Post
Topic
Board Speculation
Re: Why you should hold out for a new ATH before selling ANY bitcoin!
by
MatTheCat
on 08/01/2016, 07:01:43 UTC
Besides China, what other global markets are crashing ?

Equities have essentially done fuck all right through 2015 and ended the year down.

First week into January, and they have all corrected horribly, on the back of some rather nasty bearish market structure left over from the latter part of 2015. We are coming into a Fear cycle for sure, which in the past has always seen wealth flow into hard assets such as commodites, which 'surprise surprise' are all currently at their absolute depths and bottoms, nicely timed for institutional investors to buy on the cheap, whilst 'maw n paw' continue to put their savings into equity investments, teetering on the brink of their parabolic tops.

Could Bitcoin be seen to be a 'hard asset'? I suppose it could.

However, I would imagine the first stop for wealth fleeing crashing equities, will be plain old Fiat, and the King of Fiat is the USD. Problem with a lot of assets, is that the economy has to be turning and producing demand in order for hard asset investments to be profitable and:

a) that aint happening
b) we are still in a phase of 'overproduction' due to hard assets ramp circa 2010-2013.

With that said, the USD Index has already seen a huge move up over the past couple of years.....can it really keep on going? The answer to that question will be the answer to when/if hard assets are about to get a bit of rampy rampy action.