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BitcoinBTC, ethereum, XRPXRP and other major cryptocurrencies have struggled to hold onto their early 2023 gains recently as the U.S. wages "war" on crypto.

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The bitcoin price, down sharply from its late 2021 highs, rebounded through the first half of this year, boosting the likes of ethereum and XRP, but has dropped back despite soaring expectations that a $17.7 trillion earthquake is on the horizon.

Now, after a shock leak blew up the mystery of bitcoin's anonymous creator Satoshi Nakamoto, billionaire hedge fund manager Paul Tudor Jones has warned the "cataclysmic" fiscal situation in the U.S. means he's stockpiling bitcoin and gold.

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"Its a really challenging time to want to be an equity investor and in U.S. stocks right now," Jones told CNBC. "Youve got the geopolitical uncertainty ... the United States is probably in its weakest fiscal position since certainly World War II with debt-to-GDP at 122%."

Jones, the legendary hedge fund manager who lit a fire under bitcoin when he shocked markets in May 2020 by calling the cryptocurrency the fastest horse to beat inflation, has renewed his commitment to bitcoin and gold in the current geopolitical and marco environment.

"I can't love stocks," he said, "but I love bitcoin and gold. I think they probably take on a larger percentage of your portfolio than they would [usually] because were going to go through both a challenging political time here in the United States and weve obviously got a geopolitical situation"referring to the outbreak of war between Israel and the Palestinian militant group Hamas and the looming 2024 U.S. presidential election.

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Jones went on to voice fears others have raised that the U.S. could be headed into a "vicious circle" of "higher interest rates cause higher funding costs, cause higher debt issuance, which cause further bond liquidation, which cause higher rates, which put us in an untenable fiscal position."

In early 2022, the the Federal Reserve began hiking interest rates at a historic clip in order to bring soaring inflation under control, creating what some fear could become a counter-intuitive "death spiral" for the U.S. dollar that ultimately pushes up the bitcoin price.

Last week, Jefferies' analysts warned the Fed could be forced to restart its money printerpotentially collapsing the U.S. dollar and fueling a bitcoin price boom to rival gold.

I am a journalist with significant experience covering technology, finance, economics, and business around the world. As the founding editor of Verdict.co.uk I reported on how technology is changing business, political trends, and the latest culture and lifestyle. I have covered the rise of bitcoin and cryptocurrency since 2012 and have charted its emergence as a niche technology into the greatest threat to the established financial system the world has ever seen and the most important new technology since the internet itself. I have worked and written for CityAM, the Financial Times, and the New Statesman, amongst others. Follow me on Twitter @billybambrough or email me on billyATbillybambrough.com.Disclosure: I occasionally hold some small amount of bitcoin and other cryptocurrencies.

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Buy Gold And Bitcoin: Cataclysmic U.S. Dollar Crisis Triggers Serious Recession Warning That Could Cause Ethereum, XRP And Crypto Price Chaos - Forbes