Just Like Amazon in 2003, Bitcoin is a “Screaming Buy” Today: Tuur Demeester
Bitcoin is currently up 181% in 2019 till date.
From around $3,350, the Bitcoin price has risen to $10,400, its current price. During this period, Bitcoin, however, went as high as $13,900 at the end of June.
These gains came after the brutal winter of 2018 when BTC price dropped to $3,160 level.
However, according to Tuur Demeester, the founder of Adamant Capital, a Bitcoin fund, that wasn’t a bear market rather the
“post ICO bubble bitcoin bull market.”
Demeester compares Bitcoin’s situation with that of Amazon’s (AMZN) over the years.
Sharing the Amazon’s journey since 1997, he notes how AMZN stock price reached more than $100 around the year 1999 only to drop below $10 in 2001.
Then in year 2003, 99 percent of the dotcom IPOs died and AMZN stock prices went from $20 to $60 and then back to $40 the same year.
But even at that time, AMZN was a good buy that surged to $100 in the next four years and then further high above $130 in 2009 and is currently trading at $1,833.51.
Just like Amazon, Demeester says, Bitcoin “today is a screaming buy” as well.
Bitcoin, however, has its ups and downs as well.
After a decade of its existence, Bitcoin as a digital gold narrative is gaining momentum with adoption and awareness rising at a fast pace.
The leading cryptocurrency has also been recognized as a hedge against the political and economic turmoil at global level.
“Bitcoin is maturing into a digital store-of-value akin to gold,” Bloomberg Intelligence analyst Mike McGlone wrote in a note this week. “Layers of price support, increasing institutional interest and macroeconomic conditions similar to those aiding gold should keep Bitcoin’s price buoyant.”
On the regulatory front, authorities are coming to the realization that Bitcoin can't be banned. Moreover, from the US President, Treasury Secretary to the Federal Chairman, they have taken to address cryptocurrencies.
There is still a long way to go when it comes to the regulatory aspect, however, as Fed Chair Jerome Powell said this week in a Q&A round in Zurich, Switzerland,
“We are following the whole question of digital currencies. It’s not something that we are actively considering. For us, it raises significant issues that we would want to see resolved.”
As for price, Bitcoin has risen 759,999,900% since the last recession.
Moreover, during each bull cycle, Bitcoin puts a new all-time high. While BTC price prediction for this cycle could be as high as in six figures, in the coming years, it is projected we could go beyond $1 million.
So, despite being down 47% from its ATH at $20,000, Bitcoin is, in fact, a “screaming buy” today.