HEADS UP! Fidelity's bitcoin fund ticker “FBTC” (a Jimychanga fav!) ETF has consistently attracted at least $100 million of net inflows every trading day, taking the firm’s total to $1.9 billion.
Yes, GBTC has been one of our fav ways to play this event the last 12 months. It is included in the 11 newly approved funds, and will be "converting" from a trust to an etf..... exacly as Changa expected (we're up over 200% last 12 mos with our subs).
For those who understand the concept of buying at a discount to NAV, we still like BITW which has a 35% discount to NAV and plans to eventually file to become an etf structure. The idea is to buy the holdings at current discount and benefit from the extra 35% potential gains as the discount evaporates once BITW also converts in the next year, enjoying whatever gains its holdings of 60% btc, 30% ether, and 10% Solana and a handful of top altcoins, generate.
(*Not financial advice. Always do your own due dilligence)
This is not advice, but are you aware that FIDELITY is recommending 3% of assets in BITCOIN, JP Morgan is recommending 4%, and Blackrock (in private client call) is recommending as high as 26% BITCOIN. Do you have any? It could be as easy as buying BITB or FBTC in your current accounts.
Do you have any idea HOW thin supply is with the new funds buying thousands of bitcoin per day??? Mining supply is only a fraction of that!! Any retail is JUST starting to get in. Many brokers like Schwab don't even allow the new funds yet. Imagine what happens when the twitter campaign excoriating them for doing so prevails???? Are you thinking about this. YOU SHOULD BE. ENJOY
Raoul Pal, the founder and chief executive of Real Vision, has shared insights on cryptocurrencies that may interest average investors. While he emphasizes established assets, such as Bitcoin (BTC) and Ethereum (ETH), he also recommends a few other altcoins:
Solana (SOL): A smart contract platform and an Ethereum competitor1. SOL is currently the fifth-ranked crypto asset by market cap.
Avalanche (AVAX): Another smart contract platform1. AVAX is the 11th-ranked crypto asset by market cap.
Terra (LUNA): Yet another smart contract platform1. LUNA is down 2.36% and trading at $41.81 at the time of writing.
Polkadot (DOT): A versatile blockchain platform1. DOT is the 9th-ranked crypto asset by market cap.
Remember that investing in cryptocurrencies involves risks, and it’s essential to conduct thorough research and consider your own risk tolerance before making any investment decisions. 🚀💡 https://youtu.be/h9xiwTLaN5w?si=dCZxiNeNrf7pcijf
Is this the end of civilization as we know it to be, or the beginning of untapped unimaginable outcomes for all of us?
Raoul Pal has become a legend in global economics as one of the most successful former hedge fund managers (retired at 36), and one of the most brilliant thought leaders that thoroughly understands how to navigate and explain the complexities of the global financial markets.
And as the macro economist that Britain called on for help, his insights into the current recession, global economy, and volatile markets are well respected.
In today’s power-packed episode, we go deep into crypto, AI, and the future of technology and the economy. We touch on:
- The impact of the debt cycle and hyperinflation
- Potential breakthroughs in the tech sector
- The unstoppable nature of technology marked by AI models
- The natural cycle of recessions
- What kind of economic threat A.I. could be to the global economy
Raoul takes us through the complexities of the current economic system, how companies operate during downturns, his predictions for the coming economic cycles and housing markets, and why investing in technologies and cryptocurrencies may be the saving grace in this tumultuous economic construct.
Chapter Markers:
[0:00] The secular trend within the cyclical trend
[38:10] How money becomes worthless
[1:10:01] Recession is already here
[1:50:22] Population collapse problem
[2:21:36] The AI takeover is here
[2:47:56] Assets outside of fake money
Powerful Insights From Raoul Pal:
“The thing that's actually driving the S&P 500 is the Fed balance sheet. It's not companies.”
“Once you digitize things the cost goes to zero”
“In my lifetime there's a 20 or 30 year period which might be a truly extraordinary moment, […] the issue is, we can't see through the other side of it, and that's terrifying.”
“If you can afford to, invest in it [A.I.]. If not, be curious.”
“The impossible is possible.”
“Doom porn sells, it catches attention. Fear is the strongest human emotion.”
“It’s in everybody’s interest for everybody to walk away from this one commodity ruling the world because it’s not the commodity we care about, it’s the energy we care about.”
“Demographics are deflationary and inflationary depending where you are in the demographic cycle.”
“Babyboomers, the same people who caused the inflation are causing the deflation, [...] because they’re holding money.”
“Nobody wants the debasement of currency, but if you don’t, what is the outcome?”
“There’s a lot of structural issues here, and I don’t think you can do this without government, and I don’t think you can do it without central banks.”
“Nobody’s ever managed to get the business cycle flat, it’s a degree of what volatility you’ll accept.”
Hot tip: REAL ESTATE stocks have been beaten up by the rapid rise in interest rates, but there are some real gems out there, especially for those looking for growth WITH income.
Realty Income (ticker "O") is worth looking into as one of the very best run in the business, and a long track record with experienced mgmt teams.
The 6% yield (dividend as function of current price) is rock solid, and the chart just made a double bottom off a 10 yr support level. Nothing here is advice, but I can tell you what I'm doing. I'll be buying up to 3% of my portfolio and forgetting about it for a few years or perhaps even a decade. With any luck at all, this could steadily appreciate 5-8% annually from here, in addition to the 6% yield, for total growth north of 12% annualized.
HEADS UP! Fidelity's bitcoin fund ticker “FBTC” (a Jimychanga fav!) ETF has consistently attracted at least $100 million of net inflows every trading day, taking the firm’s total to $1.9 billion.
I TRUST YOU ARE GETTING 5.3% on your SAFE "BANK" MONEY right now, especially if investing is not your cup 'o tea!
Changa showed you how to do it easily, and with full liquidity FDIC guarantees, right from you desktop in 5 minutes.
Here's the post from November:
https://jimychanga.substack.com/p/gift-for-paid-subscribers
A rising tide lifts all boats.
Don't fight the primary trend.
Bubble may be far from bursting’: Capital Economics says S&P 500 could hit 6,500 by end of next year
PUBLISHED THU, FEB 15
https://www.cnbc.com/2024/02/16/sp-500-could-hit-6500-by-end-2025-says-capital-economics.html
Bitcoin miners like Cleanspark up 24% today alone! What did Changa tell you about buying the recent dip?
ENJOY!
Let me save you 2k..
Teekas 2024 picks are:
Ethereum (ETH)
Polygon (MATIC)
Chainlink (LINK)
Solana (SOL)
Avalanche (AVAX)
Litecoin (LTC) ( surprised me)
https://greenbullresearch.com/teekas-top-six-income-coins-for-2024/
Here’s hoping my SOL goes up and up.
Yes, GBTC has been one of our fav ways to play this event the last 12 months. It is included in the 11 newly approved funds, and will be "converting" from a trust to an etf..... exacly as Changa expected (we're up over 200% last 12 mos with our subs).
For those who understand the concept of buying at a discount to NAV, we still like BITW which has a 35% discount to NAV and plans to eventually file to become an etf structure. The idea is to buy the holdings at current discount and benefit from the extra 35% potential gains as the discount evaporates once BITW also converts in the next year, enjoying whatever gains its holdings of 60% btc, 30% ether, and 10% Solana and a handful of top altcoins, generate.
(*Not financial advice. Always do your own due dilligence)
Investing idea: MARA 20% off (but don't wait!)
(OT scholars should know that Naomi/Bitter renamed bc she missed out on bc. Not because she bought it :)
Top bitcoin miner just got punished on slight earnings miss. Do your own research, but IMHO the dip won't last more than a day or two.
Consider accumulating at 20% discount to trend. (*Not investment advice)
https://seekingalpha.com/symbol/MARA
Bitcoins great, but not for anonymity.
Here's why
(Monero's another story)
A husband hid $500,000 in bitcoin during a divorce — and got busted by a crypto hunter
https://www.cnbc.com/2023/05/20/bitcoin-in-divorce-how-spouses-hide-assets-crypto-hunters-find-them.html?qsearchterm=zcsh
SOLANA on the Move, up 25% this week and breaking out of a consolidation pattern.
Enjoy
DID YOU KNOW?
This is not advice, but are you aware that FIDELITY is recommending 3% of assets in BITCOIN, JP Morgan is recommending 4%, and Blackrock (in private client call) is recommending as high as 26% BITCOIN. Do you have any? It could be as easy as buying BITB or FBTC in your current accounts.
Do you have any idea HOW thin supply is with the new funds buying thousands of bitcoin per day??? Mining supply is only a fraction of that!! Any retail is JUST starting to get in. Many brokers like Schwab don't even allow the new funds yet. Imagine what happens when the twitter campaign excoriating them for doing so prevails???? Are you thinking about this. YOU SHOULD BE. ENJOY
Short bitcoin is long central bank austerity and government
frugality
(That's all I've been sayin')..
https://open.substack.com/pub/thebitcoinlayer/p/bitcoin-surging-as-demand-has-never?utm_source=share&utm_medium=android&r=3vm3f
Listen carefully...
https://youtube.com/shorts/YRKRn0Bozvc?si=STSZ1Q_N1bGfQymq
Raoul Pal, the founder and chief executive of Real Vision, has shared insights on cryptocurrencies that may interest average investors. While he emphasizes established assets, such as Bitcoin (BTC) and Ethereum (ETH), he also recommends a few other altcoins:
Solana (SOL): A smart contract platform and an Ethereum competitor1. SOL is currently the fifth-ranked crypto asset by market cap.
Avalanche (AVAX): Another smart contract platform1. AVAX is the 11th-ranked crypto asset by market cap.
Terra (LUNA): Yet another smart contract platform1. LUNA is down 2.36% and trading at $41.81 at the time of writing.
Polkadot (DOT): A versatile blockchain platform1. DOT is the 9th-ranked crypto asset by market cap.
Remember that investing in cryptocurrencies involves risks, and it’s essential to conduct thorough research and consider your own risk tolerance before making any investment decisions. 🚀💡 https://youtu.be/h9xiwTLaN5w?si=dCZxiNeNrf7pcijf
LISTEN TO THIS FASCINATING TAKE ON BITCOIN
Is this the end of civilization as we know it to be, or the beginning of untapped unimaginable outcomes for all of us?
Raoul Pal has become a legend in global economics as one of the most successful former hedge fund managers (retired at 36), and one of the most brilliant thought leaders that thoroughly understands how to navigate and explain the complexities of the global financial markets.
And as the macro economist that Britain called on for help, his insights into the current recession, global economy, and volatile markets are well respected.
In today’s power-packed episode, we go deep into crypto, AI, and the future of technology and the economy. We touch on:
- The impact of the debt cycle and hyperinflation
- Potential breakthroughs in the tech sector
- The unstoppable nature of technology marked by AI models
- The natural cycle of recessions
- What kind of economic threat A.I. could be to the global economy
Raoul takes us through the complexities of the current economic system, how companies operate during downturns, his predictions for the coming economic cycles and housing markets, and why investing in technologies and cryptocurrencies may be the saving grace in this tumultuous economic construct.
Chapter Markers:
[0:00] The secular trend within the cyclical trend
[38:10] How money becomes worthless
[1:10:01] Recession is already here
[1:50:22] Population collapse problem
[2:21:36] The AI takeover is here
[2:47:56] Assets outside of fake money
Powerful Insights From Raoul Pal:
“The thing that's actually driving the S&P 500 is the Fed balance sheet. It's not companies.”
“Once you digitize things the cost goes to zero”
“In my lifetime there's a 20 or 30 year period which might be a truly extraordinary moment, […] the issue is, we can't see through the other side of it, and that's terrifying.”
“If you can afford to, invest in it [A.I.]. If not, be curious.”
“The impossible is possible.”
“Doom porn sells, it catches attention. Fear is the strongest human emotion.”
“It’s in everybody’s interest for everybody to walk away from this one commodity ruling the world because it’s not the commodity we care about, it’s the energy we care about.”
“Demographics are deflationary and inflationary depending where you are in the demographic cycle.”
“Babyboomers, the same people who caused the inflation are causing the deflation, [...] because they’re holding money.”
“Nobody wants the debasement of currency, but if you don’t, what is the outcome?”
“There’s a lot of structural issues here, and I don’t think you can do this without government, and I don’t think you can do it without central banks.”
“Nobody’s ever managed to get the business cycle flat, it’s a degree of what volatility you’ll accept.”
Listen to interview:
https://youtu.be/h9xiwTLaN5w?si=42CsTyNiNyFbhtPv
WHY DO BITCOIN MINING STOCKS OUTPERFORM BITCOIN? Because you asked....
Bitcoin miners play a crucial role in the decentralized network.
They continuously validate the entire transaction history.
Miners also verify that new transactions are legit and follow the Bitcoin protocol.
For their effort, miners earn transaction fees and are awarded new Bitcoins.
Bitcoin miners are similar to other commodity producers.
Think of investing in a Bitcoin miner like a leveraged play on Bitcoin.
Even a tiny change in the Bitcoin price can enormously impact a miner's profits.
It's similar to how junior mining stocks offer leveraged exposure to gold and silver… but it's potentially EVEN MORE lucrative with Bitcoin.
For example, suppose it costs $1,000 for a gold miner to produce an ounce of gold.
If gold prices fall 10% to $900, the company loses $100 on each ounce.
If the gold price instead rises 10% to $1,100, then the gold miner is making a $100 profit on each ounce.
Suppose the price of gold rises a further 9% to $1,200. The miner's profits don't just go up by 9%.
They double—from $100 to $200 per ounce.
Suppose the price of gold doubles from $1,000 to $2,000 an ounce. The miner's profits don't just double.
They go up ten times.
That's how gold mining stocks offer leveraged exposure to the price of gold.
A similar dynamic is at work with Bitcoin and Bitcoin miners… but on steroids.
Defying the “Easy Money Trap”
Bitcoin miners are producing something that is not just scarce but absolutely scarce.
Bitcoin is the only commodity where higher prices cannot induce more supply, eventually lowering prices.
That means the only way Bitcoin can respond to an increase in demand is for the price to go up.
Unlike every other commodity, increasing the supply in response to increased demand is not an option.
For example, imagine the price of copper going 5x or 10x.
You can be sure that would spur increased production, eventually expanding the copper supply.
Of course, the same is true of any other commodity.
That's why there is a famous saying in mining: "The cure for high prices is high prices."
The dynamic of higher prices incentivizing more production and ultimately more supply, bringing prices down, exists with every physical commodity.
However, gold is the most resistant to this process.
That supply response is why most commodity prices tend to revert around the cost of production over time.
This dynamic is even more profound with money.
When an asset obtains monetary properties, the natural reaction is for people to make more of it—A LOT more of it.
This is known as the easy money trap.
However, Bitcoin totally defies it because its supply is perfectly inflexible. It's the only commodity where higher prices cannot induce more supply.
In other words, Bitcoin is the first—and only—monetary asset with a supply entirely unaffected by increased demand.
That is an astonishing and game-changing characteristic.
Here's the bottom line.
Gold and other commodities are scarce, but only Bitcoin is absolutely scarce.
That means the only way Bitcoin can respond to an increase in demand is for the price to go up.
Unlike every other commodity, increasing the supply in response to increased demand is not an option.
That's why the business of Bitcoin mining can be EVEN MORE profitable than that of other commodity producers.
More (don't spend money on this newsletter service. Just look at the charts) https://financialunderground.com/the-number-one-bitcoin-stock
Hot tip: REAL ESTATE stocks have been beaten up by the rapid rise in interest rates, but there are some real gems out there, especially for those looking for growth WITH income.
Realty Income (ticker "O") is worth looking into as one of the very best run in the business, and a long track record with experienced mgmt teams.
The 6% yield (dividend as function of current price) is rock solid, and the chart just made a double bottom off a 10 yr support level. Nothing here is advice, but I can tell you what I'm doing. I'll be buying up to 3% of my portfolio and forgetting about it for a few years or perhaps even a decade. With any luck at all, this could steadily appreciate 5-8% annually from here, in addition to the 6% yield, for total growth north of 12% annualized.
Do your own research, as always.
Enjoy