Bitcoin $350K — You Asked, Here’s Why
Bitcoin is like a gateway into crypto.
And right now, there’s a new crypto-economy forming — everything from bitcoin to blockchain to DeFi platforms.
I’m calling for bitcoin to hit $350K in this bull market. That’s right. I’m upping my prediction.
And you asked us why.
So, I’ll tell you what’s fueling bitcoin that makes me #BOP on this price target and the overall crypto economy (including one rising star that has even more going on right now than bitcoin).
Plus, we’re answering more of your questions today: Is a market crash inevitable…? Can I lock in more gains on TSLA? Is the pot stock bull market over?
All your answers are in today’s IanCast. Watch it here:
Crypto Predictions and Our Crypto Service
Paul: We have been planning this and on our agenda we are going to talk about crypto, Bitcoin (BTC) past $50,000, Ethereum (ETH) nearly at $2,000. We want to talk about our service because there’s been a lot of questions and comments about our upcoming crypto service.
Let’s talk a little bit about the structure that’s forming in crypto. Cannabis — big selloff in the stock market and a lot people are doubting if the bull market is still on. So let’s address that. Then, in the overall stock market, there are a lot of questions about whether or not a crash is inevitable.
Finally, with our usual roundup, there are a lot of questions about Tesla. For everyone who got in late, they are impatient for new gains. You know what that means. That means it’s probably going to take a little bit.
However, let’s go to what is hot and what people want to know about: BTC, crypto and what is going on. We had a lot of new. Tesla obviously taking $1.5 billion stake. MicroStrategy saying they will borrow $1 billion more to buy BTC. Simultaneously, I saw a headline saying that only 5% of financial officers of companies are ready to put money in BTC.
Ian: It’s still a vast minority of people who even want to own BTC or even know how to buy it. I’ve seen a lot of people talking about how it’s the top.
Paul: One more thing to mention with crypto is Coinbase is a mixture of an exchange, brokerage house — the whole thing in one. It’s like the entire infrastructure of crypto in one. The valuation, based on what is trading as a token in the FTX crypto market, is already at $77 billion.
Ian: It’s huge.
Paul: It’s massive. So let’s get into what is going on with crypto. As Elon Musk said, it was inevitable that BTC was going to go past $50,000. Now it’s just under $52,000. You have this prediction which we talk about every week because we get a lot of new viewers in.
If you are new, please don’t forget to subscribe to the channel. If you ending up liking the IanCast, give us a thumbs up on the way out. On the IanCast we cover BTC, Tesla, cannabis and the stock market. I don’t want to state your prediction, so give folks your prediction.
Ian: My original prediction I made last August was that BTC would hit $115,000 in a year, which is this August. I still believe that, but I have also revised it. I think BTC is going to hit $350,000 during this bull market, which can be anywhere from a year or two or even longer.
So my prediction is that BTC will ultimately hit $350,000.
Paul: I have seen some comments and questions asking where we are coming up with these price targets. Let’s try to give folks some explanation. My price target is that I believe BTC can hit $250,000 over the next one to three years. You go first and give folks the basis for these price targets.
Ian: It has to do with the last bull run. It went up 20 times its previous high which, for this round, would be $400,000. Obviously it’s not as easy to make the 20 times jump. Institutional demand is heating up. We’re already at $50,000 and still only a few companies have bought in in a big way.
I think it’s inevitable that dozens of other tech-related companies and future-related companies are going to put a lot of money into BTC or even issue debt like MicroStrategy did to buy BTC. So even if the company doesn’t have a lot of cash they can do that to get exposure to it.
Like you said, only 5% of money managers are prepared at this point to recommend BTC or put money into it.
Paul: Not money managers. They were talking about CFO types.
Ian: Got it. That number either way is only going to go up from here with demand going crazy on an institutional level, which is what you need to maintain the same kind of ramp up this time that we saw last time.
Paul: BTC at this point is nearing the $1 trillion mark, which has to be the fastest that any asset has gone from zero to $1 trillion.
Ian: It’s only been 12 years.
Paul: That’s right. It began trading in 2009 and 12 years later it’s nearly at the $1 trillion mark. To recap, Ian gave you a flavor for why BTC can get to $350,000. From my side, it’s a lot of what Ian looks at. We both look at these stock-to-flow models (S2F). Some of them are based around the market capitalization, others are based around price.
Then there are other ways to think about this. This is something that has a fixed supply to it — 21 million — of which is estimated about four million are gone because no one took it seriously early on. A lot has been lost or destroyed. Then there’s the element of what’s going on.
Between the big whales out there — Grayscale, MicroStrategy, Tesla, ARK Invest. Who are the other whales out there who hold large amounts of BTC?
Ian: The miners hold a lot of BTC. A lot of exchanges hold a lot of BTC.
Paul: These are folks who are never planning to sell.
Ian: MicroStrategy, Grayscale and Tesla are the major ones.
Paul: So you start with 18.5 million that are out there supposedly. You cut out the four million and you are down to 14.5 million. Then you take out what is in the Grayscale Trust, MicroStrategy and Tesla and a large number of people who are becoming believers and are unlikely to ever sell, and now you are talking about — what would you guess?
What would you say is the actual available number of BTC? It must be three million max.
Ian: It’s around there. I know the amount on exchanges has been falling, even with the price rising. So people are buying it at a higher price and taking it off exchanges, which means it’s a likely chance they are putting it in a cold-storage wallet where they are planning on holding it.
Paul: If you go back to the original question of why we have these large price targets, it’s because BTC is the ultimate supply and demand asset. In the end, there is fixed supply and potentially unlimited demand because you can buy BTC going out to eight decimal places.
There are some folks who believe one by itself will be worth $1 million. However, I think that might take a very long time. Nonetheless, that’s the essence of it. You can look at these models or look at how under-penetrated the exposure to BTC is. Only seven or eight companies own BTC.
There are only two asset management companies that have exposure of any kind: Grayscale and ARK Invest. I think Silvergate Capital is another one. In other words, the potential demand is still there. As they see other people be successful with BTC, they will come in and bid it higher.
Crypto’s Increasing Demand
We can see the demand is probably 100 times greater than what it is today. The supply has no shot of going 100 times greater.
Ian: That’s the thing, demand is only going to go up from here. Even if there are dips here and there, I don’t see demand going away anytime soon. But supply gets cut in half every four years. That’s a big player in the long-term drivers for the price of BTC.
Paul: The folks who get the gold trade being about scarcity and a store of value, it’s the identical setup. I think the issue people have is the folks who were in gold believed what has value must be a thing. The folks who are willing to buy into BTC believe it’s what people believe in and what they are willing to pay for it.
That’s the ultimate arbiter of price and value.
Ian: It’s similar, it’s just getting over that hurdle of realizing it can have and also not be a tangible thing.
Paul: There are also qualities of BTC that make it unique. For example, by nature it’s global. Gold is as well, but to carry around a bar of gold would be dangerous to your person. It would also be heavy. There would be no way to shave off a tiny slice and give it to people.
Whereas with BTC, you could carry it on one of these [holds up USB drive]. Or you could carry it on your phone. You could give out 0.001 and it has value. I have remnants of BTC at some of my old exchange accounts that were left thinking they would never be worth anything.
They are actually worthwhile even at 0.001 or 0.002. It tells you that it’s now worth a decent amount of money and you could use it. So it’s more portable, more divisible and more finite. So there’s a lot of reasons why there are more and more people likely to come into BTC.
$52,000, in our judgment, is still low because of all these reasons we just laid out. The other thing that BTC has done is created a world of crypto. I have coined it the “cryptoconomy.” There’s an entire cryptoconomy that has been formed. You are very active and have been active in trading and understanding DeFi and all these things.
Requirements for Buying Crypto Coin: ETH
Explain in a very simple way what is required to buy any coin. Just go through the small steps and. What things represent, I can take that part of it.
Ian: I would say buying the actual coins your best bet is Coinbase or Kraken or something like that. You put money in, you can buy BTC, ETH — a lot of the main ones are on there. Also, within ETH, there have been a lot of dapps (decentralized apps) that are like a parallel digital economy.
You have decentralized exchanges, decentralized borrowing and lending platforms. This can all be done through the ETH network. One of which is Uniswap, just as an example, where you can trade on ETH. You need the ETH crypto to make any transaction on these apps.
I have likened ETH to Android before, which is the operating system. ETH is like that because these apps are built on it. You can go through the apps like you would a phone and do all these things you couldn’t do just a few years ago. I would say there’s something interesting going on with this decentralized economy and it’s all built on ETH.
Paul: To simplify it further, the way you would do this is to take money from your bank account and move it, for example, to Coinbase. We are not paid by Coinbase to say that, just to make this clear. Then from Coinbase you would buy ETH. Let’s say you bought $500.
You would need to send that to an online wallet. Would you say the most common online wallet out there is MetaMask?
Ian: Yes, for sure.
Paul: We are getting deep into the thicket and we are trying to keep it simple. We just want to show you what lots of people are doing. By getting in early, they have also been able to benefit. So cash is put into Coinbase, people buy ETH, which is then sent to a wallet. From that wallet you can use the platform you mentioned — Uniswap — to buy other coins. Is that a good way to represent it?
Paul: One of the elements of this world that has been created is that the coins also represent value within the platform and they represent ownership of the platform. Uniswap is the name of a coin and it is also the name of the platform. Many people struggle to understand.
Forget Uniswap, why would ETH have any value? Why would its price be rising? Perhaps we can address that a little bit.
Ian: There are a few things. One, there is not huge institutional demand, but Grayscale is buying a ton of ETH. They have a few percent of all the ETH supply. A lot of people are using ETH for what is called staking. This means you put it back in the ETH network and earn interest on it in ETH.
You can make money that way too and that’s been enticing to a lot of people. You make interest in ETH and the price of ETH goes up. So you can make money in two different ways. I think 5% to 7% of ETH is used just for those two things. For everyday investors, you need ETH to do any transaction on Uniswap or any of these platforms.
That’s a big demand driver. I have thought of it as being similar to if there was an internet coin. Rather than having a monthly internet bill you would buy coins to have access to internet. You would spend it to get on websites. That’s basically what ETH is, except it’s financial.
There’s No Limit to ETH
I don’t think there is going to be any shortage of ETH anytime soon either.
Paul: To be clear, there is no finite limit to ETH formally. However, there are various protocols that the folks who created ETH and manage it to keep its supply reasonable. When I went to engage with MetaMask and Uniswap, the fees you pay are called gas fees.
It made me think it’s very much like gas in your car. If you don’t have ETH, you can go nowhere. On the ETH cryptoconomy, every single thing requires ETH.
Ian: It’s an interesting design. I think that’s why it’s seen so much success. It’s been the number two crypto for a while and I think the future is bright. We are seeing new projects come out all the time on ETH.
Paul: Every time someone wants to participate in these projects and new businesses — and there are thousands of them all built on ETH — every time you want to buy or sell a coin, you need ETH. So just imagine hundreds of thousands or millions of people storing small amounts of ETH in their wallets.
You can see a scarcity starts to develop for it where people start to buy some in advance. ETH price has been rising, perhaps you start to hoard it in advance.
Ian: I think it won’t be that long before we see institutional demand. I can see companies that are forward looking, like Tesla and MicroStrategy, wanting to add ETH too. BTC is like your gateway into crypto. It’s always the first coin you hear about. It’s probably the first coin you buy.
And especially if you make money with it, you look for other coins and wonder, “What else can I put my money into?” Then ETH is number two. There is actually way more going on with ETH than BTC. It’s going to be enticing for institutions to go into ETH too.
Paul: We know we are going into what may sound complicated. We are trying to keep it simple. If you just want exposure to BTC and ETH, you can get it through our flagship newsletter called Profits Unlimited. Go to ProfitsUnlimited.com. We own BTC, ETH and we cover it on a regular basis.
Also, we will be showing you across our newsletters and our services how to get into additional coins that fit the parameters of those services. With respect to our future trading service, what is the opportunity set sitting out there? What is driving the opportunity set in these coins, whether it be dapps or DeFi coins?
Or even alt coins? Just for terminology, anything that is not BTC is referred to as an alt coin. What’s driving the opportunity set there?
Ian: I would say that very early adopters are already using these platforms. In DeFi already, just in these ETH apps, there is currently more than $40 billion in circulation. Uniswap does more than $1 billion in volume pretty much every day now. There is some impressive growth going on in terms of adoption of these projects.
I think most people have only heard of BTC and maybe ETH at this point. Once they get into the rabbit hole there are hundreds of other good cryptos to find out about. It’s like a whole other market.
Like everyone is familiar with a lot of different stocks, I think everyone is going to become familiar with a lot of different cryptocurrencies and these different projects going on because it’s very interesting and really cool to see the budding of a new parallel economy that’s decentralized.
I think digital and decentralized are two areas where everything is being pushed into. ETH plays into both of those — crypto in general really does.
Paul: You mentioned that high leverage around trading of BTC seems to drive a flywheel of volatility and trading opportunities. What generates that?
Ian: On some of these exchanges, they let people do what I think are stupid things. For example, you can put in $1 in BTC and own $100. You basically own 100 times your position. If BTC falls by $1, which is what you put in, you lose that whole investment and you have nothing left.
That’s what can cause a lot of sharp drops in crypto, especially BTC, because I think it’s by far the most widely traded one in these ways. It’s called 100x leverage. You can easily get washed out. It can cause a big drop in price very quickly. Some of these smaller coins can trade off of BTC.
If sentiment for BTC goes down, smaller ones like Uniswap are way more volatile so it might make way more of a drop in that coin or just in DeFi coins in general. It’s like when you see the S&P go own 2% and a really volatile sector is down 10%.
Then you have the opposite effect when the S&P is up. I think that’s comparable to what goes on in BTC versus the alt coins.
Our New Crypto Service Beta
Paul: We have been putting in trades, beta trades, whatever you want to call them, for this new service. Give folks an example of one of the trades we did recently.
Ian: We have had a lot of different trades. Most of them are short term, probably a few weeks. We recently closed one out on a coin called Polkadot. It’s the fifth-biggest crypto at this point. We made around 80% or 85% in a few weeks on that. We’ve had a bunch that were more than 50%.
It’s definitely a good trading environment. A lot of people are starting to use the ETH services are becoming aware. They just want to buy everything. It’s very early and I think the coins will run quite a bit from here. There are going to be good trading opportunities for a long time.
Paul: Many people might be afraid of volatility, but understand that young markets have volatility. However, they also have extraordinary opportunity. This gives you a little bit of the flavor of the crypto service we are working on. Our idea is that will support what we are already doing with Profits Unlimited where we already have BTC and ETH in our portfolio.
What we are planning to do is mid-size crypto will go in True Momentum, smaller crypto will go into Extreme Fortunes and mirror what we do with stocks in crypto. Our crypto service will look to take advantage of all the opportunity sets in between them, sort of like we trade options on stocks.
Ian: Exactly It’s sort of the same concept where you want a good gain — maybe 40% to 60% — in three to six weeks. Crypto is so volatile that it makes it very possible. We already have trades we have closed out that have met that standard.
Paul: The great benefit of crypto is that these are way more analyzable in the way we look at things. We call our system Going Upness. The demand and supply, who holds what and how much they hold with stocks there’s so much hand waving going on. With crypto, there’s less so.
Ian: It’s all very transparent. That’s the great thing about crypto that I think will actually draw people into it. You can tell what’s going on behind the scenes. If you hold a lot of crypto you can affect things, but there are always games going on in the stock market.
The potential for that is way less in crypto.
Paul: These are the benefits of crypto. It’s a young market. People will say, “It’s been around for 12 years.” Well dapps and the DeFi market have been around for two years really. It’s highly analyzable. Ian and I have been studying this intensely for a number of years — certainly since the bear market.
I believe there’s no one who has continually and consistently monitored and talked about BTC than this channel. We were both buying BTC into the 2018 bottom. We never wavered in the 2020 crash. We felt it was going to be imminently recoverable. It’s hard to believe in March 2020 BTC was at $3,800 and today it’s near $52,000.
Ian: Right. It’s insane. A lot has changed in that time, but not as much as people think because maybe they were aware of it. There’s been a supply crunch the whole time but it’s being realized now because people are buying way more at one time. It’s been interesting to see how people react to this.
I remember we were saying BTC felt like Tesla and we were asking why it wasn’t going up yet. That was at $10,000. Now here we are four or five months later and it has gone up five times that.
Paul: The larger world is just beginning to wake up to the opportunity just to BTC. What we are talking about in terms of ETH, DeFi and dapps, we are years ahead of where the mainstream is. The biggest money in the end always goes to folks who understand the opportunity early.
They get in at low prices and then they get the Tesla effect. The folks who were buying in a couple years ago, a lot of our folks, have made themselves into Tesla millionaires. We look forward to making many BTC, ETH, DeFi and dapp millionaires.
We have gone down a long rabbit hole of BTC, crypto and mining. Please forgive us. Please put questions in the comments and we will try to follow up on whatever we were unclear about and try to address it in future IanCasts. Lastly, your prediction for ETH.
2021 ETH Predictions
Ian: For ETH my prediction is that it will hit $8,000 by the end of this bull cycle. So BTC $350,000 and ETH $8,000 are my current predictions.
Paul: Mine is BTC $250,000 over the next one to three years and ETH at $4,000 by the end of this year. Stay tuned to the IanCast or subscribe to our free e-letter, Bold Profits Daily, where we talk about these issues and crypto.
We spent a lot of time on crypto. We hope it will be something people enjoyed listening to. Let’s talk about the stock market and what is going on. We are seeing selling in some of these big so-called Blue Chip stocks like Apple and Walmart. We talked about this while preparing for the IanCast.
In an environment where pretty much everything is being bid on — in other words there are a lot of buyers for pretty much any kind of stock — there are relentless sellers for a certain number of names.
Ian: An example is Apple. They buy back their own stock at a crazy rate, yet the stock has been flat for five months now. That means the people who have it are selling it rapidly because Apple can’t even keep up with their enormous share buybacks.
Paul: Apple is spending — we worked it out — somewhere near $450 million buying back stock. Every day they are buying back stock. Despite that, there’s relentless selling pressure on that. Take an example of Walmart which is being bid down 5% or 6%.
In an environment where everyone is a buyer, there are still people willing to sell what we call America 1.0 stocks.
Ian: We have seen some of the America 2.0 sectors go down the past couple of days like alternative energy, 3D printing and marijuana. These stocks were going straight up for a while. At the end of every rally, people will buy in with FOMO (fear of missing out).
They don’t really have any reason to do it other than they want to make quick money. That’s never a great idea in the stock market. They rush in and the stock goes up for maybe a day or two and then it falls. Then they panic sell. Other people who were holding it who have stop losses get stopped out.
That’s a pretty common market maker operation. It creates a tumbling effect where even a quality stock can fall 40% in a matter of weeks. That’s what’s going on right now with certain groups. We’re still bullish on them. This is just how markets work.
Like I tweeted yesterday, in order to make a big win you have to put up with big volatility. You can’t have one without the other. Dips are just part of the game.
Paul: We like to tell our readers to have strong hands. You have to sit through the volatility to make the big money. There is no avoiding that. Every big investor or speculator, the way they’ve made big money is by holding through volatility. There’s no choice.
3D Printing Predictions
We were talking about some of the 3D printing stocks to prepare for this. 3D Systems, which our readers have made hundreds of percent on as part of being strong hands, peaked out at $56.50. We can see the weak hands money come in right around $37 and running the stock up quickly.
Then the same process which you talked about. Then they washed out. People put on trailing stops and all these other things people do where they think they are protecting themselves but they are often playing into the hands of the folks who run the system.
They often put round numbers and market makers make it drop just below that. There are many ways you can cause those trailing stops to go off. Now you lose the stock and they have the stock. And you miss the run up as regular demand comes back in.
Another one that has had a similar move is ProtoLabs as well. People ran in and then have run out. It’s a higher-priced stock and you can see trailing stops have pushed this down. Nonetheless, 3D printing — everything suggests this is going to be an enormous revolution that is just beginning.
Ian: There is no doubt about that. These stocks are still pretty low value. 3D Systems is the biggest out of all of them and it’s only $6.5 billion in market cap. When you are talking about the future of manufacturing, that is insanely small. Long term, these are a very good opportunity to buy.
Paul: This is like buying into Amazon in the early 90s. It’s very early. We believe 3D printing is going to be an incredible technology that’s going to change the world. If you want to buy into it, you can also check out my video from Tuesday. One of my mini portfolios has a 3D printing ETF in it.
Is a Stock Market Crash Inevitable?
One more thing to cover about the stock market before we move on. I’m getting a lot of questions with people asking if a crash in the stock market is inevitable. What’s your view on this?
Ian: I don’t agree. I think there might be sharp dips here and there, but I think they will be bought quickly. Of course they could drag a little bit. I think there is still twice as much cash on the sideline as there was at the really bad times of 2008. That’s why the dips aren’t lasting that long.
We might get a week here and there, but a full-on crash I don’t see happening anytime soon.
Paul: I will say this, Ian, I do believe you will start to see cracks in the America 1.0, old world stocks. Kind of like you are seeing with Walmart. Even though their sales are strong, there are persistent sellers out there.
Some of those stocks have been bid up in a general bid-up environment over the last couple of months.
Ian: Again, it also depends on your definition of crash. You might see some volatility, especially in the smaller stocks. I don’t think any sustain drop of any magnitude is going to happen.
Paul: I went and looked. In the crash of last year, which was a genuine crash, pretty much every single one of our stocks went down by 50% across the board. It was brutal. If you want to know how we operate, we do not use trailing stops. We communicated actively with our folks.
We told people to hang on. We told people if they had a little cash — and we always recommend people keep cash in their accounts — to use it to add on a little bit. That ended up being a huge winning strategy for a lot of our readers. So congratulations to them. They have made a phenomenal amount of money.
Just to bring this discussion to a close, we disbelieve in the idea that a crash is inevitable. I am with Ian that there is always volatility in the market that can happen at any given time. Any stock can get over imbalanced to the demand side where people have bid up a stock too much.
Then when big blocks are put up for sale they are going to get marked down. That is going to be experienced as a decline or a down day. However, we are BOP — bullish, optimistic, positive — on Fourth Industrial Revolution stocks and America 2.0.
Why is Tesla Going Down?
Just to keep this somewhat limited in terms of time, let’s quickly go through Tesla. There are a lot of questions asking why Tesla is going down. “Paul, I would have thought once Elon Musk tweeted about Dogecoin that Tesla would have gone up.”
OK, I was kidding about that second part. People thought once Tesla bought $1.5 billion of BTC that its stock would rocket higher. I have no idea why these expectations are setup like that.
Ian: One of the things we always say is the market anticipates. I mid to late January it became pretty clear that Elon Musk was interested in BTC. From that, you could infer that Tesla would put some of their money into BTC. I think people bought in anticipation of that.
So it didn’t move much after it happened because it was already priced in. There is also the fact that Tesla has, using post-split prices, gone from $37 to $800 in under a year. You get that kind of price rise there might be some periods of stagnation. Long term, Tesla still looks great to me.
Paul: I agree with you, Ian. This is a stock that has risen more than 700% in 2020. There are a lot of winners. For sure, some number of people are going to peel back their exposure. Their blocks are of significant size. When they come to sell, that stock will get marked down a bit.
However, there is still plenty of upside in their cars, autopilot, autonomy, solar roofs, energy, the ecosystem they are building around their batteries. We are still BOP on Tesla.
Cannabis Stocks Are Stabilizing
The last one is cannabis. The ETFMG Alternative Harvest ETF (NYSEArca: MJ) you made predictions on both last year and this year. It has dropped off significantly. Let’s tell folks what’s going on.
Ian: It’s the same kind of idea as with 3D printing stocks. They had this huge run up, hundreds of percent in some cases. Some people bought in at the very end and they were weak hands. They sold. Market makers took the opportunity to run stop losses and take them back cheaper.
They have stabilized a little. I don’t think it will be long before they go back up. Whenever you have something go up hundreds of percent in a few weeks there is bound to be a pullback at some point.
Paul: From my perspective, it was a brutal bear market that ended late last year. People are still recovering from that. There’s going to be some sore feelings about this because the expectations were so high in the 2017/2018 period around cannabis. Those expectations did not come to fruition in that timeframe.
There is going to be some amount of selling that happens as this bull market takes off. However, I can say from having been in the markets that this volatility comes early on in a bull market. Once the selling is done, you have very little resistance. Then you have big, huge, massive moves.
We would tell you we are still BOP on cannabis. I did see Chris Webber — I’m not sure who he plays for.
Ian: He’s retired.
Paul: Shows you how much I track sports [laughing]. I track cannabis stocks. Ian is on top of things. This is why we have a team to keep me in line. Chris Webber is starting up a $100 million fund to invest in cannabis.
Ian: He’s not the first celebrity we have seen do this. We saw Jay Z — it was not a fund but he started a cannabis venture company. There have been others too. It’s starting to be a place where celebrities want to invest. With their influence, it’s going to draw a lot of people into it.
Paul: Snoop has always been in the cannabis realm. He has been one of the pioneers. He really made it into a place where other people saw the huge opportunity. I also saw that Minnesota has gone through the first stage of making cannabis legal. Michigan reported in January, in just one month, $108 million in cannabis sales.
Ian: That’s another billion-dollar state in the making. It goes to show you, especially in the U.S., the potential for this market is huge. Canada is another one of the bigger ones, but it’s still only $5 billion or so a year. California and Colorado make at least that much in a year.
When you look at all 50 states, having any sort of market share in the U.S. is going to be great for a cannabis company.
Paul: Bottom line: Yes, we are aware these stocks have sold off. However, that’s very natural and normal in a beginning bull market which we expect to continue for a long time. Post a brutal bear market, there’s very little supply.
Most of that supply comes out early from people who are frustrated from having owned it through the bear market. They put their stock up for sale and it’s absorbed by the market. Now, as folks come in and pay attention to things like Minnesota legalizing, Michigan’s sales, Chris Webber or federal news about cannabis, they come to buy.
There’s going to be no supply in the market and they are going to bid stocks up. That’s why we’re BOP on cannabis.
Ian, we have gone very long. If you have anything more, keep it short.
Ian: That’s all from me. Everybody, thank you so much for watching. Happy Friday. Have a great weekend and we will see you next week.
Paul: Thanks for watching the IanCast. Come back and see us next week. We do this every week. If you are interested in America 2.0, Fourth Industrial Revolution stocks, crypto, the cryptoconomy, cannabis and Tesla, go to ProfitsUnlimited.com and check us out.
We did a deep dive into the up-and-coming crypto economy in today’s IanCast.
As we’ve mentioned, we’ve been testing a new crypto trading strategy. In testing, we’ve closed crypto trades such as 101% in seven days, 74% in nine days and 71% in 12 days.
It’s still early, but we’re bullish on the phenomenal opportunity this could offer you.
So now we want to know:
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Editor, Rapid Profit Trader