It Appears BTC Is Coming of Age

Sometimes you come across a comment of value regarding BTC and crypto trading; beyond the unqualified, ‘buy it because it's the best thing since sliced bread’. This week, I read something concerning crypto that is worth mentioning.
The report noted that the number of major BTC owners, I.e., owners holding over a million dollars’ worth, which implies institutions and other prominent players, has dramatically increased over the past six months. Moreover, it mentioned that these players had been actively trading, adding to the daily volumes and volatility.
Is this good for the industry as a whole? It is, but I remain cautious, as nothing is guaranteed in this space.
I think that should make future market moves a little more orderly and far less erratic than they were a few years back because we have more two-way traders, who we hope will be trading with less emotion.
How this interest in BTC affects Altcoins is still debatable. And indeed, how this will affect future regulations is also yet to be seen, but either way you look at it, this increased interest from more prominent players can only be good for the future of BTC.
We are now looking at BTC trading at double the value we saw at its lows, and there might be more on the upside, especially in the near term. I have hit the market a few times over the past six months, and while I am happy, I took profits on my short positions, I don't have much of a long position currently, so I won't get much out of the coming rally. Oh well, you can't win them all!
The other way of looking at this increased professional interest is that growing numbers of knowledgeable players view BTC as a serious hedge against a declining economy and a declining dollar.
With EURUSD being the main cross, the technical indicators suggest that the Euro might improve further in the short term, and we could see a sizeable spike to the upside.
I would be very wary of this, and if we do see a spike, I'll be looking to sell into it, as I cannot see a reason to be bullish on Europe, even if the Ukraine problem is solved.
At some point, the cost of this war will need reconciling, and Euroland is responsible for 40% of the costs, with little hope that any meaningful return will be forthcoming.
In the long term, America might change its administration and attitude towards pumping money into a European war, although it will undoubtedly, still demand its fair share of rebuilding contracts. On the other hand, Europe will never change direction and is too disjointed to make the most of any peace. Add to this the economic mess Europe is in, which the media are doing their best to keep off the front pages, I am not too encouraged to keep more Euros than necessary, and GBP hardly looks like a good option.
Obviously, these are not trading views, and as longer-term observations, they are hardly recommendations for short or medium-term trading: the only time frame worthy of considering for investment or speculation purposes in the current environment.
Today, whether we like it or not, governments cast a massive shadow over everything we do, which is evident when we look at the ESG effects on how we operate and the disastrous DEI, which as an Old Guy, I find very wrong.
That said, if that is the way of things, then we need to go with them because, as the old saying goes, Where there are problems, there is money.
I am not into all this environmentalist stuff per se, but I do have a smallholding, my off-grid hobby place.
I have it because I have always relished the opportunity of being able to live somewhere (it's not my primary residence) where I can go and is not reliant on governments or utility companies to survive.
I have my trees and veggie plot and use unsubsidized solar power for lighting, etc.
I don't drive an electric vehicle because I haven't found one suitable for my needs, and besides that, I like combustion engines that make a lot of noise when you put your foot down.
But how I live and how I invest is different.
If the potential return is good, I am happy to invest in a promising, environmentally friendly company.
That is why I am into Whitehill Green Hydrogen, the Scottish-based project that will turn solar energy into hydrogen to propel motor vehicles.
Hydrogen cars have been talked about for a long time but have never seemed to get off the ground. But the Whitehill project is getting favourable support from private investors and the Scottish authorities, and if it does take off, early investors should obtain a handsome return.
The way I look at it, if Chrysler had not given up on electric cars, Tesla would not exist, and I wish I had been clever enough to invest in Tesla in the very early days. The same applies here; I may boohoo the environment malarkey, but if I can make money out of having a small piece of this hydrogen project before it takes off, then why not.
I am no expert in this field (I needed an electrician to join my solar panels to my battery bank), but some serious investors are looking at Whitehill and people with a lot of expertise involved. So visit trademakers or contact JPFS and ask them what it's all about.
The entry-level is still relatively low, so it might be worth adding to your portfolio to see where it goes.
Until next time.
Connect with SGT Markets
Follow us for the latest news & insights