Markets
See How Fast Your Savings and Salary Are Collapsing Against Bitcoin
Published
2 hours agoon
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adminWith the price surging above $90,000, you’re likely all too aware that everything that isn’t Bitcoin is rapidly diminishing in value…
But now you can visualize it! On PricedInBitcoin21.com.
I just discovered this website this week, and as a Bitcoin owner, I’ll say it makes me feel better about my financial decisions.
As you can see from a quick glance here, the U.S. dollar is now down 86% against Bitcoin on a 5 year basis.
Ouch.
Most of the charts are a sea of red.
Here’s a look at Bitcoin’s performance against precious metals. I’m glad I don’t own any! From a quick look, we can see they are rapidly going to zero against a superior asset…
At this point in the article you’re either depressed beyond all reason, or reasonably happy, so I figured we’d throw in another chart.
This one shows how fast the value of wages are dropping against BTC. I still get paid in dollars, preferring to roll over my savings, but I have to say, this makes me reconsider the decision…
On a 5-year basis, you’ve lost nearly all of your purchasing power. Wow-wee. At least you didn’t buy livestock…
Anyway, I’ll be bookmarking this site, and referring back to it.
If you don’t yet own Bitcoin, it provides all the evidence you need to understand the situation – get off zero or face the red wave of economic reality.
This article is a Take. Opinions expressed are entirely the author’s and do not necessarily reflect those of BTC Inc or Bitcoin Magazine.
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Institutional Investors Go All In on Crypto as 57% Plan to Boost Allocations as Bull Run Heats Up, Sygnum Survey Reveals
Published
1 day agoon
November 14, 2024By
admin“This report tells the story of progress and calculated risk, the use of a diverse set of strategies to leverage opportunities and most of all, the continued belief in the market’s long-term potential to reshape traditional financial markets” Lucas Schweiger, Sygnum Digital Asset Research Manager and report author, said in the press release shared with CoinDesk.
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all time high
Bitcoin May Hit $100,000 Faster Than Expected
Published
1 day agoon
November 14, 2024By
adminIt’s been just over seven days since Trump was re-elected as president of the United States, and bitcoin is up over $18,800 (25.3%) at the time of writing. And it’s currently steamrolling its way towards $100,000.
I cannot lie, this is all happening way faster than even I expected.
$100,000 has, for the last four years, been the magic number Bitcoiners have been laser-focused hitting. It felt like there was consensus among Bitcoiners during the 2021 bull run that we were guaranteed to hit this target. But alas, the 2021 bull run underperformed most people’s expectations, with bitcoin’s price only reaching a high of $69,000 (which in retrospect, was a great run considering the low of the previous bear market was ~$3,000), $100,000 bitcoin was put on hold. But now, we’re almost there.
I feel like the price of BTC loves to do the opposite of what everything thinks it will do. Just when everyone thinks bitcoin is going to rip forever, bitcoin’s price falls or stagnates and vice versa (which is why it might not be so safe to assume we’re going straight to $100,000 from here).
Even I’m guilty of this, as I’ve been telling myself for a long time that the battle for $100k is going to be extremely tough with the amount of sell pressure I was predicting there to be. I think $100k is a number at which traders, ETF buyers, and OG whales may take some profit and that it would be an uphill battle to get there. And it still very may well be, considering we are only at $93,000 currently. But since Trump won the election, there has been practically no sell pressure, and we’re slicing through new all time highs like a warm knife through butter.
Bitcoin is now up over $5,500 (6.22%) today alone. If Bitcoin continues this momentum, we could see $100,000 BTC literally any day now — including even today. Nothing is off the table. Throw all your models out the window, they’re all being broken by the buying pressure from these ETFs and those trying to front-run the U.S. government’s implementing a Strategic Bitcoin Reserve.
Bitcoin is on its path to taking on gold as a legit reserve asset. $100k is the next big milestone for bitcoin to hit along this journey, and it may just come faster than expected.
This article is a Take. Opinions expressed are entirely the author’s and do not necessarily reflect those of BTC Inc or Bitcoin Magazine.
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Bitcoin Magazine Pro
The Truth About Bitcoin Price Models: Stock-to-Flow, Power Law, and Beyond
Published
2 days agoon
November 13, 2024By
adminPredicting Bitcoin’s price has always been a hot topic for investors. Matt Crosby, lead market analyst at Bitcoin Magazine Pro, explores this topic in his recent video, “Truth About Bitcoin Stock To Flow, Power Law & Price Models“. Here, we break down Crosby’s key insights to help investors enhance their Bitcoin strategies.
Stock-to-Flow (S2F): A Useful Tool, Not a Crystal Ball
The Stock-to-Flow (S2F) model is one of the most popular ways to predict Bitcoin prices, and Crosby explains its benefits and drawbacks clearly.
Key Takeaways:
- What Is S2F? S2F assesses Bitcoin’s scarcity by comparing the “stock” (current supply) to the “flow” (newly mined coins), similar to how rare commodities like gold are evaluated.
- Updated Predictions: The Cross-Asset S2F model initially forecasted Bitcoin hitting $288,000 between 2020 and 2024. More recently, it suggested a possible valuation of $420,000 by April 2025.
- Limitations: S2F works until unexpected events—like global economic changes—disrupt Bitcoin’s usual patterns. Crosby aptly points out, “S2F works until it doesn’t.”
While S2F is a helpful guide, it’s essential for investors to consider broader market conditions and macroeconomic influences alongside it.
Bitcoin Power Law: The Long-Term View
Crosby also explores the Bitcoin Power Law, a model that uses a log-log chart to illustrate Bitcoin’s historical price patterns.
Why It Matters:
- Logarithmic Scaling: By using logarithmic scaling, the Power Law highlights Bitcoin’s long-term trend of reduced volatility and moderated growth.
- Limitations: This model offers insights for the long haul but is less helpful for short-term predictions or market surprises.
For investors aiming to diversify their portfolios and strategically time their investments, the Power Law provides context but should be used with other, more dynamic tools.
Real-Time Metrics: The Key to Adaptability
Crosby emphasizes the limits of static models like S2F and the Power Law, advocating for real-time, data-driven approaches instead.
Tools Investors Should Use:
- MVRV Z-Score: Measures market cap against realized cap, identifying when Bitcoin is overvalued or undervalued.
- SOPR (Spent Output Profit Ratio): Provides insights into market sentiment by tracking profit-taking behavior.
- On-Chain Metrics: Metrics like Bitcoin’s realized price and value-days-destroyed help detect market turning points.
These metrics give investors the tools to adapt their strategies to the market’s behavior in real-time rather than relying solely on predictions.
Why External Factors Matter
Crosby cautions against relying only on Bitcoin-specific data, emphasizing the importance of external factors:
- Global Liquidity: Bitcoin’s price often moves with global liquidity cycles, making macroeconomic awareness crucial.
- Institutional Adoption: Actions by major players such as sovereign wealth funds, corporate treasuries, or institutional asset managers can greatly influence Bitcoin’s price.
- Regulatory Changes: Government decisions to regulate or adopt Bitcoin can significantly affect its valuation.
Incorporating both macroeconomic factors and Bitcoin-specific metrics is key for a well-rounded analysis.
Final Thoughts: Stay Pragmatic
Crosby concludes by reminding investors that no single model can predict Bitcoin’s price with certainty. Instead, these tools should be used to provide structure and insight into an unpredictable asset.
Practical Tips for Investors:
- Use Multiple Models: Cross-check predictions using different models to gain a clearer understanding of the market.
- Embrace Real-Time Data: Rely on metrics like MVRV Z-score and SOPR for timely, actionable insights.
- Adapt to Change: Be ready to adjust strategies based on both internal data and external influences.
Bitcoin Magazine Pro offers advanced analytics and real-time data to help investors navigate this fast-paced market. To dive deeper into Crosby’s insights, watch the full video here: Truth About Bitcoin Stock To Flow, Power Law & Price Models.
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