To The Moon

🌟🌟🌟Crypto markets are in the red amid renewed fears of US stagflation.  Bitcoin is down by  2% to USD 62,969.20 in the past 5 days.  It has now dropped by almost 10% in the past month.

Even Spot Bitcoin ETFs are seeing outflows this past week.  Investors have pulled USD 23 million from $Fidelity Wise Origin Bitcoin Fund(FBTC)$ while $ARK 21Shares Bitcoin ETF(ARKB)$ saw an outflow of USD 31 million.  Only $iShares Bitcoin Trust(IBIT)$ is still holding steady with USD 17.7 billion. 

$Coinbase Global, Inc.(COIN)$  has dropped 7.6% today  and in the past days it is down 2.5%.  However Coinbase is still up 39% year todate and in 2023, it has skyrocketed by 335%.

$MicroStrategy(MSTR)$ has just reported its Q124 financial results  with quarterly non GAAP losses of USD 8.26 per share.  Quarterly sales was USD 115.2 million which missed Analysts expectations of USD 121.75 million by 5.36% and represents a 5.51% decrease year over year.  MicroStrategy now holds 214,400 Bitcoins with an average purchase price of USD 35,180 per Bitcoin.  MicroStrategy share price is down 4.6% post earnings  and 1.3% in the past 5 days.  However it is still up 88% year to date and 320% in 2023.

Bitcoin halving event has happened on April 20.  Since then Bitcoin prices have stagnated since it reached its All Time High of USD 73, 835.57 on March 14 2024.

Is It Time To Buy Bitcoin?

The threat of Stagflation which is a period of high inflation and low growth is a real possibility.  The weaker than expected US GDP points to a more sluggish economy while a higher Core PCE warns of an inflation problem that is a concern for the Feds.

Last week's US GDP report showed that the US economy grew at an annualised rate of 1.6% in the first quarter following the previous quarter's 3.4% growth.  Meanwhile the Personal Consumption Price or PCE index showed prices rose to 3.4% annualised rate in Q1 24 compared to 1.8% in Q423.

The stagflationary combination of slower growth rate and sticky inflation has further weakened the probability of Feds cutting rates. 

The FOMC meeting on April 30 to May 1 will shed some light on the Feds intention on rate cuts. 

Meanwhile the launch of Bitcoin ETFs in Hong Kong is starting on April 30.

Bitcoin is a Buy to investors who are not afraid of the short term market volatility.  There can only ever be 21 million Bitcoins in circulation.  With the Bitcoin Halving Event, the rewards to mine Bitcoin will be halved, thus leading to scarcity of supply versus demand. 

The approval of Spot  Bitcoin ETFs is a boon for Bitcoin as it allows investors to buy and sell their investments in these ETFs just like any normal transaction in the markets without the necessity to hold Bitcoins themselves. 

I believe this is a great time to buy Bitcoin through the Spot Bitcoin ETFs  to hold with a long term horizon as Bitcoin will continue to grow exponentially due to its limited supply and high demand. 

As Warren Buffett likes to say When there is fear in the markets it is time to be greedy. 

@Daily_Discussion  @TigerStars  @MillionaireTiger  @Tiger_comments  @CaptainTiger