Re: Weird question, but please answer. Coin's to hold for 6 years. I'm going to jail
If you have to invest 6 years out you want a sure thing and not some random ass gamble in crapcoins. It's possible Bitcoin could not even exist by the time you got out. I'd go 70% silver and 30% Bitcoin if you have a relative that can actually store the silver. The US dollar itself will probably be dead 6 years from now and metals will be very expensive but there's no guarantee Bitcoin will exist or not.
Here's a brief comparison I did the other day comparing Bitcoin vs silver upside:
Here's a brief comparison I did the other day comparing Bitcoin vs silver upside:
If every millionaire hedged 1% of their wealth into Bitcoin, the price would be around $8000 per coin fully liquid, fully capitalized. But markets aren't fully liquid, so the price per coin would be something like 10x that at maybe $80,000 per coin. So a +100x from current price.
Now, looking at metals instead, if they do a new Bretton Woods, they would take gold to at least $20,000 at the 40% historical backing rate. The GSR (gold to silver ratio) would spike somewhere between 15:1 to 30:1 off that, putting silver anywhere from $666-$1333. That is a +39 to +78x. As you can see, the upside on silver for wealth transferrence is basically the same as Bitcoin while otherwise having far less risk attributes.
I own large amounts of both so I'm not biased - use Bitcoin as a checking account and metals as savings account.
Now, looking at metals instead, if they do a new Bretton Woods, they would take gold to at least $20,000 at the 40% historical backing rate. The GSR (gold to silver ratio) would spike somewhere between 15:1 to 30:1 off that, putting silver anywhere from $666-$1333. That is a +39 to +78x. As you can see, the upside on silver for wealth transferrence is basically the same as Bitcoin while otherwise having far less risk attributes.
I own large amounts of both so I'm not biased - use Bitcoin as a checking account and metals as savings account.
Gold and silver move at something like 0.85 correlation and it's much easier to move the silver market than gold. Whatever happens to gold, silver is coming along for the ride. You've seen how easy it is to move the Bitcoin market and the silver market cap is barely even larger than BTC.
People who are familiar with metals also tend to completely ignore gold and buy only silver when the GSR is over 50:1, then dump silver for gold when the GSR is 30:1 or lower. If the price of gold spiked to some insane number and the silver price had not caught up, everyone and their mom will immediately dump gold to buy the undervalued silver. There is no viable situation in the universe where the price of gold skyrockets and silver doesn't.
For actual market analysts and traders, the GSR charts have a hard triple top right under a hard double top, indicating there is nowhere for the value of silver to go except up in relation to gold and that it will likely return to 30:1 or lower in the near future:
After it breaks into the 20's:1 area, that's when people will start dumping silver for gold and it reverses to start the cycle all over again.
If we have a deflationary crash rather than hyperinflation, the DOW floor is around 6000. The historical DOW to gold ratio seems to trend to around 3-5:1, so even in a deflationary crash the value of gold can still go to $2000, which would probably take silver to a 30:1 GSR of $66.
TLDR: There is no point whatsoever in buying gold over silver right now.
TLDR2: Trust nobody, especially some greaseball with a pinky ring named Martin Armstrong
People who are familiar with metals also tend to completely ignore gold and buy only silver when the GSR is over 50:1, then dump silver for gold when the GSR is 30:1 or lower. If the price of gold spiked to some insane number and the silver price had not caught up, everyone and their mom will immediately dump gold to buy the undervalued silver. There is no viable situation in the universe where the price of gold skyrockets and silver doesn't.
For actual market analysts and traders, the GSR charts have a hard triple top right under a hard double top, indicating there is nowhere for the value of silver to go except up in relation to gold and that it will likely return to 30:1 or lower in the near future:
After it breaks into the 20's:1 area, that's when people will start dumping silver for gold and it reverses to start the cycle all over again.
If we have a deflationary crash rather than hyperinflation, the DOW floor is around 6000. The historical DOW to gold ratio seems to trend to around 3-5:1, so even in a deflationary crash the value of gold can still go to $2000, which would probably take silver to a 30:1 GSR of $66.
TLDR: There is no point whatsoever in buying gold over silver right now.
TLDR2: Trust nobody, especially some greaseball with a pinky ring named Martin Armstrong