Bitcoin just went through $17000 now within striking distance of its all-time high around $20,000.
Like all success, Bitcoin’s rise has many fathers.
There is trouble:
Covid
Hong Kong
Change of government in the US
Chinese tech oligarchs under fire at home/the Ant financial IPO debacle
There is a wildly held belief that an inflationary comeuppance set off by all the Covid bailouts is on its way.
The ‘halvening’ which occured earlier this year, cut new supply of Bitcoin in half.
Ethereum DeFi projects are sucking Bitcoin into inaccessible vaults on the Ethereum blockchain so Bitcoin can earn interest for their owners.
General acceptance, typified by Paypal’s embrace of Bitcoin rolls on.
Corporates adding Bitcoin to their corporate treasuries as a hedge.
Further percolation of Bitcoin into people’s financial and technical skill sets.
This is what is driving Bitcoin and Crypto in general and these and other process combine to make it a brand and financial asset juggernaut.
Here is the chart I drew only a few days ago:
It’s a bold prediction but it is meant to be more of a guide to what might happen if this is 2017 all over again.
I drew this 3 days and $1200 ago, when the price was $15832 and Bitcoin remains on this ballistic trajectory.
Now exact this prediction is not fate but the long term future of Cryptocurrencies and blockchain is simply revolutionary and its potential seems to grow by the day as more and more young brilliant minds reveal innovations .
Barring an asteroid hitting our planet, Blockchain, associated technologies and methodologies will create untold trillions in wealth and value in the coming years.
…and right now bitcoin is worth just $300 billion, just 2/3rds of a Tesla. The whole market cap of the whole Crypto-kit-and-cabbodly is worth a little over a Tesla at $480 billion.
This is the fundamental, that makes the whole opportunity so huge.
So what is an investor to do?
I cant stress this enough. You need to deep dive Crypto-currency. You need to ‘get it’ rather than grab some and pray. This is just the beginning of something long term and revolutionary.
Its like looking at Microsoft back when it first listed. Knowing what we know now and probably knew then, do we buy Microsoft and then go back to sleep? That would not have been a bad move but you would have made a giant fortune if you had spend a lot of effort skilling up on the new breed of tech stocks coming along. Imagine how much money was to be made skilling up on tech stocks and studying them and investing in them since 1986 or since Apple’s in 1980 IPO.
This is where there are fortunes to be made because most people are going to come late to the blockchain/bitcoin party, clueless and naive. They will get burnt, they always do. They will then retreat and possibly never come back to the market. Just like those burnt in the dotcom, the skill less will miss out on getting rich over 10 years because they tried to make a lot of money in 10 weeks. However anyone who studied the subject is highly likely to ride through the noise and make a fortune.
So my advice is study Crypto, play with small amounts of it, be that Bitcoin or Ethereum or others tokens and coins, then ease your way into these hot, choppy investment waters. You may miss Bitcoin $40,000 but there will be no end of such opportunities coming to Crypto and with skill and work you will catch as many as you need.
This is just the very beginning.
… meanwhile Hodl! And if you think that’s a misspelling, like my spelling checker does, buy some books on Crypto (a read them) before taking the plunge.