In April 2013, Bitcoin fell from $233 to $67, overnight. That’s a drop of 71%.
After that, you could buy a Bitcoin for around $120 for most of 2013 but by the end of the year you’d have to fork over more than $1,100 – Bitcoin was up more than 800%. Then from there the price dropped by 86% over the next year or so.
Bitcoin is down around 85% from its highs reached in December 2017, as of just a few days ago - but it has recovered since then.
These last few days have begged the question from several investors in the blockchain space: “Is the crypto space bottoming here?” The true answer is. It sure is trying to.
I have been personally calling for a Santa Claus Rally in Crypto since my post on November 8th. Perhaps it is finally underway... and right on time!
Several key factors are showing amazing potential.
Western Union President Odilion Almeida, alluded his company’s interest in adopting cryptocurrencies in exchange for fiat currency, saying:
“Western Union (NYSE: WU) is ready to adopt any kind of currency. We already operate with 130 currencies. If we one day feel like it’s the right strategy to introduce cryptocurrencies to our platform, technology-wise it’s just one more currency. I think cryptocurrency may become one more option of currency, or assets, around the globe to be exchanged between people and businesses. If that happens, we will be ready to launch.”
The CEO of Binance, Changpeng Zhao called 2018 the “correction year” for cryptocurrencies. He went on to explain:
“Price is a very strong attraction” for investors. He went on to explain, “Binance launched one fiat exchange, plans to launch two or three in the next month or so and 10 more fiat exchanges next year.”
We still need to be cautious. Crypto trader Alex Kruger, still thinks we could easily print new lows in the following weeks.
One aspect of the current marketplace from which we will all benefit tremendously is investor education. Endeavoring to educate the next crypto investor and even the crypto enthusiast, Coinbase is offering an invite-only educational webinar program that rewards students for completing its online class.
One thing that we are sure of, is that the crypto space in general and the use cases for digital assets and blockchain technology are expanding rapidly and organically, regardless of the volatility in prices.
Recent news of Mick Mulvaney’s appointment as acting Chief of Staff means we have a friend in the White House. Mick is known to be an advocate for digital assets and it can’t hurt to have him in close proximity to the President.
We have deployed roughly 30% of our capital (in the fund) into a diversified but targeted basked of digital assets and at the time of writing we are profitable! We are still in accumulation mode and looking for favorable entry levels to add to our existing positions and add new coins. We have limit orders placed and working now - which will be filled on any meaningful drops.