Martin with a must read for any investor in crypto currencies. He includes an answer to the question of crypto currencies ability to drop to zero. Robert Zurrer for Money Talks

QUESTION: Vitalik Buterin (picture on the right), the co-founder of Ethereum and a co-founder of Bitcoin Magazine, said on Twitter. “Reminder: cryptocurrencies are still a new and hyper-volatile asset class, and could drop to near-zero at any time.” He said: “Don’t put in more money than you can afford to lose.”

Do you agree with him? It seems like you do.

LM

ANSWER: Absolutely! None of these currencies will ever make it to be a viable real-world currency. Anyone wh0 thinks that these will be safer than an official currency is not thinking clearly. We are moving toward an electronic currency since today only about 4% of transactions take place in and paper money. Nevertheless, those who think that this circumvents central banks etc and this is the future are really out there in the unrealistic world.

A currency has to be LEGAL TENDER as long as we have governments. That means it must be acceptable even by the government for taxes.  This cryptocurrency is not really a currency at all. It is simply a speculative investment. To be a real currency it must be used within society to conduct commerce. We cannot accept it for by the time we would go to convert it, who knows what the value would be. It is far too volatile.

Cryptocurrencies are reminiscent of the Broken Banknote Era set in motion by Andrew Jackson when he closed the central bank. Every bank began to print their own currency and this led to massive fraud. Notes were circulating and people had no idea if it was real or a fraud. We cannot have 1,000 different cryptocurrencies all circulating and trying to become the one true currency.

In the end, still, only an official currency will survive. The governments of the world can easily just outlaw cryptocurrencies if they impinge upon their monopoly. For now, they are not a serious threat.

….also from Martin Armstrong:

Fraudster Tries to Sell $20 trillion of Bitcoin

This video examines the current daily cycles in the dollar and euro and suggests caution is warranted for the gold market.

https://blog.smartmoneytrackerpremium.com/

Unfortunately for crypto investors “HODLING” onto Ripple, their huge gains have been wiped out in just the past few weeks.  While Ripple’s price surged to massive percentage gains in a short period, it came down just as fast.  Unbelievably, Ripple’s price surged from less than a penny in March 2017 to a peak of $2.81 on Jan 1st, 2018.

Ripple’s stunning price increase would have made investors during Holland’s 17th Century Tulip Bubble, quite envious.  Ripple’s price increased a staggering 46,700% in a mere nine months:

Ripple was trading at $0.006 at the beginning of March 2017 and then shot up to a peak of $2.81 on Jan 1st.  An investor who placed a $100 bet on Ripple at that time, would have earned $47,000 if they were able to cash out at the top.  Not bad.  However, I doubt most individuals cashed out near the top… maybe a few.

Unfortunately, there is this idea put forth by many Crypto Aficionados that holding, or “HODLING” onto Bitcoin and the Cryptos for a long period is the way to go.  I have even seen some of these crypto aficionados record videos of themselves, wearing hats that say, “HODL,” telling their followers to hold onto their cryptos for much more significant gains in the future.

One of the more highly touted crypto aficionados in the alternative media is claiming that the new target price for Bitcoin is $13,888.  While anything is possible in the future, as Bitcoin’s price continues to head lower, down to its next stop at $6,500, the $13,888 Bitcoin price target by the end of February seems less and less likely.

Okay… now that I said that I want to make something perfectly clear.  I had a much different opinion of Bitcoin and the Crypto markets last year.  It wasn’t until I began to witness the tremendous amount of fraud, corruption, and leverage in the crypto market did I change my mind.  Regardless, I believe the SELLOFF in the Crypto Market will continue until the Bubble has popped for good.

Today, Ripple’s price was down another 20% at the lows:

While it may be unpleasant for crypto investors to read my negative opinion about the market, I have to provide the information as I see it.  Even though there is a chance Bitcoin and the Crypto prices will move higher and see some nice percentage gains for a while, if I were holding onto Bitcoin, I would certainly CONSIDER cashing out on price gains, rather than waiting for Bitcoin to reach $100,000.  Please understand, I am not giving out any investment advice, just sharing what I would do.

Currently, Ripple is trading at $.70, down 75% from its high of $2.81.  While investors who purchased Ripple for a few pennies are still sitting on nice gains… they are still SITTING on gains.   You don’t enjoy profits until you cash out.

I will end this brief post by stating the following:  When the CryptoMarket finally capitulates, the alternative media community can finally get back to focusing on GOLD & SILVER… the true stores of wealth.

Check back for new articles and updates at the SRSrocco Report.

Jack Crooks tells us that if you must get anything right, get the US dollar right. Near term prepare for a weak CDN Dollar to 74 cents. 

….also from Mike: Great Advice from Guests James Thorne & Paul Beattie