth Unlike traditional assets governments can confiscate, Bitcoin and other cryptocurrencies work beyond traditional financial mechanisms, promoting wealth preservation. Dalio also acknowledged Bitcoin’s role, insisting that previous economic crises have shown that these assets, while they struggle, still are able to retain their values. Featured image from Business Standard, chart from TradingView