Hope everyone is doing well.
It has been some time since I last wrote about Bitcoin, so I thought I’d give an update.
Obligatory disclaimer: Always do your own research before investing, Cryptocurrencies are highly volatile, I am not an investment advisor.
Long story short: I am hyper bullish on Bitcoin in the medium to long-term.
Here are a few tweets that offer some bullish hopium for Bitcoin’s future price action:
Today, @Square announced that it has purchased $50M in bitcoin. Square believes cryptocurrency is an instrument of economic empowerment and provides a way to participate in a global monetary system, which aligns with the company’s purpose. For more, visit https://t.co/HPhSMfVgac.
— Square IR (@SquareIR) October 8, 2020
This is one of the few times in my Bitcoin career where the fundamentals (on-chain data and metrics from infrastructure players) are in moon mode, yet the market is not woke to it. They will be by 2021. This is an opportunity I've not seen since mid-2016.
— Willy Woo (@woonomic) October 7, 2020
Bitcoin 30 day historic volatility has been falling fast and is in the 20's. In the past it has hit 20% vol 7 times. 6 times prices exploded higher immediately and vol hit 80% in a few months. 1 time (Nov 2018) prices fell sharply. Either way, a big move is coming soon. #Bitcoin pic.twitter.com/9qKdLcAf0V
— Raoul Pal (@RaoulGMI) October 7, 2020
All the while…..
So while technical indicators are highly bullish….the sentiment among the crypto markets is fear.
The Mayer Multiple is currently sitting at 1.22…..”historically accumulating Bitcoin at a Mayer Multiple under 2.4 has been profitable.”
Hal Finney: " $100 trillion" pic.twitter.com/ya4rOPhDBU
— PlanB (@100trillionUSD) October 7, 2020
Bitcoin pioneer Hal Finney speculated that Bitcoin could reach $10 million per coin.
Obviously this is just speculation…..but at $10k a coin (after once being worth less than a penny) this speculation should no longer be ignored.
The most bullish thing that could happen in my opinion is Bitcoin losing its correlation with the stock market.
The stock market loves certainty…..and heading into a U.S. presidential election uncertainty is certain. So in the short term what happens with Bitcoin is anyone’s guess.
In the medium to long term though (2021 and beyond)…….
I don’t see any reason Bitcoin can’t reach six figures a coin.