Why Bitcoin Will Hit $20,000 by Christmas

bitcoin market skyrocketing

Having been in finance and markets professionally for over a decade, we’ve seen a thing or two.

Your editor’s actually been investing longer than that — going as far back as when we were just 11 years old, learning about stocks with our Grandad.

It’s a lifelong fascination. And one that we’re always learning more about. Whether that’s investor behaviour or how to identify market opportunities we’re always learning.

But in 2010 we stumbled across bitcoin. It challenged everything we knew about markets.

The story we often tell is when we figured out that through bitcoin mining you could actually create your own money tree.

You know the one. The fabled ‘money tree’ that our parents always led us to believe wasn’t real. Well when bitcoin came along, the tree was real. And today, if you’ve got the computing power, the money tree is real.

Back in 2010 with a nice, shiny graphics processing unit (GPU) and a bit of programming skill, you could mine bitcoin. Back then the reward for successful mining of a block was 50 bitcoins.

However, back then that meant a 50 Bitcoin reward was worth a grand total of just $5.

Yep. 50 bitcoin, $5.

And the chances of mining a block as an individual were pretty good. Consistently mining might have landed you a couple hundred bitcoins over the space of a few months.

The question you may be wondering now is why am I not retired on a beach somewhere, enjoying my tens of millions worth of bitcoin?

Well, it’s simple. Back then I applied traditional financial thinking to bitcoin. I dabbled in it, but never really took it seriously enough. Instead of mining (which for me was too hard at the time) I tried to buy some (which was also too hard).

And then the price spiked and crashed, and spiked and crashed. It was all too much, too volatile. Too risky. I was only in my mid-20s, trying to carve out a career in financial advice. This went against all fundamental financial and economic principles I’d learnt about in traditional markets over my lifetime.

Eventually I came around to the idea that we were dealing with a financial revolution. And that we’re in the earliest stages of a world-changing event. An event that the average person needed to know about. 

The future is now

So I wrote a book about it all in 2016 and 2017. And then convinced my Publisher to launch a service for everyday folk to benefit from this financial revolution.

And in the middle of this year we launched Sam Volkering’s Secret Crypto Network to thousands of excited Aussie investors. Now we’re sitting on an average return across nine crypto recommendations higher than 100%.

Not bad for just five months. Sure, there are crypto that have seen their price skyrocket more than 1,000% in that time, but they’re super high risk, typically ‘initial coin offering’ (ICO) plays — not for the first time crypto investor.

But almost all the attention over the last few weeks has been on bitcoin. It’s now a full-blown bitcoin frenzy. Everyone knows about it. Or at least knows someone that knows about it.

The explosion of ‘Bitcoin Experts’ and ‘Crypto Advisors’ on LinkedIn is a sign of the hype.

And yes, I classify myself as a Crypto Advisor. But I can. I’ve been there and done that. Eight years of experience, not eight months.

However, I must admit the surge in the fiat denominated price of bitcoin is…alarming, to say the least. Don’t get me wrong, I’ve been saying that the price of bitcoin could comfortably go well beyond US$50,000 and US$100,000.

But I didn’t expect this so soon.

For example on 7 June, 2017 I tweeted:

Sam Volkering Tweets | Bitcoin 07-12-2017

[Go to Tweet]

Then on 11 June:

Sam Volkering Tweets | Bitcoin 07-12-2017

[Go to Tweet]

In just four days bitcoin had surged past AU$3,967.

By the start of September it scratched just under AU$6,609.

By the start of November it tipped just over AU$10,000.

Today, one bitcoin is AU$17,228.

Next stop, AU$20,000. And we think that’s coming before Xmas.

The reason is that the Chicago Board Options Exchange is now offering options for bitcoin. That means traders will be able to buy bitcoin options, both long and short, settled in cash.

That’s going to bring a whole heap of institutional money into the cryptocurrency space. It may also see the price of Bitcoin absolutely fly. We’re talking potentially billion in options trading on bitcoin. It will help large institutional investors manage their risk in holding actual bitcoins.

We could see the largest inflow of global money into real bitcoins that we’ve ever seen. And because of the finite nature of bitcoin, it may drive the price another 100%, 200%, 1,000% or higher from here, with barely a breath on the way.

We think this may be the single biggest catalyst for a rising bitcoin price we’ve seen all year. Maybe ever.

And in our view it could very well be your last chance to get your hands on bitcoin at what we still call ‘bargain prices’. Our long term view is that we still think the value of bitcoin is substantially higher than today. Maybe this is the run we’ve been waiting for — just much, much earlier than even we anticipated.

Regards,

Sam Volkering,
Editor, Secret Crypto Network

Sam Volkering

Sam Volkering is Editor for Money Morning and its small-cap, cryptocurrency and technology expert. Find out what he has to say here with all his latest articles.

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