Bitcoin hit a new record of $64,000 in trading Wednesday. (For the record — remember when I suggested getting in at $30k, then $40k, then $50k…you can see my video here) and now, here we are with bitcoin trading at a whopping $64k!
I’m not surprised.
Given the inflationary pressures on our economy, the potential devaluation of the U.S. dollar, and the technological realties of the future, I’m certain of this: the blockchain technology bitcoin employs is here to stay …and enthusiasm is far from over. In fact, in some ways, it’s just begun.
It’s why it’s not unrealistic to think that bitcoin could head higher–next stop $75k a coin. Some even say $100k.
Wild, right? Not entirely.
Part of what will help fuel bitcoin…and additional crypto currencies like Ethereum, XRP, Dogecoin and Litecoin…in the future, is the ability to transact more freely and easily with them.
This is where Coinbase comes into play. Debuting on the Nasdaq under the ticker symbol COIN, the stock soared in its first day of trading (and then struggled a bit) proving that the crypto space really is a volatile one. Nonetheless, Coinbase is clearly on path for a massive valuation — at one point it hit more than $110 billion — and its debut, though volatile, means there is an appetite for a platform on which people can buy, sell, and exchange cryptos. So, as Coinbase becomes more mainstream, cryptos will as well.
Which has gold investors feeling a little left out.
I get it. It’s not easy when even Jerome Powell suggests the bitcoin may be a new gold.
Nonetheless, as investors, it’s important to keep all opportunities — from cryptos to commodities like gold, silver and platinum, in view. After all, cryptos may be our future, but gold has been a store of value for thousands of years and will continue to represent safety to investors in search of safe havens.
Gold, in my view, is always part of a well diversified portfolio and, an investor who likes cryptos has a lot in common with the investor that likes gold. I think we all agree, we’re searching for investment opportunities that are more free from the whims of our Central Bankers and Big Government.
So, as gold takes a temporary back seat to the flashier cryptos, it’s as good time as ever to consider getting in to the precious metal. Because, if the Fed’s money printing extravaganza continues (as I believe it will for the foreseeable future) then, gold will increasingly represent value.
As will bitcoin, could even see it’s next stop at…$75k. Stay tuned.