Three Reasons Crypto Is Here to Stay

Amanda Heckman|December 19, 2020

It’s the time of year for reflection… reviewing top 10 lists… and looking back over the year’s big trends.

Yet despite all the changes we saw this year… I have to say we won’t be giving out participation trophies this year.

Because there is only one trend that outshines the rest… one trend that will upend the way we look at money, the economy and our freedoms.

And that’s the trend in the cryptocurrency market.

And before the skeptics protest… no, it’s most definitely NOT 2018 all over again.

There are three reasons this bull market is here to stay.

Clearing a Major Hurdle

One of the biggest crypto stories of the year was the news that PayPal, the massive online payments system, was jumping into the crypto trade.

The company announced in October that it would make cryptos available to buy and sell on its platform.

But it didn’t stop there. It also said its users would be able to use cryptos for payment at 26 million merchants around the world.

PayPal CEO Dan Schulman remarked, “The shift to digital forms of currencies is inevitable, bringing with it clear advantages in terms of financial inclusion and access, efficiency, speed, and resilience of the payments system.”

Here’s why this is big. PayPal has 325 million users. The company is making crypto more accessible – something crypto skeptics have repeatedly pointed out as a major hurdle toward widespread adoption.

Institutional Investors Are Pouring In

Cryptos have become a hot investment for hedge funds and other institutional investors.

Just this week, Andy tells us, we learned one prominent hedge fund recently acquired $600 million worth of various cryptos… with plans to grow its holdings to more than $1 billion in the next few months.

“There is going to be a generational allocation to this new asset class,” said Eric Peters, CEO of One River Asset Management. “The flows have only just begun.”

The fund joins an esteemed list of big-time investors…

• Massachusetts Mutual Life Insurance Company, better known as MassMutual, said it purchased $100 million in Bitcoin for its general investment fund…
• Guggenheim Partners, for instance, recently said it might invest up to 10% of its $5.3 billion Macro Opportunities Fund in a Bitcoin trust…
• Business intelligence firm MicroStrategy purchased roughly $425 million worth of Bitcoin in August and September.

Not to mention that by the end of the second quarter, Fidelity reported that 36% of the institutional investors it surveyed owned crypto assets.

This tidal wave of crypto purchases looks to only get bigger as we enter 2021.

Simply the Best

A picture is worth a thousand Bitcoin…

Even though the stock market has skyrocketed from its March low, it can’t compare to the performance of Bitcoin and other cryptos.

In a year defined by BIG market moves, crypto was the single greatest-performing asset in 2020.

The chart tells the tale…

And it’s nowhere near finished.

Guggenheim’s chief investment officer, Scott Minerd, had this to say…

“Our fundamental work shows that Bitcoin should be worth about $400,000,” Minerd told Bloomberg Television on Wednesday. “It’s based on the scarcity and relative valuation such as things like gold as a percentage of GDP. So you know, Bitcoin actually has a lot of the attributes of gold and at the same time has an unusual value in terms of transactions.”

With these three massive tailwinds propelling crypto, there’s just one question you need to ask yourself…

What are you waiting for?

These three catalysts promise to make 2021 a huge year for cryptocurrencies. That’s why Andy has just unveiled exclusive new Crypto Beta Trades to subscribers of his Alpha Money Flow trading research service. Get access to these early trades… along with a quick-start guide that will show you just how easy it is to get started… by clicking here.