Not only has Bitcoin dropped 40% since November but virtually not increased at all since it’s January high last year.
There are many negative factors facing bitcoin for the first time in it’s history.
Federal governments seeking to curtail or tax crypto currencies
The number one adversity for Bitcoin in the coming year is governments around the world who are tired of seeing illegal money being washed through Bitcoin and other Crypto currencies which they can't control.
They are also tired of the fact that they can't tax the profits that have been made.
Remember the way they took Al Capone down was with tax evasion and I believe BITCOIN may come down the same way.
Obscene Energy Requirements:
The other adversity for BITCOIN is the massive amount of energy that they need to mine it. Many countries around the world are making BITCOIN mining illegal as they have problems meeting their own normal energy needs.
High Inflation will curtail risk on investment:
Remember that the biggest bearish factor in 2022 is going to be inflation.
This pandemic has created shortages around the world. Governments are beginning to realize that they better start raising interest rates. Last week the Federal Reserve of the United States stated that they believe interest rate hikes are on the horizon.
When interest rates begin to rise the prior atmosphere of risk on investments the last two years will diminish. Not only will it affect the stock market, but it will affect BITCOIN investors.
Shoeshine Boy Indicator:
And finally, it is what I call the shoeshine boy indicator.
In 1929 : Joseph Patrick "Joe" Kennedy, Sr. JFK's father, claimed that he knew it was time to get out of the stock market when he got investment tips from a shoeshine boy.
On that moment Joe Kennedy had the intuition that we were at the end of the favorable market and subsequently he decided to short the market and became .. multi-millionaire !
He realized that if his shoeshine boy had bought most everybody had bought and there was only sellers remaining.
I believe right now shoeshine boys are a metaphor for ignorant, inexperienced investors around the world that bought BITCOIN last year after they had tired of their friends bragging and bugging them to do so.
As they have seen their investment drop by as much as 40% they will not have the money or be very afraid to invest in BITCOIN again.
Possible BIG BOY BULL RUN:
It doesn't mean the big boys, who own plenty of BITCOINS won’t decide to use some of their money to create an artificial favorable market one last time and drive prices right through the roof one more time.
You must ask yourself do you really want to invest in something that's scary and not based on any tangible assets at all.
Do you want to invest in something that federal governments around the world are trying to stop or at least tax therefore eliminating a lot of the potential investors who want to hide their money?
If you do go ahead! Maybe you will get lucky and see one last surge.
Professionals don't rely on luck:
As I always say to my family, friends, staff and clients “luck is for losers” People who rely on luck usually lose. If you don't believe me go to a casino and sit down at any blackjack table. You will soon see a lot of people who think they are lucky losing a lot of money
I prefer to invest my money in investments that always pay off in the long term no matter what happens such as real estate. It made my fortune and most of the fortunes of most Multimillionaires in the world.
That doesn't mean you will buy real estate now in Australia, Vancouver, Hong Kong, Singapore or even the United States which has performed better than BITCOIN the last 12 months based on low interest rate mortgages and a positive attitude.
What it means is buying in areas where prices are down 20% to 50% because of the pandemic such as Bali.
You can start your search right here for Bali Properties selling at 20 % to 50 % Discounts,
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