Today is December 11, 2017.
In the past week, Bitcoin has increased 44% from $11,579 to $16,698 arriving at a WHOPPING 244 billion dollar market cap.
The increase is absurd and is due to the news that the CBOE, CME and Nadsaq are all preparing bitcoin futures trading. There is also speculation that regulated futures will lead to ETFs. All of this means that institutional money will now be able to get a piece of the pie. everyone looks at Jamie Dimon
What happens after futures trading begins?
I believe that a lot more volatility will be introduced since u.s. investors will now be able to securely short on margin. I do not believe that “Wall Street” will short and then manipulate bitcoin to crash. Why? incentivisation. Institutional investors have a great opportunity to make money which I believe they will take full advantage of. This means lots of volatility and a future even more absurd market cap. I’m a firm believer of diversification and will consider realizing profits along the way but will be bullish for at least 2–4 months. I also believe that cryptocurrencies will break a trillion dollar market cap and bitcoin will reach 50k next year.
Strategies for buying bitcoin today:
- Put 50% into btc and leave 50% as USD buy limit orders right above support levels so you take advantage of dips. My favorite option. I would actually be riskier and do 60/40.
2.Dollar cost averaging, buy a certain amount daily or weekly. This protects you from only buying at highs. - Go all in on BTC today. Kinda risky but has worked out for many in the past, especially with the long hold mentality.
- Wait for a dip and buy. This may not work if you are too aggressive with your definition of a dip or if a dip never happens.
