In a recent video, highly respected trader, educator, and crypto analyst Thomas Kralow announced that he has decided to liquidate a significant portion of his assets to invest in Bitcoin. In this video, Kralow unpacks his decision, the rationale behind it, and his perspective on the cryptocurrency market. He stresses that this is not a short-term trading tactic but a long-term commitment grounded in his financial analysis.
Kralow discloses that while he has always maintained a considerable investment in Bitcoin, it has never exceeded half of his net worth. Now, he is elevating his crypto holdings to comprise between 85-90% of his total net worth. To facilitate this investment, he has apparently even listed his 2019 Porsche GT3 RS for sale, intending to funnel the proceeds into Bitcoin.
Kralow contends that the existing financial ecosystem is experiencing monumental shifts, including a move away from the U.S. dollar and rising inflation. He casts doubt on the credibility of conventional financial indicators and posits that Bitcoin and Ethereum are the most reliable assets to hold. He outlines a strategy to incrementally acquire more Bitcoin at various price levels, starting at $27,000 and potentially going as low as $20,000.
Kralow conducts a thorough comparison between Bitcoin and other investment avenues like bonds, fiat currencies, stocks, and real estate. He concludes that Bitcoin surpasses these options in terms of yield, security, and long-term viability. He also highlights that Bitcoin is supported by an extensive computing network, rendering it nearly invulnerable to corruption or slowdowns.
Kralow is sanguine about Bitcoin’s future, suggesting that it could ascend to $300,000 in the current cycle and perhaps even $1 million in future cycles. He anticipates that institutional involvement will be a significant catalyst in propelling the price upward. He also notes that the forthcoming Bitcoin ETF will further stimulate demand.
Although Kralow is overwhelmingly positive about Bitcoin, he concedes a 1% risk of the asset plummeting to zero. Nevertheless, he deems this a risk worth taking in light of the potential rewards.
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