Donât kick yourself one year from now⦠[TradeSmith Daily]( Buy the Rumor, Buy the News, Buy Some More
By Michael Salvatore, Editor, TradeSmith Daily âBuy the rumor, sell the news.â These six words aim to sum up the difference between mom-and-pop masses and ultra-rich investment pros. Most of the time, itâs sound advice. Buying assets ahead of bullish, one-off catalysts that few know about is hardly ever a bad idea. And most folks are simply not connected enough to routinely do this. But today, Iâm going to stick my neck out and utter the Four Eternally Cursed Words of Finance. âItâs different this time.â Weâre on the cusp of a highly anticipated catalyst that many will wrongly interpret as a âsell the newsâ event. Sooner than you think, this event will instead seem an obvious âbuy the newsâ opportunity. Down the road, it may prove to be one of the greatest wealth-creation events ever seen. And frankly, instead of focusing on this event… you should be buying the ârumorâ of a guaranteed piece of news set to drop in about three months. And no, it has nothing to do with the next Federal Reserve meeting… or inflation report… or anything like that. Iâll show you exactly whatâs going on — and what to do — in todayâs TradeSmith Daily. Read on… RECOMMENDED LINK [SHOCKER! A.I. exposes hedge fundsâ underground data source](
Leading hedge funds and other elite investors have been using a secretive data source that can predict earnings in advance. A revolutionary A.I. program has just âcracked the codeâ to it... bringing it to your fingertips for the very first time...
[Get the Details Now!]( ETF Mania
All eyes are on the U.S. Securities and Exchange Commission (SEC) this week for word on whether itâll approve the first-ever bitcoin ETFs backed by real assets. The announcement is supposed to be out sometime today. Iâve heard excited whispers of bitcoin ETFs for as long as Iâve been buying crypto — since 2016. Theyâre seen, rightfully, as a key driver to taking bitcoin mainstream. You might be confused reading this, thinking bitcoin ETFs already exist. Youâd be half-right. The Grayscale Bitcoin Trust (GBTC), which came out in 2018, sure looks a lot like an ETF. But itâs not. Itâs a trust. The key distinction is the number of GBTC shares was fixed at inception. That means GBTC often trades at a different price from its net asset value — either a discount or a premium — depending on how popular it is at any given time. It also has a 2% management fee. Suffice to say, this is no pure play on bitcoin. Then came the ProShares Bitcoin Strategy ETF (BITO) in 2021. This is closer, but still not quite it. BITO holds no âphysical bitcoin,â strange as you might find that phrase. It simply follows the price of bitcoin futures. So by owning it, you benefit from price rises… but it doesnât contribute at all to peopleâs ownership of bitcoin. You might be thinking âwho cares?â but let me tell you exactly why thatâs so important… Bitcoin is a scarce asset. Only 21 million bitcoins will ever exist. That in itself is a rare thing. Think about virtually any other financial asset. Stocks? New shares are issued all the time. Cash? The Federal Reserve went on a legendary printing spree just a few years ago. Even commodities like gold or oil? It may not be limitless, but weâre finding new supply in the ground all the time. We donât know how much of any commodity there is — especially when you consider humanityâs spacefaring and asteroid-mining ambitions. Bitcoin has a fixed supply. The more demand there is for it, the higher the price will go. Itâs perhaps the purest supply/demand dynamic of any financial asset in history. Thatâs why you want the 100 million-plus brokerage accounts that exist to be able to easily buy bitcoin, not just bitcoin futures. And thatâs why today is so exciting for bitcoin bulls. No less than 11 major Wall Street institutions have pending listings for spot bitcoin ETFs. There are some heavy hitters among them: Invesco, BlackRock, Global X, Fidelity, and more. If theyâre approved, which seems likely, this will be the first time that folks will be able to buy and hold a slice of the bitcoin pie without having to jump through any of the usual hoops of opening crypto wallets or using sketchy exchange accounts. Thatâs why I say this is no âsell the newsâ event. Bitcoin may sell off temporarily once the news it out, purely out of tradition. But you should treat that moment as a buying opportunity. And really, these ETFs are just one piece of a larger puzzle… The Next âRumorâ to Buy
In three monthsâ time, youâre going to start seeing headlines about another major catalyst for bitcoin prices. But you shouldnât wait until then to buy. This time, itâll be about âthe halvingâ — where the reward bitcoin miners earn is cut in half. (Without getting too into the weeds, miners use specialized computer hardware to simultaneously secure the bitcoin network and create new bitcoins.) Now, Iâve been using ârumorâ in sneer quotes throughout todayâs Daily because the halving is hardly a rumor. Itâs the rare opportunity to buy ahead of a predetermined event that has a perfect track record of preceding bitcoin bull markets. You see, like its limited supply, the gradual decrease in bitcoinâs mining output is part of its design. Itâs scheduled to happen continually after a certain number of bitcoins have been mined. The result is that, as long as people continue to buy, hold, and mine bitcoin, it will become scarcer over time. Thatâs the second and key piece of the bitcoin puzzle. When ETFs go live and investors can access this proven, deflationary monetary asset in their regulated brokerage accounts for the first time, it will drive huge demand. Just look at the market since 2021, with its high inflation and net-zero stock market returns, for the reason why. Then, in three months, when word begins to spread that the incoming bitcoin supply is about to be cut in half, it will ignite the same excitement that weâve seen in previous bitcoin bull markets. Iâve shared the chart below a few times, and for good reason. Bitcoin has a perfect track record for soaring after its halving event.
In November 2012, Bitcoin ripped more than 9,100% to the peak after its first halving event. In July 2016 — the bull market that got me and many other people interested in crypto — it ran nearly 3,000% higher to the peak from its halving. And from the halving in May 2020, bitcoin soared more than 600% to the peak. As you can see, weâre starting to see diminishing returns from the halving event. The second halving was roughly 30% the performance of the first. And the third was about 20% the performance of the second. However — there are those words again — this time is quite different. If bitcoin ETFs are successfully listed, bitcoin will be much more easily accessible to the wider investing public. And that could throw the old rulebook out the window. This time around, I think we could conservatively expect gains of 150% out of bitcoin, from the halving to the peak of the bull market — about 25% of the gains we saw with 2020âs halving. So, hereâs what I recommend… RECOMMENDED LINK [SHOCKER! A.I. exposes hedge fundsâ underground data source](
Leading hedge funds and other elite investors have been using a secretive data source that can predict earnings in advance. A revolutionary A.I. program has just âcracked the codeâ to it... bringing it to your fingertips for the very first time...
[Get the Details Now!]( Just Buy Some Bitcoin
Listen, Iâm well aware that bitcoin naysayers are still out there. I get why. Itâs only been around for 15 years. Itâs âdigital gold.â And it has an unfortunate, but misguided association with the more unsavory and, frankly, ridiculous parts of the crypto world. But bitcoinâs design makes it one of the strongest inflation hedges in existence. Over time, it has the potential to protect wealth like nothing else. You might say gold can do that, and youâre right. But gold has nowhere near the growth potential of bitcoin. Ideally, you would buy some bitcoin from a crypto exchange and hold it in an offline wallet. Thatâs the most secure way to own it — like storing gold coins in your safe. The ETFs coming out, potentially as soon this Friday, Jan. 12, are your next best choice. After they do, Iâll share my thoughts on the various options and let you know what I think is the best place for your money. No matter what, though, put some percentage of your portfolio in bitcoin — whateverâs appropriate for you. The bull market is coming. Really, itâs already here. But a good chunk of the gains are still ahead. Anyone aiming to make multiples on their money in a relatively short amount of time needs to buy some bitcoin on the ETF rumor… then buy on the news… then buy even more afterward. To your health and wealth, [Michael Salvatore]Michael Salvatore
Editor, TradeSmith Daily P.S. Andy and Landon Swanâs first weekly Earnings Season report drops this Sunday. Youâll want to make sure you [get your hands on it](. Why? Because their A.I.-based strategy has the potential to double your money in five days or less, every single week, for the next two and a half months. If that sounds unbelievable, [go right here and learn why itâs not](. Andy and Landon use an advanced A.I. algorithm to crawl a virtually infinite supply of data from social media. They tap into the most powerful predictive factor there is — the behavior of consumers. Using this, theyâre able to forecast stock earnings moves with astonishing accuracy. Last year, this strategy produced 135% gains on CROX in less than five days… 102% on ONON in one day… and 216% on COIN in four days. Thatâs amid a bunch of other double-digit winners that you can learn about in their newest presentation on Earnings Season Pass. [Get the full story right here.]( Get Instant Access
Click to read these free reports and automatically sign up for research throughout the week. [25 Doomed Blue Chip Stocks]( [3 Stocks to Build Your Wealth in 2024]( [Download now on the Apple Store](
[Get It On Google Play]( [Customer Support: 866.385.2076](tel:+866-385-2076) | support@tradesmith.com
[Request Customer Service](mailto:support@tradesmith.com) ©TradeSmith, LLC. All Rights Reserved. You may not reproduce, modify, copy, sell, publish, distribute, display or otherwise use any portion of the content without the prior written consent of TradeSmith. TradeSmith is not registered as an investment adviser and operates under the publishersâ exemption of the Investment Advisers Act of 1940. The investments and strategies discussed in TradeSmithâs content do not constitute personalized investment advice. Any trading or investment decisions you take are in reliance on your own analysis and judgment and not in reliance on TradeSmith. There are risks inherent in investing and past investment performance is not indicative of future results. TradeSmith P.O. Box 340087 Tampa, FL 33694 [Terms of Use]( [Privacy Policy]( To unsubscribe or change your email preferences, please [click here](. [tradesmith logo]