The crypto bite strikes unexpectedly and it's a venom that lingers. It's a venom that very few recover from, quickly or ever. I got bitten back in late 2017, and that crypto venom is still coursing through my veins. It feels like it was just yesterday, yet so much has happened, and so little has changed.
When you look at the current state of most crypto projects, how much real-world use case do they offer? Not much. Hive, for example, has been consistently delivering practical use cases for its users around the clock since we forked from Steem. However, aside from that, the widespread adoption we hoped for in the crypto world a few years ago is still playing catch-up.
The unexpected highlight of the previous bull market was a country like El Salvador embracing Bitcoin as legal tender. Frankly, it needed it. Without Bitcoin, El Salvador might still be trapped in obscurity. My admiration for El Salvador's adoption of Bitcoin isn't solely about cryptocurrency. What President Bukele accomplished there in addressing the gangs that once terrorized citizens deserves the Nobel Peace Prize.
It's commonly believed that the 2017 bull market's climax was driven by retail investors. The narrative that followed was that without the involvement of financial institutions, we wouldn't witness another bull market. Well, as many of you probably know, 2021 saw a different story unfold, and that wasn't primarily due to financial institutions. I'd argue it was still mostly retail investors that propelled the prices up two years ago.
While it's true that there are investment and trading funds already in the crypto space, we haven't yet seen the major players fully engaged. Or perhaps they're already here? Based on Larry Fink's recent comments, it seems the big guns have indeed entered the arena.
Just yesterday, Bitcoin experienced a staggering $3,000 surge in less than 12 hours, right before I made another crypto purchase for my dad. This frenzy was ignited by a false report from Cointelegraph, claiming that the BlackRock Bitcoin spot ETF had been approved.
In reality, that wasn't the case, and once the market realized it, the bubble deflated. However, we're still trading around $1,000 above the level where Bitcoin was before the pump. So, what does Larry Fink, the CEO of BlackRock, have to say about the recent events in the crypto world?
“I was busy all day, I only heard it an hour ago.”
“It’s an example of the pent up interest in crypto.”
“We’re hearing from clients around the world about the need for crypto.”
“Crypto will play the role of ‘flight to quality.’
source
The CEO of one of the largest investment funds globally, BlackRock, which manages approximately $10 trillion in assets, has made a remarkable statement by classifying Bitcoin as a "flight to quality," positioning it alongside traditional assets like gold and state treasuries. All of this is unfolding in the midst of widespread global turmoil.
Notably, just a couple of years ago, Larry Fink, the CEO, held a very different stance on Bitcoin. The reason is quite clear: back then, BlackRock had no involvement in Bitcoin. However, now that BlackRock has a Bitcoin spot ETF awaiting approval (and it will likely be approved), the CEO's perspective has taken a complete turn. It wouldn't be surprising if he held Bitcoin in his personal portfolio as well.
While some may argue that the ongoing global challenges could hinder the future performance of Bitcoin and cryptocurrencies in general, I firmly believe these very challenges should propel greater involvement in the industry. In the face of inflation, conflicts, pandemics, and the emergence of central bank digital currencies (CBDCs), does cash seem like a safe and attractive option?
Not to me. I've consciously taken the risk of holding more wealth in crypto than in traditional assets.
Larry Fink's current endorsement should be a wake-up call for many. Nonetheless, it's astonishing that some still perceive Bitcoin as being in a bear market. They're unequivocally mistaken, and time will vindicate my perspective. The fact that the CEO of BlackRock, a financial behemoth, is now hailing Bitcoin as digital gold and a safe haven asset should echo "fear of missing out" (FOMO).
As of now, the only individuals experiencing FOMO are the smart money, while the rest will likely join in near the market's peak, as history often repeats itself. This cycle has happened to me, to you, and to virtually every investor until they've learned the lessons. Although riding the waves in the crypto sphere has often seemed straightforward, many of us have somehow managed to remain financially stagnant.
So, why not make a difference during this bull market? Because yes, we are already in a bull market. Although the exact trajectory and ultimate peak remain uncertain, those who claim to have such knowledge will inevitably lure many unsuspecting participants into a market correction. Nevertheless, one thing is unequivocal: Bitcoin is headed for substantial gains, and certain altcoins will shine in the coming years.
It's crucial to remember that charts dictate events rather than the other way around. Regardless of how one interprets the charts for Bitcoin and other altcoins, they all seem to promise brighter days ahead. Nevertheless, reality will inevitably reassert itself, so it's essential to remain humble and secure profits; otherwise, you might find yourself financially challenged in the bear market. That's not a pleasant scenario for a crypto enthusiast, is it?
Thanks for your attention,
Adrian
Yeah, I’m certainly curious to see how it unfolds. It seems bitcoin is about to become risk off for even more people.
Very few see that right now...
Bitcoin will return to the doubling curve in 2024, and it won't even be the top.
Depending on timing that's a price point of $100k-$200k.
Top above 200k?
Es cierto, una vez que entras al mundo criptográfico , es como la mafia Siciliana no puedes salir...