Bitcoin is Unlike All Other Financial Assets and Why Humble Stackers Have the Edge
Other assets do not trade like Bitcoin, and that's why it will be undervalued for several decades.
Monetary revolutions don’t come along often.
In fact, this is the first one of the Information Age.
Everyone out there is basing their decisions on how things “were” and not on how they are “going to be”.
And if you take a single thing from this article, let it be that.
Decisions are being made everywhere, by almost everyone, on how things were, and not how they are going to be.
Volatility Keeps People Out, and That is Good For You and Me
There aren’t assets out there that trade like Bitcoin.
Imagine a house trading for $1,200 one year, then dropping down to $275 the next.
Three years later the same house goes for just under $20,000, but plummets to $3,100 the next.
Again, three years later the house price skyrockets, this time topping out at $69,000…only to dive down to $15,000 the following year.
“Real estate is uninvestable!! It’s too volatile!!”
All the while, the happy homeowner enjoyed the house all along and has seen his equity skyrocket over a decade.
So it is with the hardest money ever created.
Bitcoin Melts Minds, Thus People Dismiss it Immediately
For a moment, try to transport yourself into the mind of an ordinary person looking into Bitcoin for the first time.
They first look at the price, of course. Prices are simply the best communication tool we humans have, and we make almost every financial decision based on its price, at least at the start. So they look at Bitcoin trading at $27,000 currently, and start their analysis.
One of two things will happen:
They will see it’s up from $0 initially, and think they are “too late”
Or they will see it’s down from $69,000 and say “Oh look Bitcoin is dead”
And then they go to Starbucks and get a coffee.
Yes, it’s kind of disappointing and sad. But we live in a society that does not encourage deep investigation, thinking, or curiosity. Most simply want instant gratification and to be entertained.
But one man’s failure to dig is another man’s gold mine - so to speak.
So it presents YOU an incredible opportunity to accumulate, sit, learn and prosper over the long term.
Stay Humble, Stack Sats - Patience, Discipline and Knowledge
Earlier it was noted people play the game of life base on how things were, and to some extent how they are.
This is where you gain the edge.
You patiently educate yourself while everyone else binges Netflix. You take 10% of your pay for ten years, and purchase Bitcoin with that dirty fiat money. And you carefully learn how to store your Bitcoin, away from the corrupt banks and financial institutions that beg for government bailouts the second their bad decisions are publicly exposed.
This is the way.
You don’t worry about drawdowns in fiat, because Bitcoin is a rapidly monetizing asset, Dollars can be printed at will by those in charge, Bitcoin cannot.
Neither of these things will change, their course has been set for some time, and nothing is going to change their trajectory.
So act on how things will be, not on how they are…
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" and purchase Bitcoin with that dirty fiat money" Amen!
I have personally explained bitcoin to some friends and expressly stated to not buy any if you can't wait five years to sell. I showed them dcabtc.com and what five years does even when bought at ATH. The very first dip and they sold at a loss. Broke my heart. I didn't say a world.