40 Years in the Markets Have Taught Me the Right Way to Play Crypto.
Today I bring you… an opportunity most people will not be smart enough to take.
But you, dear reader, can be ahead of the curve.
Let’s take a step back and see where this opportunity comes from…
In the past week, central bankers’ missteps became clear to the markets.
This is exactly what I’ve been warning about for a long time: The idea that it just takes a blunder or two to set the world tumbling.
We had two missteps—one in the US, the other in Japan—that saw stocks and crypto decline sharply.
As I’ve said, this is an opportunity masquerading as a crisis…
But first—the missteps.
As I wrote in Field Notes on Tuesday:
At its late-summer interest-rate meeting last week, the Fed left rates unchanged again, even as the jobs market is falling apart.
And now, investors have finally realized… The Fed should have cut rates long ago to juice the economy—instead of continuing its misguided, short-sighted focus on bludgeoning inflation.
The stock market dropped like a stone—as did crypto.
Either this Fed is out of its depth… or, a darker thought: This Fed wants a crisis—needs a crisis—to give it the cover necessary for cutting rates sharply rather than gradually.
The second misstep: The Bank of Japan last week raised interest rates for the second time this year. That strengthened the failing yen, but destroyed the booming Japanese stock market… and that collapse of Japanese share prices spread to other markets and other assets, such as crypto.
Which gets us to the opportunity in today’s dispatch: Crypto is once again in “bargain” territory.
“Buy low, sell high”—that’s how you make money with any investment. And that’s exactly the opportunity we have with crypto today.
And that’s one reason I’ve put together a special Crypto Profits Workshop… which is FREE for Field Notes readers to attend. Just click here to get your free e-ticket.
You know that famous Baron Rothschild quote: “The time to buy is when there’s blood in the streets.”
The time to buy bitcoin is when you see those “red candles”… when bitcoin is on a pullback… because, I can assure you: We’ll see higher highs yet again. Just over a week ago, bitcoin was flirting with $70,000. Today the price is close to $55,000—a bargain.
It’s only a few months since bitcoin reached a new all-time-high north of $73,000… and six-figure prices for bitcoin still lie ahead.
But that volatility… prices going up and down as events in the global economy play out… that’s going to be a feature of bitcoin and crypto in general as this market continues to mature.
But this is exactly where our opportunity lies. When others flee in fear—that’s our moment to buy and see even bigger profits.
That’s why back in January 2023, when every media outlet was still talking about “Crypto Winter” and the death of bitcoin and crypto, I was telling Field Notes readers that the bottom is in and that “now is a good moment to begin wading into crypto” because prices will soon be multiples higher:
Field Notes readers who took that advice to “begin wading into crypto” back in January 2023 had the opportunity to grab gains in bitcoin of more than 110% a year later…
That’s the power of crypto. And these aren’t even the craziest examples in this crazy market… I’ll be sharing much more in my upcoming Crypto Profits Workshop.
When you understand the nature of crypto… you understand why weeks like this week are a golden opportunity.
Yes, crypto remains an immature market. Its core investor group is millennials and Gen Z, and they’re hyper-reactionary.
I see it in comments on Twitter and other social media platforms. It’s very a “Chicken Little/The Sky is Falling” crowd.
They chase lunacy in the moment. For reference, see the stupidity involving Game Stop’s stock in recent years, or the strategy of throwing money at every crappy meme coin that emerges, just hoping they hit a lottery-ticket winner, even though 99% of meme coins are hot for about 17 seconds before they plunge 99%.
They also dive out of solid crypto—bitcoin, Ethereum, Solana, et. al. the moment anything untoward rises up in the economy or the markets.
My strategy is much different—as I’ll share with you in the Crypto Profits Workshop.
You see, weeks like this week are just another “blood in the streets” moment.
I’ve been involved in markets now since 1984—40 years. I’ve seen pretty much everything from flash crashes to wars to pandemics to idiotic political policies take their pound of flesh out of financial markets.
And yet, financial markets always brush it off and resume their trek higher.
Same goes this time around.
Years ago, I interviewed Fidelity mutual fund great Peter Lynch, one of the very few Wall Street pros I respect. And in moments like we’ve seen this week, I always fall back on one of his truest quotes:
Far more money has been lost by investors preparing for corrections, or trying to anticipate corrections, than has been lost in the corrections themselves.
Best to buy when the Chicken Littles are screaming about a falling sky. Because the sky never falls, and solid assets always rebound. It’s the core of “buy low, sell high.”
Central banker missteps do not change the endgame for bitcoin and crypto.
Crypto remains the future of finance. (My free Crypto Profits workshop explains exactly why—and the best ways to profit.)
If you understand that, then you see this moment as a major buying opportunity.
If you don’t understand that, then I encourage you to pursue a bit of crypto education because this is the moment you want to gain an advantage over the hoi polloi who don’t understand crypto and, so, brush it aside.
Those with even a basic understanding of blockchain and crypto are the ones who will pocket mad profits as the remainder of this decade plays out.
Our world will remain volatile, that’s a given. We’re in a new era. An era of inflation. An era where war and fiat currency collapses are bigger risks than they’ve been in decades.
An era in which a central bank’s misstep can lead to economic losses for the paper-hand investors.
But gut out that volatility… and the profits on the other side might just represent generational wealth.
Not signed up to Jeff’s Field Notes?
Sign up for FREE by entering your email in the box below and you’ll get his latest insights and analysis delivered direct to your inbox every day (you can unsubscribe at any time). Plus, when you sign up now, you’ll receive a FREE report and bonus video on how to get a second passport. Simply enter your email below to get started.