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My "Spidey-Sense" Says Something Is About to Give Way With Bitcoin

Written by Sean McCloskey
Posted April 30, 2021

When Bitcoin (BTC) soars to its next level of incredible highs around $125,000, a lot of people are going to make A LOT of money.

You can be one of them.

The world’s most popular cryptocurrency's price was only breaching $55,000 per token earlier this week.

Bitcoin YTD 2021

Coinmarketcap.com

As you can see in the chart, we’ve successfully bounced off the $45,000–$47,000 support level twice now since February. We’ve also hit our head on the ceiling just over the $64,000 mark twice as well. BTC is in a range, and as this range compresses, I expect a breakout.

In short, my “Spidey-sense” tells me something is about to give way. A flood is coming and since Bitcoin typically makes its move to the upside rather than the downside, I am expecting a Noah’s ark-size surge will move the world's largest crypto by market cap much higher.

In fact, over the coming years you can expect the price of a single token to hit well over $100,000 and pave the way to the purported final true value of BTC at $1 million per coin.

I’m not the only one who thinks so, either. Earlier this year, Yahoo Finance reported that JPMorgan strategist Nikolaos Panigirtzoglou claimed that the digital asset could be worth as much as $146,000 soon.

Here's why we will get there.

The Crypto Market Is Like No Other

The cryptocurrency market is NOT a traditional market.

When the elusive Satoshi Nakamoto first invented Bitcoin, his intention wasn’t for it to be an asset for people to speculate on. Nakamoto created it — and the breakthrough technology behind it — to provide an alternative to the fiat currencies we all currently use.

In the fiat system, paper money and coins don't represent material assets like gold or silver. These notes are only valuable through governmental decree. For instance, if you sell hot dogs on the streets of New York, you must accept the U.S. dollar as an object with which to exchange hot dogs. You do not accept dollars because of their physical value (they are just pieces of fancy cotton). You accept this "cash value" because the government backs the value with its existence and forces you to accept their “face value.”

In short, only a few powerful entities control the flow of any and all wealth at a given time through authoritarian decree.

What Satoshi Nakamoto did with Bitcoin was seize back control of the global financial system by making this flow "decentralized." It represents an experimental form of finance that does not rely on central financial intermediaries such as brokerages, exchanges, or banks, and instead utilizes smart contracts on the blockchain. It democratizes finance and is a more secure, transparent means of transaction. No one person or organization controls the flow of the money — and the accounting records (digital ledgers) are open for everyone to see.

And that isn’t even the most appealing aspect of Bitcoin.

Bitcoin Is the Best Store of Wealth

At its best, Bitcoin is a great store of wealth.

I would never use my Bitcoin to buy a car or any other depreciating asset. Maybe a house since the value of those tends to rise. But generally speaking, any item you buy with BTC — say, a Tesla — will be worth half of what it was worth when you paid for it. Moreover, the BTC you used for the purchase will be worth hundreds of percentage points more than when you made the purchase.

I will (and do) convert as much extra cash, investment returns, and loss change as I can into BTC because it's the best option to grow my wealth while safely storing it. 

The simple reason is that there is a specific finite supply of Bitcoin — much like there’s a finite supply of gold — unlike the infinite supply of paper dollars the Fed will print at will. To be exact, there will only ever be 21 million bitcoins in circulation ever. Right now, there are only about 3 million unmined bitcoins left uncirculated. There’s a limit on supply, and we're getting closer and closer to it. 

Conversely, demand is surging week to week, month to month, and, like most experts and I believe, this demand surge will continue for decades.

Which means the sky's the limit for the true real value of BTC.

A report from CNBC the other week noted:

Anthony Pompliano, co-founder and partner at Morgan Creek Digital Assets, said Bitcoin could hit $500,000 by the end of the decade. It could eventually reach $1 million per coin, he added, without giving a timeline.

Don’t Miss the Boat on BTC

Why do you think so many big-name investors and institutions are converting part of their assets and holdings into Bitcoin?

Why are athletes and other high-dollar earners taking payment in Bitcoin? 

Why will Tesla let you buy a car with one? 

Because they now know that in 10 years, Bitcoin will be worth at least a few hundred times its current value. 

This presents a huge opportunity for you. Simple supply-and-demand principles tell us the price of the cryptocurrency will continue to trend up. Since investors from Fortune 500 financial institutions to retail traders alike now see the utility of the underlying blockchain tech behind Bitcoin, the space is finally ready for one of the biggest moves in its history. 

Even a small stake added to slowly over time is highly advisable to have and sit on for the next decade. 

To your wealth,

Sean McCloskey
Editor, Energy and Capital

follow basic@TheRL_McCloskey on Twitter

After spending 10 years in the consumer tech reporting and educational publishing industries, Sean has since redevoted himself to one of his original passions: identifying and cashing in on the most lucrative opportunities the market has to offer. As the former managing editor of multiple investment newsletters, he's covered virtually every sector of the market, ranging from energy and tech to gold and cannabis. Over the years, Sean has offered his followers the chance to score numerous triple-digit gains, and today he continues his mission to deliver followers the best chance to score big wins on Wall Street and beyond as an editor for Energy and Capital.

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