We like to consider ourselves realists here at Money Morning. We have respect for the market, because we’ve all seen what happens when it burns you.
It’s nice to get caught up in a little bit of optimistic enthusiasm every now and then. One can only read so many negative headlines and look at charts in the red before pining for brighter days.
Cast your mind back to 1965.
Robert Menzies is Prime Minister, the economy is booming, and Australia is securing its position on the world stage.
Meanwhile, over in the US, Gordon Moore — who would later go on to co-found Intel Corp [NASDAQ:INTC] — is asked to predict what the semiconductor industry would look like over the next decade.
The article he published, titled ‘Cramming more components onto integrated circuits’, would go on to create ‘Moore’s law’.
The law back then related to progress of integrated circuits for computers. Moore noted that the technology had experienced rapid growth. Nearly doubling each year since inception.
Moore’s law predicted that this trend of exponential growth would likely continue for the foreseeable future. And he was right. The technology just kept progressing faster and faster.
Today, Moore’s law is often attributed to the rapid success of new technologies. As long as progress continues to grow exponentially, Moore’s law is at work.
Well, according to Harvard academic Dennis Porto, one investment is now following Moore’s law — Bitcoin.
According to Porto, bitcoin’s price has doubled every eight months since its launch.
That’s an amazing feat. It’s also a big reason why we believe in bitcoin’s future. We’re also pretty bullish on what that means for bitcoin’s price. But perhaps not as bullish as Dr Porto.
Save the date folks because, by February 2021, Porto believes bitcoin could be worth more than US$100,000.
That’s a daring prediction. But so was Moore’s. Even 52 years on, we are still seeing a lasting impact from that prediction. You probably wouldn’t be reading this on your computer or smartphone if Moore was wrong.
Think about that for a moment. Bitcoin is on the same course as the technology that underpins our current digital society.
To be sure, bitcoin hasn’t disappointed us yet.
In fact, we want you to benefit from the cryptocurrency revolution in the same way that thousands of everyday Aussie investors already are. Now is the time to understand and join the cryptocurrency world.
For more information, click here.
Junior Analyst, Money Morning