Bitcoin and cryptocurrency prices bounced following a sale that wiped out about $ 1 trillion from the combined crypto market —And after one carefully watched investor was called the bottom of the market..
This week’s Bitcoin price has fallen below $ 40,000 per Bitcoin for the first time since September, rising 5% over the past three days to about $ 43,000. The price of Ethereum has also risen, adding almost 10%, and the prices of rivals Binance BNB, Solana and Cardano have risen.
Bill Miller, a millionaire investor now, has revealed that 50% of his net worth is held in crypto investments associated with Bitcoin.
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“My reasoning was that more people are using it. [bitcoin] “Now,” Miller said in an interview. WealthTrack He disclosed his personal interests in MicroStrategy, a Bitcoin acquisition tool that turned into a tech company, and Stronghold, a Bitcoin mining company. “There’s a lot more money in the venture capital world. There are a lot of skeptics and at least I’m trying it now.”
Thomas Peterffy, one billion founders of the trading platform Interactive Brokers, warned in December that Bitcoin futures could “destabilize the real economy.” On the flip side, he said investors would need to buy a small amount of cryptocurrencies such as Bitcoin and Ethereum in case the dollar “falls into hell.”
Concerns over rising inflation, which hit a high of nearly 40 years in the United States, have led investors to buy Bitcoin to hedge the weaker dollar.
Miller, who surpassed the S & P 500 Index for 15 years in the 1990s and 2000s and built a reputation as a fund manager, said the rest of his personal portfolio is in Amazon stocks, with the exception of Bitcoin and cryptocurrency investments. He himself is probably Amazon’s largest individual shareholder, “whose surname is not Bezos.”
“It comes down to a very basic level of supply and demand,” Miller said. WealthTrack, Declare yourself as a “Bitcoin Bull” rather than just a “Bitcoin Observer”.
“Bitcoin is the only economic entity whose supply is unaffected by demand,” he said, a block of Bitcoin paid to miners who secure the blockchain of Bitcoin and the hard cap of Bitcoin, 21 million coins. Pointed out the reward.
Miller revealed that he started buying Bitcoin in 2014, when the price of Bitcoin was only $ 200 per Bitcoin, and after rising to $ 500, he bought “a little more overtime”. He was then on the sidelines until Bitcoin plunged to $ 30,000 last year, dropping about 50% from its high of about $ 66,000 in April.
“This time I started buying from $ 66,000 to $ 30,000,” Miller said, adding that he bought “a significant amount in the $ 30,000 range.”
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Since then, Bitcoin prices have skyrocketed to a record high of about $ 70,000 in November against the backdrop of the hype surrounding the first US Bitcoin futures exchange-traded funds. Since then, Bitcoin prices, along with Ethereum and most other major cryptocurrencies, have been feared that the Federal Reserve may start raising interest rates and shrinking its bloated balance sheet. You are losing 40% of your value.
Despite his trust in Bitcoin, Miller advised the average investor not to put more than 1% of his portfolio into Bitcoin. Lose 1%. “
“I think the average investor should ask himself. What’s in the portfolio with such a track record? Number one is a very low penetration, insurance service against an empty financial catastrophe. Can offer. Can others offer and increase 10 or 50 times? The answer is: nothing. “