Dan Bilzerian, a popular social media celebrity and professional poker player, has seen a quadruple increase in his investment in bitcoin that he made in May.
In a previous report, CCN.com revealed that Bilzerian purchased a “shitload” of bitcoin at $2,300, less than five months ago. Since then, the price of bitcoin has increased from $2,300 to $8,200. Combining the value of Bitcoin Cash, assuming that Bilzerian has not sold Bitcoin Cash he has been credited with, the value of Bilzerian’s investment has increased by 4.2x, given that the price of Bitcoin Cash is around $1,500.
“I bought a shitload of Bitcoin today. It’s so crazy watching that shit fucking go up, too, it’s like sweating like I made a bet on the Super Bowl or something,” said Bilzerian in April.
This week, Bilzerian stated, “damn all my crypto is killing it,” implying that he has invested in more cryptocurrencies apart from bitcoin. The statement could mean bitcoin and Bitcoin Cash, but it is likely that Bilzerian has invested in other cryptocurrencies like Ethereum back in April.
Bitcoin as a Store of Value
Most investors who do not fundamentally believe bitcoin and the cryptocurrency market could overtake the market of gold and fiat currencies would have sold their investments in cryptocurrencies at 2x or 3x returns. But, Bilzerian has continued to hold onto his investments since April, despite some major corrections along the way.
Specifically, last weekend, when the price of Bitcoin Cash soared to $2,900 and the price of bitcoin plummeted from $7,200 to $5,600, many long-time bitcoin investors sold their bitcoin on major exchanges. In fact, South Korea’s Bithumb, the world’s largest cryptocurrency exchange by trading volume, experienced a server outage at the time, as its daily trading volume surpassed the $3 billion from bitcoin investors migrating to Bitcoin Cash.
Throughout such period and instability, Bilzerian has held onto his bitcoin and cryptocurrency investment, reaffirming his belief that bitcoin, as a robust store of value, will overtake traditional assets such as gold or the declining fiat currency system.
Not About How High Bitcoin Can Go, It’s About How Low Fiat Can Go
Many multi-billion dollar investors have entered the bitcoin market over the past few months, including hedge fund legend Mike Novogratz. Some of the investors firmly believe that the price of bitcoin could surpass $500,000 in the long-term, if it competes against existing financial systems.
Patrick Byrne, the CEO of major retail company Overstock, recently emphasized that investors should be less concerned with the price trend of bitcoin and more worried about the decline in the global fiat currency system. As fiat currencies continue to decline, the price of bitcoin and other decentralized forms of money will increase. Byrne said on Fox Business:
The real question is not how high can bitcoin go. The real question is how low can fiat currency go—and at the end of the day all fiat currencies have gone to zero and that’s because they end up with irresponsible money printing. We have all these currencies since Bretton Woods, fluctuating against each other, and maybe the dollar hasn’t gone to zero against these currencies but all of them have gone down 95% … versus something that they can’t control like … gold and bitcoin. So bitcoin may be on its way to a million for all we know.”
An increasing number of general consumers and investors in the traditional finance industry such as Bilzerian are becoming more aware of the current trend of bitcoin and fiat currencies.
Featured image from Shutterstock.
Last modified: May 20, 2020 9:25 PM UTC