Here at Money Vikings we have maintained what we believe to be a healthy exploration and experimentation with Bitcoin and other crypto currencies. We truly take an eyes wide open approach to crypto. And we will continue to explore the good, the bad and the ugly in the most unbiased way possible.
Table of Contents
Most recently I have been a sharp tounged skeptic with my editorials: Did Bitcoin Just Fail Its First Big Test and the sweet titled Dear Crypto World: Get Your Sh&$!t Together.
Am I Changing My Tune
What about Bitcoin’s rip high in the past week as the banking system cracks from stress not seen since the 2008 financial crisis? Let’s explore.
Did We Make Money?
Full disclose, we made money over the years trading crypto. We did not make life changing money, but we did make some at times. Currently we had small positions in various crypto. I ultimately found it too volatile for my style and seek the long term growth and stability of the dividend aristocrats and real estate. Yeah, call me old fashioned, I don’t care.
Bitcoin & Ethereum
On the other hand I will probably always hold some Bitcoin and Ethereum. I get it, they aren’t printing anymore (so we are told) and it’s an ever increasing digital world.
Don’t Abandon the Dollar
I have to say though, I am not abandoning investments that denominate in the US dollar anytime soon. I will never bet against the US and the dollar will enjoy a long and prosperous future for many decades to come.
The Time Tested
I will continue to dabble in crypto and Bitcoin, but I will not abandon solid investment practices such as dividend aristocrat focused investing or real estate investing:
2023 Bank Collapse (Silicon Valley Bank)
For those of us that lived and invested through the 2008 financial crisis, the current 2023 bank crisis looks like a blip on the screen. And it appears that things will stabilize quickly. But, did the fear and panic send Bitcoin higher?
25% In A Week
We never know what is connected or correlated with Bitcoin rising and falling. But it does appear that all the chaos in the banking sector resulted in a rise in Bitcoin of over 25% in a week. This in my book is a point for Bitcoin.
This Was The Point
In my mind, this was the whole point of Bitcoin. While chaos hits banking and inflation runs hot, Bitcoin is supposed to rise.
What Will Bitcoin Success Look Like?
Whether or not Bitcoin is considered successful depends on how one defines success. Here are a few ways to consider Bitcoin’s success:
- Market capitalization: Bitcoin has a market capitalization of over $1 trillion as of March 2023, which is a measure of its value relative to other assets. In this sense, Bitcoin can be considered successful, as it is one of the most valuable assets in the world.
- Adoption and usage: Bitcoin has gained significant adoption and usage around the world, with millions of people using it as a store of value, a means of payment, or a speculative investment. In this sense, Bitcoin can be considered successful as a decentralized currency and a technological innovation that has disrupted the traditional financial system.
- Stability and scalability: Bitcoin has faced challenges with its stability and scalability, including high transaction fees, slow confirmation times, and environmental concerns related to its energy consumption. In this sense, Bitcoin may not be considered successful in meeting the needs of all users.
Ultimately, whether or not Bitcoin is considered successful depends on the criteria one uses to define success. While Bitcoin has certainly achieved significant value and adoption, it continues to face challenges as it evolves and adapts to meet the needs of its users.
2 thoughts on “Did Bitcoin Just Pass A Major Test? (the one ring to rule them all?)”
Good points throughout. I think if Bitcoin didn’t rally—doesn’t need to moon, but at least on par with gold—it would’ve been fair to question its value. I’m a long-term holder as well and am pleased to see how it has responded so far. Still a very long way to catch up to gold or even become a currency…currencies can’t be this volatile to be useful…but it’s good progress
Agreed, thank you for your comment Jason!