How many of us have checked the markets recently and have gone back to being poor? How many have said they are getting out for real this time, for the tenth time? Those of you that have “clients” you’re investing for I wonder if they’re already pressing your neck right now! Lmao.
What do you even tell them? I know one, “it doesn’t even matter”! And I’m not playing, non of what you see in the market will matter in the next couple of months, except you’re buying. How do I know this. Okay, let’s dive into it.
Picture this: Back in December 2017, Bitcoin was like this huge, popular cake at a party. Everyone wanted a piece, and the cake was big enough that 1,800 slices (or bitcoins) were added every day. To keep the party going, people needed to bring in about $34 million daily. Crazy, right? 🤯
But here's where it gets interesting. Bitcoin has this rule called "halving," where the amount of new slices added to the cake gets cut in half every few years. Fast forward to May 2024, after a couple of these halvings, and now our cake is only seeing 450 slices added each day.
Now, you'd think that with fewer slices, the party might get a little less exciting. But nope! More people know about this Bitcoin cake than ever before, and they're ready to bring even more money to the table – we're talking $42 million every day, all for fewer slices!
So, what does this mean? If each slice of our Bitcoin cake was worth around $19,000 back in the big party of 2017, imagine how much it could be worth in 2024 when slices are rarer but more people want a taste. I did some napkin math, and we're looking at a potential price of about $93,000 per Bitcoin! 🚀
This is the true magic of Bitcoin halving. It's like making the cake slices more valuable because they're becoming rarer, and yet the demand just keeps growing. But then again it’s not exactly magic, it’s more of scarcity meeting high demand, like mathgic. Hehe.
But then again I got this information from some dude on Twitter everyone seemed to agree with.
The bad news
The good news
Now, let's talk about what all this means for you and me.
First, understand that the crypto market is full of ups and downs. The key is not to get too caught up in the short-term fluctuations. Sure, Grayscale's actions might seem alarming, but remember, every market has its big players making moves that can seem scary. It's part of the game.
the influx of $1.1 billion into the market and the growth of funds like FBTC show that there's still strong interest and belief in the potential of Bitcoin. This is a technology and an asset class that's increasingly gaining mainstream recognition and acceptance.
So, what should you tell those clients of yours, or what should you tell yourself when you look at your portfolio? Here's a thought: Stay calm and think long-term, what you see now doesn’t even matter except you’re buying. These current events are just blips in the grand scheme of things.
Hang in there buddy.
