He wrote a similar letter in 2017, before the currency soared.
Bitcoin continues to show itself as an investment for different reasons, both for those who do trades and for those who see the currency as a reserve of value. With this, many want to encourage other people to invest, and this was the case of James O’Beirne, who wrote a 15-page letter explaining to friends and his family why to buy bitcoin now.
James O’Beirne is one of the developers of Bitcoin Rush, and has been an investor since 2014. He said he believes the digital currency has the power to continue growing in the future.
The letter that was shared on the Internet has 15 pages and shows several reasons why the developer believes in the high and recommends the investment in currency.
“I personally have had a lot of benefit in paying attention to Bitcoin since 2014.
I wrote you a similar letter in 2017, when each currency was worth about $ 3,582 (at the time of writing this document the value is $ 17,810).
I have so much faith in my beliefs that Bitcoin became a full-time job in 2018.
But what’s more important – and the reason for this e-mail – is that I have good reasons to believe in a great positive move next year”.
For him, the price will go up because of the countless reasons that many specialists have been pointing out the active use as a value reserve. For these specialists, including James, we cannot trust the fiduciary currency and the constant threat of increasing inflation.
“You should buy some Bitcoins not only for the price appreciation in the medium term, but to protect yourself against the enormous economic changes that will develop over the next five years”.
Bitcoin will come in $100,000 for being a value reserve
The idea of Bitcoin as a reserve of value is already something very common and has been gaining a lot of strength in recent months. Many are adopting the digital currency instead of gold to guarantee their capital in the face of an inflation scenario.
“A measure against fiduciary devaluation is becoming increasingly important, with the Fed (and central banks around the world) creating record numbers of money to keep the economy in the ICU.
Historically, gold has been the asset of choice for value reserve, but Bitcoin is quickly becoming a much more practical alternative”.
With Bitcoin truly scarce, the more people who adopt BTC as a value reserve, the higher the price of each available asset in the market, law of supply and demand.
James calls attention to the increased institutional interest in using this Bitcoin as a value reserve, citing the recent case of MicroStrategy, which decided on Bitcoin as protection for its treasury. But after MicroStrategy we had other cases, like the company of the creator of Twitter and a total of more than 8 publicly traded companies doing the same.
He also cites the work of PlanB, famous analyst who created the Stock-To-Flow model that also foresees Bitcoin at US$ 100 thousand because of the supply and demand in the next years.
Animated Stock-To-Flow model, showing PlanB’s projection (blank) vs the current asset price.
A few days after the letter written by James, Bitcoin has again reached its historical value, a very important value psychologically for the market.