The decisions you make over the next year to year and a half are either going to set you up for success or set you up for buying the top and selling the bottom. What am I talking about? I’m talking about where we are at right now because there is a massive opportunity in the crypto markets to be planting seeds, and in this video, I’m going to show you the actual opportunities.
So where are we? Bitcoin Market Cycles: Right now, we are still below this two-year moving average. This is a free chart right on lookintobitcoin.com, and if you see anytime we’ve been below this green line, as far as the price action goes, it’s been at least a two thousand percent gain once price action came close to that red line, which is the two-year moving average multiplied by five. So if you were to accumulate any time under the green line, you would have been extremely profitable into the next bull market.
And if you know anything about crypto markets, you know that typically they run on these four-year cycles where you have Bitcoin come up for about three years, and then you have a one-year bear market. And it’s been very odd how similar they’ve been playing out since inception.
If we were to look back in 2014, okay, we had about 378 days, so it’s about 54 weeks from the top to the bottom, okay? So 54 weeks from the top to the bottom in 2014 into 2015. Same thing from 2017 to 2018, and same thing from what just happened in 2021 to the bottom in November of 2022. So they are about the same length, right around 350 days, 350-378 days. They’re typically right in that range.
Now, we also saw 115x from 2015 to 2017. We saw a 20x increase from 2018 into 2021. So yes, the returns are diminishing, but I’m going to show you some insane returns that happened while Bitcoin only did 20x. Let’s look at what some other assets did during that same time period.
But I also want to make sure that you understand everyone, while everyone’s calling for new lows, everyone was calling for 12K, everyone was going for 10K, even some people were calling for 5K with Bitcoin. I don’t think that it’s likely to happen unless we see something crazy, like really bad, you know, we see World War III, we see the stock market come down 60 something nuts like that. I don’t think that we see new lows for Bitcoin because in history, we’ve never had new lows for Bitcoin. As you see, every time we’ve created a low, yes, there has been another pretty good opportunity to buy Bitcoin, but the next low did, which usually came between, you know, three to nine months after the actual low, after the one-year bear market, there was no another great opportunity, but it was a higher low. If you look at the higher low in 2012 into 2013, the higher low in the 2015-2016, the higher low from 2018 to 2019, and so far we haven’t potentially had that next low that is potentially another higher low once again.
But I am preparing. I have started to increase my cash a bit and am prepared by setting limit orders so that when the price does come back down, I am filling and I am ready for this bull market. Because I’m telling you, the decisions that you make now are going to either set you up for success or they’re going to set you up for FOMO buying, where you’re buying because you have that fear of missing out on this next bull market, and then again you start to buy the top and sell the bottom, and you lose money, which is exactly the opposite of what everyone wants to do.
So what is a big opportunity? Maybe you believe in other things like Bitcoin, or maybe you’re just a trader and you just want to make as much money as possible. I can tell you there is more Alpha to be made in altcoins. Is there a lot of nonsense that happened with altcoins? Are the majority scams and stupid and have no utility? Yes. But if you’re looking at it from a trading and opportunity perspective, you’ll see that the opportunity is pretty crazy.
If we were to look at just the total all coin market, which is the total of three, we had, if you were to blindly pick altcoins, just literally throw a bunch of money in 10,000 different altcoins, the total growth as far as market cap that we had was a four thousand percent gain. But if you were to actually do research during this bear market in 2018, 2019, 2020, even early 2021, if you were to be doing research over that time period and actually started to plant seeds in investments that you deemed to be potentially valuable, well, let’s look at what some of the growth Matic had.
MATIC Previous Bull Market: Matic had a forty-four thousand percent gain. And I’m not even grabbing from the very bottom. I grabbed from the wick that took us down. I believe this is right when the coveted crash happened, and we had a 44,000 gain from that low to the high. This was only 426 days, guys. So if you were to just calculate this, all right, pull your calculator right now, type in let’s say you put in a thousand dollars into Matic because you thought, ‘Hey, there’s a strong team behind it. It’s a layer one, it’s very Layer Two, it’s very scalable, and I could totally see this doing well in the bull market.’ And you’re like, ‘You know what, let’s just risk a thousand dollars. The worst thing that happens is I lose a thousand dollars.’ Let’s say you didn’t do a forty-four thousand percent return, let’s say you did a ten thousand percent return. Do the math in your calculator right now. It will blow your mind how asymmetric some of these returns could be.
Okay, Solana Solana Previous Bull Run did 126,000 in 579 days. This is not me making this stuff up. This is literally directly from the chart on TradingView, which you can do the math again on what a 126,000 return is. Obviously, again, you’re not grabbing it from the low and you’re not timing the perfect top, but even if you were to take a nice chunk out of that, that is significant. That can greatly change your path on your financial journey.
Okay, Avalanche, another one seventeen thousand eight hundred percent in 426 days. Okay, so the returns in altcoins that have good technology and have a pretty strong team behind them. And I like to look at at least Layer Twos if not Layer Ones that are really, really strong, which I have an entire list that I’ve been planting seeds over the past six months, and I will harvest very, very well into 2024-2025 if the cycle repeats how it has been since inception.
Okay, so over the next 12 months, I’m going to continue to plant seeds, and I’m going to continue to have this strategic thought process and investment strategy because I understand that when no one is excited about it, I need to be planting those seeds so that I can harvest in the future when the liquidity picks up, interest rates drop, and we start printing money again, and then all of a sudden everything rallies once again. Well, Jeff is going to be there, and I hope that you are too.
Okay, I also want to help you understand that we are in such an early stage in this whole industry. Okay, people don’t understand, they don’t zoom out, they don’t look at the perspective. Like if we were to look at other asset classes like real estate, it’s over 300 trillion. Stocks are over 100 trillion. Gold is 11 trillion. Okay, and if you were to look in the middle of the chart, this little blue slither right here, which you probably could barely even see in the chart, is crypto’s market cap. Okay, we are absolutely minuscule to where we can potentially go compared to other asset classes. It’s not even close. Okay, that means there’s a lot of opportunity. And if you understand that, look, blockchain and crypto already have 300 million users.
This is the fastest-growing asset class we’ve ever seen, and we just started to see over the last year and a half BlackRock, Fidelity, Citadel, major public companies start to actually buy Bitcoin and build on different blockchains, that partner with other blockchains to roll out NFTs, payments, building crypto exchanges, doing custody services, like major, major companies and institutions and banks and sovereign wealth funds are actually using crypto to some extent, either for their clients or starting to take a meaningful position in it. But a lot of them are sitting on the sidelines right now because regulation is not there yet. And once regulation is very clear and there’s clarity around, is this a commodity, is this a security, how will I be penalized if I take a position in this as an institution…
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