Big Crash or Big Opportunity?
Chart analysis done by Kevin Cage in the exclusive group “Cage’s Trades”
The biggest crashes in crypto can be some of the best buying opportunities. Even #Bitcoin's Largest crashes were always bought back up. There was MAX FEAR when $BTC was $3K-$4K last bear market. I don't "think" or "hope" there will be Future Bull Runs in this Asset Class. I know there will be.
The only questions are:
When?
Which Assets Will Perform Best?
Which Assets Survive Long Term & Get a Slice of this Multi-Trillion Dollar Pie?
The future will likely be different, but may rhyme with history. Be sure to follow people that don't see the value-add of this Asset Class and think it will disappear.
Consider their arguments. They're valid.
Especially considering today's global economic conditions. I'm guilty of having tunnel vision at times. I'm also biased because I have investments in this asset class & follow the developments.
Why do I think the Crypto Asset Class has a Massive Future?
Because The World's Largest Enterprises Do Alongside A Variety of Public Networks: https://dltlandscape.hyperledger.org
Organizations including:
DTCC "The Fed Before the Fed Existed"
IBM (The group that Acquired Red Hat for $34B for an advantage in the Cloud Computing Market that was also doubted by many. Red Hat was the expert of commercializing Linux. IBM has long been at the forefront of recognizing the transformative potential of enterprise tech before the majority. Just like they're leading in blockchain today.)
Walmart (Full production for supply chain visibility)
Wipro (#Hedera Council)
Siemens - #CasperLabs
R3
VISA
Bank of England (Ripple PoC: https://bankofengland.co.uk/research/fintech/proofs-of-concept/ripple…)
Central Bank of Singapore MAS
#Stellar Dev Foundation
#Etherum Foundation & Enterprise Alliance
Tech Mahindra
IPwe $CSPR
Huawei
#EnergyWeb Foundation
Accenture
Deloitte (One of the "Big Four")
Deutsche Telekom Partnered with $ALGO (European Space Agency Air Quality) $EWT $MATIC $ETH $HBAR
And that's only considering Hyperledger. There are many other consortiums with large use cases and partners connected to other public crypto networks like R3 Corda & $XDC
JPM already transacted more than $700 Billion via Tokenized Treasuries.
Citi launches token service for institutional clients to tokenize deposits. Leveraging a permissioned version of #Ethereum. Per the interview, they said if regulatory frameworks improve they can connect to public crypto networks. They've built this platform to enable others in the future.
Tokenization & Pymt Estimates:
"SWIFT estimates volumes of tokenized assets could reach $24 trillion by 2027"
BCG estimates by 2030 the tokenization of global illiquid assets could reach $16 Trillion to as high as $68 Trillion
The tokenized market is estimated to be 10% of Global GDP by 2030. Global GDP is over $100T today and likely above that in the future. Even getting 5-9% of this would be HUGE.
Boston Consulting Group "cross-border payment flows are estimated to reach $250 trillion by 2027. This represents an increase of over 60% from 2021.
" World's Largest Banks/Custodians Launching Crypto Trading Desks:
BNY $42T Assets Under Custody & $1.8T AUM
Fidelity $4T AUM
Charles Schwab $7T AUM
State Street $4T AUM
Goldman $2T AUM. Goldman Sachs-funded firm Circle acquired Poloniex for $400 million
BlackRock (Chose Coinbase) $10T AUM
And dozens more. Plus #Bitcoin ETFs
Other Asset Classes Today vs Crypto:
Crypto $1T
Global Equities: $112T
Bonds: $120T+
Real Estate: $397T in 2022 (Residential, Commercial, Agricultural) Just 10 countries contain 70 per cent ($141.5T) of all global commercial and residential value (totaling $200T)
Commodities: $20T in 2020. $24T by 2025 (Metals, energy like oil, coal, uranium, grains, livestock, fertilizer)
Derivatives: $600T-$1.2Q (notional value of all contracts) $12T+ (Actual market value of contracts)
Also note that #Web3 is giving birth to new monetization opportunities and even new asset classes. Helping tokenize & grow Alternative Investments as well & improve industry verticals.
The Global Alternative Investment Market is Projected to Reach $18.3 Trillion by 2027. https://x.com/Kevin_Cage_/status/1703899768781484338?s=20…
Considering all the above information, I think the Crypto Asset Class has substantial upside over the coming years.
ATH MC was $3T. We're at $1T today. I expect to see a new ATH this decade between $5-8T.
Only time will tell.
History shows us that the markets are cyclical. This bear market length has been no different to previous cycles.
Blockchain 4.0 is happening today. Enterprises are using & will use Hybrid Networks. Not just 100% private. Therefore connecting to some Public Chains for better security, liquidity, transparency, and a second audit trail: https://x.com/Kevin_Cage_/status/1696662015677173882?s=20…
Trillions of dollars will be tokenized. Benefits include:
Liquidity
Fractional Ownership
Accessibility & Inclusion
Reduced Intermediaries
Efficient Settlement
Lower Costs - Better Security
Programmability & Automation (Smart Contracts)
Unlocking Illiquid Assets
Easier Compliance Audits
Achieving generational wealth isn't meant to be easy.
No matter how difficult it gets during multi-year bear markets, I'll be here for the long haul.
If you are interested in learning fundamentals, chart analysis and much more while having a community of like-minded crypto enthusiasts to bounce off of, check out Cage’s Trades Membership!
