How to Play Bitcoin’s Break Above $6,000
Bitcoin (BTC) broke through $6,000 this week. This is a major milestone I've spoken about quite a few times this year.
It signifies that the bottom is over, and that we're now in the beginnings of a choppy bull market.
Of course, we will continue to see dips in the market. But the highs will get higher and higher.
Fortunately for us, while bitcoin is up all the other cryptos are down. Since we are still accumulating, any dips in prices create opportunity for us.
To top bitcoin’s news off, it looks like Fidelity will enter crypto trading within a few weeks.
Add this to Ameritrade and E-Trade’s move into crypto (discussed in last week’s update), and suddenly you have almost 100 million brokerage accounts with access to crypto.
And this doesn't even take into account all the on ramps that are being built for institutional money to enter the space.
Two Key Takeaways
All of our cryptos are rated a buy right now. But last week, I gave you five specific buy recommendations to focus on.
This week, here is what I recommend:
1: If you don’t own bitcoin or ethereum (ETH), buy them.
Yes, there may be future dips. But once Fidelity, Ameritrade, and E-Trade launch their crypto platforms, these two coins will be hard to get at recent prices.
2: If you already have BTC and ETH in your portfolio, use the current dip to add to any other positions you have from our recommendations.
Right now, everything in our portfolio is still on sale. Take advantage before the market continues to rise.
That said, don't spend all your money in one go ― we'll be adding to our portfolio as the market progresses and opportunities emerge.
We recommend taking your yearly crypto budget, dividing by 12, and then spending that amount each month. It's a simple and well-used method to create a valuable portfolio.
Remember: The name of the game in investing is patience and discipline.
Many people fled the crypto market when prices fell, when they really should have been buying. They're the ones who buy at the highs... and sell at the low.
Those of you who stuck around will eventually sell to that same crowd once we hit the next bull market highs for huge profits.
I’m looking forward to it.
Co-editor, Altucher's Crypto Trader