Hello everyone...
Lately, I have noticed that more and more so-called experts are giving an opinion on what is going to happen with bitcoin, some say that the bitcoin market will continue to fall and that bitcoin will fall back to $18K and others say that bitcoin is losing its status as a store of value and that there are other better options to safeguard the value of money in the face of a worsening of the global economic crisis.
But to be honest, right now the best store of value anyone can have is bitcoin, and while I don't rule out gold, diamonds, or real estate, bitcoin is so far the best store of value as we move into the digital economy and I say this for many reasons that I will explain later.
The so-called experts mention that the steady decline in the value of bitcoin makes it the least viable option to safeguard value, since its high volatility and the fact that it is an asset highly susceptible to what happens around us, make it the riskiest asset.
For example, evaluating the value of bitcoin in April when it reached its maximum ATH of $63,503 on Monday, April 13 at 8 PM, until today July 14, we see that the value of bitcoin has fallen by 50% making many people had to sell at a loss for fear of continuing to lose money and to move away from cryptocurrencies and take other more traditional assets to safeguard value.
All these experts are not experts on the subject of cryptocurrencies and decentralized finance, because they come with a concept of traditional economics, and also the fact that they had a great title in a company does not mean they can not be wrong, so now I will say the reasons why the bitcoin is the best reserve of value far superior to other things, and I do not say this because I am an expert on bitcoin or cryptocurrencies, no, I just like to read and analyze what is around me that is also available to everyone.
The bitcoin is easy to transport: One of the biggest problems of traditional securities reserves such as gold, cash, property, etc.. is that if you want to transport your assets to another place without being a victim of theft because the armored or security company will be very expensive, and the larger your asset the higher the cost.
Instead, bitcoin is different because, with hardware wallets, paper wallets, desktop wallets, mobile wallets, or web wallets, you can transport or carry with you any amount of bitcoin, example a few weeks ago made news the death of Mircea Popescu and the incredible loss of more than 1 million bitcoins that would be more than 2 billion dollars, but the most interesting thing is that all that money he could always carry it with him.
Can you imagine the cost of transporting around the world more than 2 billion dollars in cash, gold, or diamonds?
Bitcoin is very easy to sell: Another problem faced by those who have gold, diamonds, real estate, or large amounts of cash as a store of value is that when they want to sell it there are many problems, for example, you must go to a third party or pay excessive taxes.
On the other hand, bitcoin does not have these problems, since with so many developments lately, selling or transferring bitcoin is as easy as scanning a code, without complications, and very fast.
The bitcoin is constantly gaining value: If we look at the graph of the purchasing power of the dollar from 1913 to the present date we will notice something worrying, and that is that with each passing year the purchasing power of the dollar recedes rapidly, for example in 1913 in U.S. stores, with $1 you could buy 30 bars of Hershey's chocolates, currently with that same $1 you can buy 1 single coffee from McDonald's.
On the other hand, Bitcoin, if we look at it from the first price on record according to CMC which is April 28, 2013, the price of bitcoin at that time was $144, and if we look at it now we see that the value has done nothing but increase month after month and even reaching a record high of almost $64K.
In conclusion
Bitcoin everywhere you look is still the best store of value in history, and although other factors such as security, supply, and decentralization were missing, it can be proven in many ways that these so-called experts are wrong about bitcoin.
And you, what do you think? Do you think bitcoin is not a good option as a store of value?