‘Digital Gold’ Goes Mainstream

If you’ve hesitated to buy Bitcoin (BTC) until now, I can’t blame you.

Until recently, most people thought it should have zero value. Warren Buffett even said that “Bitcoin is rat poison squared.”

But, as Bob Dylan once famously said, “The times, they are a-changin’.”

That’s certainly true today because Bitcoin is going mainstream.

And it’s not too late to get in.

You may have noticed CNBC now flashes the value of Bitcoin on the screen every few minutes along with the Dow Jones Industrial Average (DJIA), Nasdaq and the S&P 500.

Is Bitcoin going to be the world’s new digital currency that replaces the dollar, euro and yen?

That was the original plan, but it didn’t work out because practically no one spends Bitcoin.

This ordeal makes sense because it rises so much in value. Once people own some Bitcoin, they just want to hold it … and hoard it.

Like gold. In fact, some experts are now calling Bitcoin “digital gold,” and they’re right.

That’s a big reason why Bitcoin surged when the pandemic struck and the Fed began printing money like crazy. Investors all over the world saw Bitcoin as a kind of gold and rushed to buy it.

After the pandemic began and the Fed dropped interest rates to nearly zero, gold rose about 25%.

That’s not bad … but even after a sharp — but normal — correction in May, Bitcoin was up about 700%.

If you’d invested a modest $50,000 in Bitcoin in March 2020, you’d be sitting on roughly $350,000 about one year later.

Don’t believe me? Check out this chart:


 

Unlike GameStop Corp. (NYSE: GME), this amazing run-up is not being driven by “meme stock” retail investors who don’t know what they’re doing.

According to Business Insider, it’s being driven by corporations, hedge funds, financial advisers and even institutional investors moving Bitcoin into their balance sheets for the first time.

The “smart money” is now buying Bitcoin, and they’re just getting started.

Tesla, Inc. (Nasdaq: TSLA), for example, put $1.5 billion into Bitcoin.

Square, Inc. (NYSE: SQ) invested $170 million in Bitcoin, accounting for 5% of its total balance sheet.

No wonder Cathie Wood, founder of the ARK Innovation ETF (NYSE: ARKK), has said Bitcoin could go up by another $400,000.

Jesse Powell, CEO of Kraken, is even more bullish on Bitcoin, telling Business Insider, “I think $1 million as a price target within the next 10 years is very reasonable. ”

If he’s right, buying Bitcoin could turn every $10,000 you invest into $200,000 over the next decade — no matter what happens in the stock market.


 

Should you run out and gobble up all the Bitcoin you can immediately?

Absolutely not, but whenever its price takes a big dip — like we’ve seen recently — it’s a good time to take a bite.

To start, I recommend opening an account on a crypto exchange:

•  One great exchange is Coinbase Global, Inc. (Nasdaq: COIN). It’s the most prominent exchange serving residents in all 50 states.

•  Another great exchange is Kraken, mainly thanks to its broader list of cryptocurrencies and stronger customer service.

•  If you live overseas, Binance.com — not to be confused with Binance.us — is usually the best choice thanks to its wide range of services.

•  Alternatively, you can now purchase Bitcoin and a few other cryptocurrencies directly through PayPal Holdings, Inc. (Nasdaq: PYPL).

There’re even Bitcoin ATMs in most major cities!

For the best information on cryptos, and for the best recent news in the industry, be sure to visit weisscrypto.com and sign up for our daily crypto alerts.

All the best,

Sean

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