This will be my last posting on any Cryptos as I will delete and kill it off later this year. All my efforts will be switching more to the gold market, as that is now constantly tested with real money. There are no established cycles in Bitcoin, like there is in gold. I can’t make a living trading such a boring market and I never plan on doing anything in this market anyways. Basing a life on a little electronic packet is not my idea of a stable platform. Gold may crash and burn regularly but long term it will never disappear and will always have a $400 crash base even until Submillennium wave 3, in 2101 peaks out again. Between that time, there still will be two cycle peaks to go even in deflation.
I have token Bitcoins that I gave to the local beggar and tips in restaurants, and to family as a gift!
I find my Silver Stone far more fun as it is one big 10 ounce coin of pure silver! I use it to bet between friends. This coin had a $238 CAD price yesterday, so there is value in this coin where owners will not throw it away. I hope to buy more when silver crashes into this fall. So if your bored with Bitcoin then the gold market will provide all the excitement you will ever want.
This Bitcoin Mania is going to go down in history as just another bubble. Most bubbles return to their point of orgin which in this case is about the $1 dollar range. A complete 180! This Bitcoin fund may have to execute an inverse stock split, so that would devastate any asset base it’s trying to hang onto. After that it could flat line and never rise again, languishing at the 1-2 dollar price level. Billions of US dollar value evaporated and were destroyed. When $527 billion evaporates, that does not foster confidence of some huge bull market to come. The planets asset world is going to meltdown, destroying $100 Trillion in the process, so Bitcoin’s price can still get crushed. There is roughly about $300 Trillion of assets in the world in US dollars, so only a third of it might get wiped out.
How would you like it, if 30% of all your asset values suddenly disappeared? We would not be happy campers to say the least. Protecting your cash will be critical, as paper assets and stocks are going to deflate in the next 2-3 years and those who are left standing will become the winners!
All support has been obliterated, and now this GBTC fund is heading into new territory. I start by drawing the top trend line, and then 1 or 2 others to project the trend. Does the angle of decline look familiar? It should, as gold has the same angle of trend from its bubble peak. When a bearish trend takes hold, you can’t stop it until it comes to its ultimate conclusion. This could even mean that Bitcoin will be buried in history, as just another social media phenomenon.
The only way this could come to an end, is if the decline steepens in its angle of decent. It would not suprise me if this fund even hit $4.
I’m not an investment advisor so my commentary is strictly based on my personal opinions about bubbles and manias. This is not an ETF but just a fund. Calling it a “Bitcoin Investment Trust” is a real play on words as this sure does not look like a good investment, nor is anything trustworthy when it concerns Bitcoins. The “X” top is not a wave position, but I use “X” mostly as an unknown factor! To put it bluntly, “X” means, ” I don’t have a fricken clue what the 2017 peak is.” If we don’t know what a major top like this is, then chances are slim that any wave count can last more than several weeks before it moves in unexpected directions. There is lots of volume in this fund, but investing in it will cause nothing but grief, as Bitcoin itself is unstable. Bitcoin also has no track record of consistent cycles like any other commodities have, so this makes it doubly hard to see any realistic wave structures that we can build trust on.
The trend line should be enough to scare anyone away but as usual, manias can be hard to kill off! GBTC is just pennies away before it reaches a new record low. It’s stitting on the $10 base which sure can produce downside breakouts. I have always said that Bitcoin would have to fall well below the first crash bottom, and I’m sure it will do so soon. Another 50% drop will get us to the $5 price level, which is the price range that funds and ETFs, are known to initiate inverse stock splits. Inverse stock splits can have a huge negative impact on investors, so these are just a few other reasons why it’s a good idea to stay away from investing in this specific fund. Investors have been enticed (sucked in) thinking there is a “Pot Of Gold” under the Bitcoin rainbow. Good luck with the treasure hunt, because the end of the rainbow always moves, taking the treasure with it.
Don’t expect my opinions to be serious as they call this the “New Era”of investing. The world has seen claims of a new era many times, but yet history shows that when a new era arrives, it crashes shortly after.