Bitcoin crossed $6,100 on Friday for the first time.
People ask me every week, “Should I buy Bitcoin? Should I buy this coin, that coin, the other coin?”
My answer is, take every penny you can afford to lose and buy Bitcoin. It will either be ZERO or ONE HUNDRED THOUSAND in 10 years.
I also tell them to expect massive corrections.
Listen, we live in amazing times.
If you are reading this now, count yourself as fortunate.
For many of us, it’s a second chance to catch lightning in a bottle.
My introduction into Bitcoin and the blockchain started relatively late, in 2015 .
An overseas programmer had taken a large sum of money for an asset, and then disappeared. I hired a Russian hacker to regain access to something that was rightfully mine.
The thing was, I couldn’t pay this hacker with anything other than Bitcoin, and I didn’t have any.
Acquiring the coin and sending it was quite the circus. It involved Western Union, which is the single most painful company to run a transaction through in the history of planet earth.
Anyhow, after buying several coins at $250, I paid the deposit the hacker requested and then promptly forgot about the other coins.
2 years later a friend I’ll call, Mr. Block, said to me, “Have you seen Bitcoin lately, it’s at $1,200.”
I spit out my drink and said, “What did you just say?”.
The second I got home I began a frantic hunt for the account and the credentials that held my coins…
I had completely forgotten where they were stored. Luckily I found them within an hour and began the process of moving them to a more secure location.
My blockchain portfolio is up 10x since then, but the truth is, about 4 months ago I sold all my altcoins and put everything back into the king, BTC.
Now, does that mean BTC is the end all, be all? Absolutely not. In fact, it has limitations for commercial transactions that we all know about. However, as we move through the early stages of mass adoption, it will rise as a bellwether along with blockchain as a whole.
You see, we are in yet another paradigm shift.
Movements that create a complete paradigm change come along once every 50 years. This means your chance to participate and possibly take advantage of these moments is ‘once in a lifetime’.
Prior examples of paradigm shifting moments are:
- The mass production automobile
- The television
- The commercial Internet
I’ve only lived through one of these moments, and I was quite young at the time and tried to take advantage as best I could.
The early dotcom era was, for lack of a better word, FUN. Everything was new, the technology was changing rapidly, and it seemed anything was possible. The operative phrase was ‘get big fast’. Find users, worry about profit later.
Opportunity was everywhere.
That time has come again, and we now have another once in a lifetime paradigm shifts happening right under our noses.
Right now it’s almost as if I’m reliving it all over again. We have all the elements in place of a bubble, and make no mistake, we are in a stone cold, walks like a duck, know it when I see it, flag waving, hype getting, irrational as all hell bubble.
I would go as far as to say that this bubble is even more insane than the dotcom bubble of 2000.
In 2000 we had a number of companies that were engineering new products, services, and marketplaces. Essentially people were taking old ideas and adapting them to dotcom.
Why is it worse now?
Simply because of the volume of worthless, speculative, and ultimately doomed ICOs.
In August, there were 50 ICOs!
The altcoins are essentially worthless as a group. There are a few exceptions of excellent projects and architecture. But at least half of them are pathetic me-too attempts to cash in on the hype. Most of them are subject to penny stock pump and dump schemes.
My advice to those wanting to make money with BTC?
Wait for it…
Wait for the crash…
I feel very strongly there will be a 30%-50%+ pullback in the next 6 months.
And then buy all the BTC you can get your hands on.
I have no idea where the top will be, but I see it being close to $100k. We’re in the very early stages and this is a fixed volume asset. The world has never seen a store of value like this before.
For fun, let’s look at the Interest in BTC vs the actual Price:
To show you how speculative this all is, notice the perfect correlation between the dips in price vs the interest. When it stops making headlines about the MASSIVE GAINS, people stop buying.
Mr. Block is counting on us reaching TULIPMANIA levels with blockchain.
I tell him, “We’re already there…”