Bitcoin’s Great Irony: The Revolution that Rebuilds the Banks

“Sound money”, that’s the rallying cry of Bitcoin believers. Fixed supply, no central control and incorruptible code. They dream of a world free from central banks and government manipulation. A digital utopia powered by “hard money”.

But here’s the paradox: a world run on Bitcoin wouldn’t be free, it would be frozen. Because Bitcoin isn’t destroying the financial system, it’s rebuilding it. The bankers didn’t disappear; they just swapped suits for hoodies. The exchanges, the brokers, and the custodians have the same structure with a new dress code.

Bitcoin’s capped supply makes it the exact opposite of fiat money. It’s not credit-based, it’s scarcity-based, and that’s the problem. What the crypto faithful are cheering for isn’t freedom, it’s financial tyranny wrapped up in rebellion.

Why Bitcoin is rebuilding the banks

You can’t grow an economy without credit. The modern world runs on expansion, whereby businesses borrow to innovate, governments borrow to build, and consumers borrow to live. Every major leap forward, from the Industrial Revolution to Silicon Valley, was fuelled by liquidity, not hoarded assets. When money stops expanding, progress stops.

History has already written this lesson in gold. The Gold Standard collapsed because a fixed money supply can’t keep pace with a growing world. Britain abandoned it in 1931, and the U.S. followed. When Nixon finally ended the gold peg in 1971, growth returned. Hard money always breaks when the world needs to grow.

Bitcoin worships scarcity, but progress depends on flexibility. Under a Bitcoin-based system, every recession would become a deep freeze with no liquidity, stimulus, or recovery. The truth is, Bitcoin isn’t money, it’s momentum. People don’t use it to transact; they use it to speculate, hoping to sell to someone else at a higher price. That’s not an economy; that’s ideology chasing profit.

That said, crypto still offers opportunity, but only for those who understand liquidity, market psychology, and timing. It’s not for those chasing a dream of digital purity because bitcoin may be finite, but opportunity isn’t, and smart investors know the difference between freedom and fantasy.

What are the best and worst-performing sectors this week?

The best-performing sectors include Materials, up over 3 per cent, followed by Real Estate and Healthcare, both up over two per cent. The worst performing sectors include Information Technology, down over 2 per cent, followed by Communication Services and Consumer Discretionary, both down just under 1 per cent.

The best performing stocks in the ASX top 100 include Genesis Minerals, up 20 per cent, followed by AMP Limited, up over 14 per cent and Newmont Corporation, up over 12 per cent. The worst-performing stocks include Treasury Wines Estate, down over 10 per cent, followed by Life360, down over 8 per cent and Block Inc, down over 4 per cent.

What's next for the Australian stock market?

The All-Ordinaries Index staged an impressive rebound this week, closing on Thursday with a solid gain of just over 1 per cent. But it wasn’t just this result that impressed; it was how the market traded that stood out. After Monday’s sharp 0.87 per cent drop, buyers quickly stepped back in on Tuesday, driving a strong recovery that gathered even more pace on Wednesday with another 1 per cent surge. That momentum carried through the rest of the week, showing clear signs that investors remain eager to buy on dips, a classic signal of optimism and underlying strength.

Once again, the Materials sector was the star performer. Smaller resource stocks delivered explosive double and even triple-digit gains following President Trump’s weekend announcement of 100 per cent tariffs on China in retaliation for further restrictions on rare earth exports. The move reignited enthusiasm for Australia’s resource sector, given the nation’s strategic role as a stable supplier of critical minerals amid rising U.S.–China tensions.

Looking ahead, the next key resistance level sits around 9,600. As the Materials rally continues and the growing prospect of rate cuts on the horizon, the Financials sector could soon join the charge, potentially extending the market’s upward momentum.

However, should the market pull back next week, initial support lies around the 9,000 point level, followed by 8,800, with 8,300 forming a deeper cushion zone. But for now, the trend remains firmly upward, and the Aussie miners are powering the engine.

For now, good luck and good trading.

Dale Gillham is the Chief Analyst at Wealth Within and the international bestselling author of How to Beat the Managed Funds by 20%. He is also the author of the award-winning book Accelerate Your Wealth—It’s Your Money, Your Choice, which is available in all good bookstores.

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