Dave Portnoy, founder and owner of Barstool Sports, has recommended that investors focus on bitcoin for their crypto investments. “I’ve learned that the hard way,” he said, reflecting on lessons from his past crypto investing experiences. Portnoy recently declared his intention to purchase more bitcoin if its price declines substantially. Barstool’s Dave Portnoy Offers Crypto […]
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Barstool’s Dave Portnoy Plans Major BTC Buy if Price Drops to $40,000
American businessman Dave Portnoy, the founder and owner of Barstool Sports, announced that if bitcoin drops to the ,000 range, he will invest -10 million worth of BTC using Barstool funds. Portnoy stated that while he personally owns BTC, he wouldn’t use Barstool money to buy at the ,000 level. Portnoy’s Bitcoin Bet: Barstool Sports […]
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Famous Analyst Dave The Wave Says Bitcoin Still Has Wiggle Room, Sets $300,000 Target
Prominent crypto analyst Dave the Wave has provided a bullish narrative for Bitcoin despite the flagship crypto’s recent setback. As part of his analysis, he suggested how high Bitcoin could rise in the short and long term.
Bitcoin To Rise To As High As 0,000
Dave the Wave suggested in an X (formerly Twitter) post that Bitcoin could rise to as high as 0,000 based on his logarithmic growth channel (LGC) indicator. Based on the chart he shared, BTC’s rally to this unprecedented price level is expected to happen sometime in 2025.
Meanwhile, in the short term, Dave the Wave expects Bitcoin to rise above 0,000 later this year. He highlighted an ascending diagonal line, which Bitcoin has continued to hold as support even following its recent decline below ,000. As such, the analyst believes that the flagship crypto will remain in a multi-month upward trend as far as it holds above the line.
Crypto analyst Rekt Capital also suggested that there was no need to worry about Bitcoin’s pullback, stating that this current pullback would not last forever. In fact, he remarked that everything was going according to plan, as the Bitcoin pullback was long overdue based on “historical tendencies.”
The analyst expects Bitcoin to continue consolidating in this Re-Accumulation range for a while. Rekt Capital predicts that the breakout into the ‘Parabolic Uptrend’ phase will likely come in September this year if history repeats itself. This aligns with Dave the Wave’s prediction that Bitcoin will rise above 0,000 later this year.
Rekt Capital also warned Bitcoin investors about being shaken out of their positions. He stated that Bitcoin will soon be transitioning into “increasingly fearful territory” as its price drops to as low as ,000. He added that this “fear tends to precede the point of maximum financial opportunity.” In another X post, he remarked that Bitcoin will retrace deep enough to convince anyone that the bull run is over, and then the flagship crypto will resume its uptrend.
BTC Still On Course
Crypto analyst Mikybull Crypto also shared a sentiment similar to Rekt Capital’s. He stated that BTC is still in the range and advised investors not to get shaken out. The analyst had earlier called for patience while BTC consolidates in this range. He highlighted a wedge that he claimed would send Bitcoin’s price to an initial target of ,000 when a breakout occurs.
Crypto analyst Jelle also suggested that this is the time for Bitcoin investors to do nothing and just sit on their hands. The analyst reshared his profit-taking strategy, which showed that Bitcoin investors should only look to take profits when the flagship crypto climbs to ,000.
Dave Ramsey Sides With Warren Buffett on Bitcoin — Calls BTC Currency Based on Thin Air
Personal finance expert and best-selling author Dave Ramsey says he agrees with Berkshire Hathaway CEO Warren Buffett regarding bitcoin. Viewing the crypto as a currency whose value is based on “thin air,” Ramsey stressed: “I wouldn’t wish bitcoin investments on somebody I really dislike.” Dave Ramsey on Bitcoin: ‘It’s Still Thin Air’ Personal finance guru […]
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Dave Portnoy Regrets Selling Bitcoin — Wishes Barstool Invested $10 Million in BTC
Barstool Sports kingpin Dave Portnoy is experiencing a serious case of crypto regret, wishing that he hadn’t sold his bitcoin. He also wishes that his company, Barstool, had invested million in the crypto. “I’m so mad at myself about bitcoin. I should be up like 75% in bitcoin,” he stressed. However, Portnoy revealed to […]
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Dave Ramsey’s Team Insists Crypto Isn’t a Good Investment — Says It’s ‘Risky for a Lot of Reasons’
Personal finance expert and best-selling author Dave Ramsey’s firm Ramsey Solutions has maintained that crypto is not a good investment. “We’re not saying cryptocurrency is going to go away. And we’re not saying it’s horrible … But as things stand today, just say no,” advised the Ramsey Solutions team. Ramsey Solutions Advises ‘Just Say No’ […]
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A Chat With Dave Weisberger: Why Bitcoin Entered A “Perfect Storm”
The price of Bitcoin might be losing bullish momentum in the short term, but on higher timeframes, the cryptocurrency is likely to extend its current rally. At least, this is part of what we spoke with Dave Weisberger, co-founder and co-CEO at CoinRoutes, a liquidity and algorithmic trading tool provider for the crypto market.
As of this writing, Bitcoin trades at ,200 with a 2% loss in the last 24 hours. As the bullish momentum seems to fade, some analysts expect BTC to return to the critical support area of around ,000. This area must hold if BTC bulls want to prevent a more extensive correction.
Bitcoin Becoming Digital Gold, Low Selling, And The Potential For 20x Profits
On the back of the current macroeconomic landscape, Bitcoin has become more relevant as a global financial asset, a store-of-value, and “gold 2.0,” according to CoinRoutes’ co-founder. Weisberger has been sharing his bullish thesis on cryptocurrency and the impact of the spot market on the current rally.
During our conversation, we spoke about the Israel conflict, the current market structure, and the reasons brewing a perfect storm for BTC. This is what he told us:
Q: With a delicate situation in Israel, high inflation, and talks about a potential economic recession, How is the current macroeconomic landscape impacting the Bitcoin price?
A: I think that the easiest way to look at it is to understand the famous quote from Ram Emanuel when you’re in the government, never let a good emergency go to waste. The fact is I don’t believe the Federal Reserve and the treasury have a whole lot of choice anymore. There’s really only one way out of the current macro environment in a real sense. They effectively have two choices. Door number one is to deregulate like crazy, cut taxes like crazy and hope to grow your way out of it. Choice number two is choose the Japanese approach, which is to manage the yield curve to allow the government to continue to function and kick the can down the road so it’s somebody else’s problem later. I actually, I think that there are a couple of candidates that talk about doing door number one, but none of them are in power and none of them are likely to win.
And even if they did win, they’re unlikely to have the congressional support to do the massive amount of deregulation it would take to lean into AI and digital assets and all the new technologies that will allow for a growth rate to be able to grow tax receipts while cutting spending on government programs and government bureaucracy. That seems highly, highly, highly unlikely. It’s what I would do, but I don’t think it’s going to be done. So then you’re stuck in a situation where you have a current administration that is continuing to add spending. James Lavish quotes, I think .6 trillion in new debt. It’s a trillion yearly deficit. At the same time that debt service is approaching a trillion dollars and that’s at sub 5%. What happens if we get a normal yield curve with a 2% upward slope to 7% at that point, debt service would literally be debt service plus even a cut defense department would literally be the entire amount of tax receipts.
So if you think about that, there is no escaping the debt spiral that we’re in. The fact is all roads lead to monetary debasement. Now whether rates are high or low, that’s an interesting question. Maybe they’ll keep short rates high to try to put the genie back in the bottle. But the fact is the Bitcoin prices is responsive to the overall amount of money, monetary aggregates and debt. And Bitcoin is quite literally growing into digital gold. And digital gold. If you look at the monetary aggregates or monetary value of gold would imply a Bitcoin price. That’s 15 to 20 times where it currently is. So when you look at Bitcoin at 34,000, it’s like, okay, it’s well bid there and we’ve seen it over the last few days.
When Larry Fink started making this case a few months ago, a couple months ago, it triggered a massive rally. Well now we have Mohamed El-Erian making this case one of the most widely respected bond analysts and just yesterday, Stanley Druckenmiller making this case. So you’re starting to get a shift in the opinion leaders of the economy to say this (BTC) is a hedge against a looming fiscal disaster debt disaster. At some point, Bitcoin will reach a tipping point.
Now your question was about the Israel situation. The fact of the matter is ever since Napoleon, the world knows entering a two front war is probably not going to go well for your fiscal policy.
Q: From a broader perspective, how do the dynamics between spot buying and derivatives trading impact the overall health and sustainability of a potential crypto bull run? Do you think BTC is poised for further profits?
A: Look at CoinRoutes. Our client volumes almost doubled in October compared to September when there’s any interest in this market, liquidity comes out. There’s an old expression in trading; order flow begets order flow, liquidity begets liquidity. The fact is the crypto markets function extraordinarily well.
The fact of the matter is sometimes the volatility in crypto happens because there’s too much speculation around the edges because perpetual swaps are a much more efficient way of getting leverage than option markets are, for example, and the US people in equities use options to get leverage.
It’s much more expensive than perpetual swaps. So the crypto market has this dynamic of a small percentage of the actual liquidity speculating in perpetual swaps around the edges and moves. Things like what we saw this (past weeks) when there was the (Bitcoin ETF) fake news event. It’s kind of funny, the fake news event took Bitcoin from ,000 to ,000 in a blink all in the perpetual swaps markets. The spot market moved, but it wasn’t a lot of trading going on because it went up and came right back down. But a funny thing happened, people who were short realized, “oh my god, if this news does come out, I’m going to get carried out in a body bag. I better not short it.” So the natural spot buying that was going on became relentless and pushed the price to now we’re well beyond what are we, 25% above where it was before that fake news story came out.
(…) it basically proves that it was spot buying, not derivative buying because when derivative buying or derivative selling creates a market move, you see gaps in where the perpetual swap gets to be too expensive or much cheaper. When we saw that, if you remember the move down from ,000 to ,000 a few months ago, that was a fast five-minute move that move featured perpetual swap prices over a thousand dollars per Bitcoin below the bid on spot markets. And so that was obviously a single de-leveraging event, and that happens and you see it. But what happened last Monday was clearly spot-led because the premium never moved. I mean, it literally never moved. It was moved. The spot actually market led the derivative markets higher. And so there are clearly spot buyers and what’s going on is something that I’ve been chronicling for about eight months, which is we’ve had patient spot accumulation and you can see that in two ways.
If you look at the way things lined up over the last few weeks, the speculators got carried out and saw that in a rally there were no sellers. Well, that’s really scary. If you’re short, you have the condition for what some people would call a God candle. I don’t know about a God candle or otherwise. I think that the most bullish thing Bitcoin can do is stabilize at this level for another few weeks (…). We had seven months of no volatility in that period of time. People levered up on the short side and that’s why this move was so strong.
Q: You mentioned this earlier in your analysis, but can you tell us why Bitcoin entered a “Perfect Storm” scenario?
A: I wouldn’t call it a perfect storm because US regulators are still trying to shut down crypto because crypto is ultimately, it’s not really crypto, it’s digital assets. They’re trying to shut it down, slow it down, and stop it from overtaking the incumbents in finance.
The fact is the US has the number one capital markets in the world. 50% of investible assets are here despite being what 4% of the world’s population that is on the back of having the most efficient analog financial system. So the incumbents would love to delay digitalization or co-opt it. So that’s the one thing that’s going on that’s not perfect. But the perfect storm aspects of it are overseas. So yesterday the UK came out and basically said, listen, “if you’re going to let us be the global hub for digital finance, we’re going to be (…).”
And that is more or less exactly what happened and why the London became the big financial center. It is because of the Eurodollar market, because US regulators pushed the Eurodollar market out of the US and of course it became headquartered in London. So history may not often repeat, but it does rhyme and we see that. But take the regulation to the side, the perfect storm is very simple. It’s burgeoning deficits and monetary debasement on a global scale (…).
(…) fiat currencies have never in financial history ended with anything other than debasement ever, because governments who have the ability to print money out of thin air will do so until the market stops them. It is becoming more and more evident to anybody that the fiat experiment of Bretton Woods, which started in 1971, which isn’t very long in monetary epoch, is coming to an end. Now, will it come to an end now or could we extend it for another 10 to 15 years? Maybe 20? Yeah, maybe. But if you do that, then what’s going to happen (…).
So if you think about a perfect storm, we have an emerging digital society that’s more and more global every day. We need a store of value that people can save in. They want to spend in dollars. And that’s why Tether and stable coins are so important, but they want to save in something that’s a store of value. Bitcoin solves the part of the equation that’s saving not spending. That’s why, yeah, at some point you need the scaffolding to be able to spend the bits or lightning or whatever to be able to spend Bitcoin, but not at these levels. If you’re a Bitcoin holder, why are you buying a cup of coffee with Bitcoin? You want to be made fun of, like the pizza guy, doesn’t make sense because you think it’s going to go up 20, 30 or more times. That makes it a very expensive cup of coffee. So, Bitcoin is a savings vehicle and stable coins are a spending vehicle, and Ethereum is a technology platform to allow the world to go more and more digital. And so all of these things are happening and the meta trends are all for them. The macro trends in the economy are all for monetary debasement and trying to get out of a debt spiral. And the more geopolitical instability, the more likely that debt spiral is to materialize.
Cover image from Unsplash, chart from Tradingview
Musk on ‘Massive Incentive’ to Get Money Out of Banks, Dave Ramsey Dismisses De-Dollarization Fears, BTC Network Congestion Eases, and More — Week in Review
Twitter CEO Elon Musk has shared what he calls a “massive incentive” to get money out of bank accounts, noting “bank depositor flight will accelerate to extreme levels, even for banks that are ‘too big to fail.’” Personal finance coach and author Dave Ramsey, for his part, thinks that de-dollarization fears are overblown. In crypto news, Bitcoin’s network congestion issues began to ease this week. All this and more just below, in the latest Bitcoin.com News Week in Review.
Elon Musk Shares ‘Massive Incentive to Move Money out of Bank Accounts’
Tesla and Twitter CEO Elon Musk has shared a “massive incentive” to move money out of bank accounts, citing a significant interest rate gap created by the U.S. Treasury and the Federal Reserve. “As more people & companies realize this, bank depositor flight will accelerate to extreme levels, even for banks that are ‘too big to fail,’” Musk warned.
Dave Ramsey Dismisses De-Dollarization Concerns — Says BRICS Currency, Chinese Yuan Can’t Take Down US Dollar
Personal finance expert and best-selling author Dave Ramsey has dismissed de-dollarization concerns and the prospects of a BRICS currency, the Chinese yuan, or the Russian ruble displacing the U.S. dollar in international trade. “They don’t have the muscle to take down the dollar,” he stressed.
Fed Reveals 722 Banks Reported Unrealized Losses Over 50% of Capital as Concerns Over US Banking Crisis Grow
The U.S. Federal Reserve has revealed that 722 banks reported unrealized losses exceeding 50% of their capital at the end of the third quarter of 2022. “Rising interest rates are creating significant unrealized losses in investment securities and in some cases depressing tangible equity,” according to the Fed’s Division of Supervision and Regulation.
Bitcoin Network Starts to Clear Congestion, Onchain Fees Drop by 90%
On May 7, 2023, the Bitcoin network was plagued with an overwhelming 500,000 unconfirmed transactions, causing a major bottleneck in the system. However, the good news is that the congestion has been clearing, resulting in a significant reduction in onchain fees.
What are your views on this week’s stories? Be sure to let us know in the comments section below.
Dave Ramsey Dismisses De-Dollarization Concerns — Says BRICS Currency, Chinese Yuan Can’t Take Down US Dollar
Personal finance expert and best-selling author Dave Ramsey has dismissed de-dollarization concerns and the prospects of a BRICS currency, the Chinese yuan, or the Russian ruble displacing the U.S. dollar in international trade. “They don’t have the muscle to take down the dollar,” he stressed.
Dave Ramsey on De-Dollarization and Challenges From Alternative Currencies
Personal finance guru and Ramsey Solutions CEO Dave Ramsey answered a question about de-dollarization in an episode of “The Dave Ramsey Show,” aired last week. Ramsey is an eight-time national best-selling author who sold more than 11 million copies. A self-proclaimed personal money management expert, he calls himself “America’s trusted voice on money.”
Zack from Alabama asked him:
I’m reading more and more about de-dollarization and countries moving away from the U.S. dollar as their basis of international trade. Will this affect the strength of the dollar, and should I be concerned about how I’m saving and investing as a result of this?
Ramsey began by telling the Alabama man that he is “spending too much time on the internet” and has gotten into a conspiracy theory about the demise of the U.S. dollar. Regarding countries moving away from the USD for international trade, Ramsey said China, Russia, and Brazil “are the three main players in this.”
He stressed, “They already don’t use the U.S. dollar as their basis of international trade,” emphasizing that all three countries have their own currencies and “there’s a conversion rate” between each of those currencies and the U.S. dollar. The self-proclaimed personal finance guru opined: “The three largest countries … are talking about bringing in some of the oil countries in the Middle East … they’re trying to come up with one currency that they all use.” The BRICS nations (Brazil, Russia, India, China, and South Africa) are working to create a common currency that will reduce their reliance on the USD.
Ramsey noted that the new, common currency they come up with would be used for international trade and “converted back and forth to dollars much like Europe did with the euro which, by the way, kind of didn’t work.” He added: “These countries — if they did all agree to use one currency, it would be much like when Europe went to the euro and then that’s going to exchange for the dollar back and forth.”
He continued:
Are those countries going to be able to devalue the dollar by doing that? No. Because while they do take up a lot of land mass, they do not take up a lot of the gross domestic product (GDP) of the world.
“The United States still is the vast majority of the gross domestic product of the world, still. China’s is big, Russia is basically horrible, and Brazil is in a failed economy, like times 10, and it’s tiny as far as economics go,” he continued. “When you put them all together, they don’t have the muscle to take down the dollar. They just don’t, mathematically. It’s arithmetic. They just don’t have it.”
Ramsey further said: “Now, what they are going to do if they all do put it together, it’s not a de-dollarization. It’s not doing away with the dollar. They’ve created their own currency. They’re still going to have to trade with the 800-pound gorilla which be us, and you’re going to have to trade with us in dollars, so whatever little currency you create over there in your little fantasy world that you live in, you still going to have to trade it for dollars, so it’s not going to take down the dollar.”
Mocking the size of Brazil, Ramsey said: “When you look at the math, it’s humorous.” As for Russia, he said that it’s “a huge land mass” but “their economic production is pitiful.” In conclusion, Ramsey said:
Am I worried about this? Absolutely not. Absolutely zero, because Russia is pitiful and China has no labor force.
Noting that China’s “labor force is aging out because they stopped having babies legally,” Ramsey stressed: “They have no young labor force coming on.”
Many people do not share Ramsey’s view, warning that a common BRICS currency could erode the U.S. dollar’s dominance. Among them is a former White House economist, who recently said that if the BRICS uses only its common currency for international trade, “they would remove an impediment that now thwarts their efforts to escape dollar hegemony.” A Swedish university professor has cautioned that Saudi Arabia joining the BRICS group would accelerate the use of the Chinese yuan as a trading currency. A former Morgan Stanley economist expects the world to evolve from a unipolar reserve currency world to a tripolar world — with the U.S. dollar, the Chinese yuan, and the euro as dominant currencies.
Do you agree with Dave Ramsey about de-dollarization and that a BRICS currency or the Chinese yuan cannot erode the U.S. dollar’s dominance? Let us know in the comments section below.
Dave Portnoy Is Now A Bitcoiner, Thinks You’re An Idiot If You Don’t Hold Any
A few days ago, Dave Portnoy returned to Bitcoin with an almost .1M buy of 29.5 BTC. Today, he thinks “you are an idiot if it’s not part of your portfolio.” The Barstool Sports owner and main personality might have a point, but the whole situation is still funny. Especially, considering everything Portnoy has said about Bitcoin over the years.
Related Reading | Barstool’s Dave Portnoy Wants to Buy Bitcoin – Asks Winklevoss Twins to Teach Him
The born-again Bitcoiner visited Stuart Varney in his “Varney & Co.” show at the FOX Business Network. This is what happened:
Always fun joining @Varneyco to talk Bitcoin, $Penn and Brady pic.twitter.com/NNUV3ALlpW
— Dave Portnoy (@stoolpresidente) February 4, 2022
What Did Dave Portnoy Tell Stuart Varney About Bitcoin?
In 2020, the Winklevoss twins helped Portnoy to make his first Bitcoin investment. There was a small dip, and Portnoy panicked and sold it all. The community mocked him, and he went on to make questionable investments, but that’s neither here nor there. In the “Varney & Co.” interview, Portnoy reveals “I was waiting for my reentry point.” Impressively, he bought in at .9K.
Then, Stuart Varney reminds Dave Portnoy that he said he was getting out of Bitcoin because he didn’t understand it, and asks him if he does now. Portnoy responds, “No, no I haven’t figured them out. But here’s what I have figured out, Bitcoin is here to stay. It’s not going anywhere. It’s widely adopted. You see main institutions getting in. It’s the future.”
Even though Portnoy has a point, it’s funny that he hasn’t even begun to do the homework yet. He just trusts the main institutions’ research and due diligence and goes with it. Retail investors don’t have that luxury, but Portnoy is a wealthy man and his investment is just a small part of his portfolio. In any case, he promises that he will build on it, and eventually, “I’ll probably have a Billion dollars worth of Bitcoin.”
What Gives Bitcoin Its Value?
Near the end of the Bitcoin talk, Varney challenges him. He tells Portnoy that he’s too old to wait for Bitcoin to take over, and then, Varney tells him what he really thinks: “It’s a gambling chip. It’s not a store of value.” Portnoy, who hasn’t done the homework, can’t answer in a proper fashion. We can, though.
According to Varney, Bitcoin’s price “depends entirely on how many people want to buy it and how many people want to sell it.” That’s true, like every market on Earth the price of bitcoin responds to supply and demand. However, the value of Bitcoin comes from the network.
All over the world, thousands of people invested their money in ASICs that validate transactions. They buy energy, secure the network, and get compensated for it by a system that no one controls and has no owner. And, thousands of node operators keep everyone in check. Plus, millions of holders took their money out of the traditional system and bet on this emerging one. And this is just the beginning.
Besides that, those “gambling chips” that Varney mentioned happen to have the characteristics of perfect money. Mankind has been looking for something like this since it realized that it needed some kind of technology to organize and facilitate trade, which is the bedrock of society. However, if someone owned the Bitcoin network, “the characteristics of perfect money” wouldn’t be worth a damn. But, no one does. Bitcoin is for everyone.
BTC price chart for 02/05/2022 on Gemini | Source: BTC/USD on TradingView.com
What Has Portnoy Said About Bitcoin?
Mark this as this article’s comedy section. When Portnoy first liquidated all of his bitcoin investment, these were the numbers he was dealing with:
“Portnoy clarified a day later that he actually lost ,000 from his initial ,250,000 investment, which amounts to a mere 1.6%. Many in the cryptocurrency space referenced the number, noting how Portnoy wasn’t ready for the fast and volatile Bitcoin market.”
After being mocked, he doubled down on his stance and tried to get people to focus on the stock market.
“I’m begging my crypto friends to get involved in the stockmarket. Bitcoin is stuck in the mud. Let me lead you. We will get back to crypto later. The time to strike is now! No time for weak hands! Make the move!”
Related Reading | Seller’s Remorse: Day Trader Dave Portnoy Swears Off Bitcoin
To make things funnier, when Portnoy bought Safemoon, he promised:
“I’m never buying Bitcoin. Never never, I don’t believe a thing about it. But I do think it’s profitable, and I think there’s enough steam that it may just continue to go up forever. But I don’t buy the underlying junk behind it.”
Maybe that’s because Portnoy hasn’t even done the minimum effort to understand “the underlying junk behind it.” However, cheers to him for admitting his assessment of the situation was wrong and correcting his course.
Featured Image: screenshot from Portnoy in Varney & Co. | Charts by TradingView
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