Hi guys. I have a friend who's parents are looking for alternatives and want to invest money into something other than their IRA account. They have a fixed IRA with about $100K, but they are unsatisfied with the miserable amount of interest they're getting. I mentioned to them that bitcoin is a possible alternative and one they can look into. Do you agree? Do you guys consider bitcoin a reliable and stable investment for long term holding(5-10yrs)? Is it safe to assume the only direction(barring a few dips here and there) bitcoin will eventually go from here is up? Do you foresee it going below $10K, or even $9K ever again? Is it even possible to see the lows we saw a few months ago(ie $3500) ever again?
Please give me your thoughts. IRA or Bitcoin for the long term?
This is a tough one because it involves people who don't seems to know much about Bitcoin. I would first suggest you take them on an educative section about Bitcoin and the risks involved such as volatility, in so doing they will be left to make the choice themselves.
About Bitcoin, yes it is a reliable form of investment for long term however it is not a stable investment because of the unpredictable nature of the crypto space; and therefore no one can accurately say it will go below $10k or $9k but whichever it is, since it is long term holding then bear market shouldn't be a problem.
Left for me, I already know the valuable nature of Bitcoin and as such, I would invest a good amount in Bitcoin but not all while investing more in real estate or any profitable business, then a good amount of the profit from the business will still go back to Bitcoin.