Not necessarily a popular position to argue, but certainly relevant and worth considering. In terms of asset diversification, risk management, wealth preservation, etc., it behooves people to contemplate the possibility that crypto in general is in the class of digital tulips.
No less a mind than Sir Isaac Newton fell victim to the original analogue iteration of this.
Bitcoin is a fascinating tech and concept. Whether it survives or not is anyone’s guess. At current Bitcoin prices, though, I look at silver’s price being suppressed to ~60% of its 1980 high, silver’s vast industrial uses, silver supply-demand structural deficit, the alleged vast consumption of silver by western military systems, silver millennia long track record, etc., and the risk-reward assessment skews completely towards silver.
Gold, too, but less so. My two cents worth, at least.
That's a strong analysis, sir. As a tech simpleton myself, I stay away from crypto overall because a) I don't fully understand it and b) the ever-present question, that being "what happens if the power goes out, Bobby?" I also note that just as the US government outlawed personal ownership of gold (outside of actual minted coins) in the 1930s, so too they can forbid institutions to do business in crypto at the drop of a hat, or forbid changing crypto into fiat while demanding only fiat be used for transactions. It's a pickle. On top of all of this is the way most crypto is clearly traceable, 100%. Not all but most. That doesn't sound like freedom to me.
Anyway, great post. Many of my concerns (like an EMP attack) also clearly apply to ETFs and all things "only on paper." This is true too.
IMO you’re making the mistake of comparing price Bitcoin over limited periods of time without studying the inherent properties of Bitcoin and why it grew from zero to over a $T in 15 years.
Gold was $1900 an ounce in 2011 and today $2600 ( not a great return in that period)
I would encourage you to find out what bitcoin is, and what it is trying to achieve in this dystopian world we are about to enter.
Like gold , since the BTC etf’s were introduced the Wall Street Boyo’s are controlling the price , which is unlikely to continue for much longer.
There is only a small % of BTC available to buy and sell ( the majority is HODL’ed)
The old saying - some people know the price of everything, but the value of nothing may ring true in this instance.
Not necessarily a popular position to argue, but certainly relevant and worth considering. In terms of asset diversification, risk management, wealth preservation, etc., it behooves people to contemplate the possibility that crypto in general is in the class of digital tulips.
No less a mind than Sir Isaac Newton fell victim to the original analogue iteration of this.
And the Internet Kill Switch…?
My thoughts exactly. I find it worrisome how correlated it is with speculative tech stocks that are definitely a bubble.
Bitcoin is a fascinating tech and concept. Whether it survives or not is anyone’s guess. At current Bitcoin prices, though, I look at silver’s price being suppressed to ~60% of its 1980 high, silver’s vast industrial uses, silver supply-demand structural deficit, the alleged vast consumption of silver by western military systems, silver millennia long track record, etc., and the risk-reward assessment skews completely towards silver.
Gold, too, but less so. My two cents worth, at least.
Agreed - silver and gold are definitely much better values than Bitcoin at this point in time.
When Black Rock is propping and incouraging Bitcoin and it's ETFs, a very good reason to be watchful..
Good point!
That's a strong analysis, sir. As a tech simpleton myself, I stay away from crypto overall because a) I don't fully understand it and b) the ever-present question, that being "what happens if the power goes out, Bobby?" I also note that just as the US government outlawed personal ownership of gold (outside of actual minted coins) in the 1930s, so too they can forbid institutions to do business in crypto at the drop of a hat, or forbid changing crypto into fiat while demanding only fiat be used for transactions. It's a pickle. On top of all of this is the way most crypto is clearly traceable, 100%. Not all but most. That doesn't sound like freedom to me.
Anyway, great post. Many of my concerns (like an EMP attack) also clearly apply to ETFs and all things "only on paper." This is true too.
I wish you well on this day.
Thanks again, really helpful lateral investing/trading analysis
Thanks for reading it! Much more to come :)
10 years ago, I would still have bought more Bitcoin than gold.
So my point is: let's come back in 10 years and revisit your article ✌️🙂
IMO you’re making the mistake of comparing price Bitcoin over limited periods of time without studying the inherent properties of Bitcoin and why it grew from zero to over a $T in 15 years.
Gold was $1900 an ounce in 2011 and today $2600 ( not a great return in that period)
I would encourage you to find out what bitcoin is, and what it is trying to achieve in this dystopian world we are about to enter.
Like gold , since the BTC etf’s were introduced the Wall Street Boyo’s are controlling the price , which is unlikely to continue for much longer.
There is only a small % of BTC available to buy and sell ( the majority is HODL’ed)
The old saying - some people know the price of everything, but the value of nothing may ring true in this instance.