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Here is my map for the next run in bitcoin (BTC) in line with my mid-November guests:
My prediction for the bitcoin price is 20201
Credit: ADVFN
You can look at it this way too:
Another look at the predicted bitcoin price
Credit: ADVFN
This is the trajectory I expect over the next few weeks. It is very difficult to predict these vertices. It doesn’t matter if it’s dot.com, Apple
AAPL
TSLA
Trees do not grow into the air, says the old speculator’s proverb, but in fact they do, at least from where I stand 100 feet below. So what does an investor – let’s read speculator – do?
The solution is to keep their position as part of a diversified portfolio or at least deal with it as if this were a goal. If BTC hits $ 30,000, I’ll consider lightening. I might procrastinate but I might as well hold on, depending on what is going on.
Bitcoin is less likely to increase fourfold than ether (ETH) and below these titans is a world of small-ticket projects bursting.
One way to diversify is to split bitcoin’s chunky site into a series of small crypto jobs. At $ 30,000 BTC I will definitely think about that possibility.
Then there’s the Coinbase IPO. That will certainly be a stock to go into and sit on your portfolio for the next ten years. So maybe I’ll swap some BTC and exchange it for Coinbase and if any bookseller wants to cut me in on some sweet IPO stock I’m here waiting for your call (just cheat).
Crypto is now a train of investment opportunities. There are cryptocurrencies with bitcoin and ether in the royalty of this scene. I like monero (XMR), litecoin (LTC) and even the skeptical dogecoin (DOGE), the rising tide will pick up all the coins, but I’m not holding anything other than BTC and ETH.
Then comes DeFi, which will be huge in 2021. This is a juggernaut that is just as sure to change the world as computers and the internet were, except it doesn’t take as long. I have a lot of these really exciting project tickets. I keep repeating myself but I will continue. Any self-respecting investor should be preparing for this new phenomenon; there is a golden period of high profit to be made over the next few years.
Finally, NFT (nonfungible tokens) are coming up behind. NFT are tokens that can lock and protect digital items. You can gig at Cryptokittens, which is an NFT project but the gaming people are only innovating in a sector where real assets, many of which are now fully digital, will be made unique by this technology and open up powerful new horizon of financial and non-financial products.
This triple whammy is enough to slingshot crypto on for years but it also suggests an even bigger opportunity.
Blockchain technology combined with cryptography is an invention engine that can spawn game-changing innovation after game-changing innovation. Bitcoin isn’t even an iceberg tip, it’s mushrooms popping above the surface of a huge network of opportunities fermenting, spreading, building the next big tech wave in awe. That’s why astonishing young technical talent is sucked into crypto gravity and begins to plunder an incredible array of exciting new computing.
You can throw in everything else if you want a simple investment case for crypto. The depth of talent that fuels the crypto landscape is enough on your own to make this arena central in the coming decades and right now you can buy the lot, the entire shooting contest, all the coins and tickets listed, priced at Tesla.
That’s why I’ll probably hang onto my bitcoin at $ 30,000 and beg for mercy.
2021 is going to be big for crypto and especially DeFi. Make sure your masks are tightly tied!
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Clem Chambers is the CEO of the private investor website ADVFN.com and author of 101 Ways to Pick Stock Market Winners a Cryptocurrencies trading: A Beginner’s Guide.
Chambers won Journalist of the Year in the Business Market Commentary category at the 2018 State Street UK Institutional Press Awards.