Why It Pays to Be Long on BTC – There’s More to Bitcoin Than the Decline

Bitcoin (BTC) has completed its fourth quarter, and market participants are anticipating the impact. However, BTC's value lies in its unique “monetary assets”.

That's one of the findings of Joe Burnett at Unchained, a Bitcoin financial services company that offers value sharing for BTC to individuals and businesses.

Burnett recently published research findings that show bitcoin is the best savings tool to “stop the free market from melting away your wealth.”

He believes that Bitcoin is “the perfect asset to transfer modern wealth over time without investment.”

In an interview with Cointelegraph, Burnett explained his reasons for being a vocal Bitcoin bull and why it pays to invest in BTC for the long term.

Cointelegraph: There's been a lot of talk in crypto circles about the impact of the halving, but to the average non-crypto-savvy person, it probably sounds like a bumpy ride. What is the most important thing you think retail investors should know about Bitcoin?

Joe Burnett: At block 840,000, the Bitcoin block subsidy will programmatically drop from 6.25 to 3.125 BTC. No government, no company, and no group of people can change the supply schedule of Bitcoin. If you change the rules, you simply fork and create another network. Bitcoin is the best money because it has the best money characteristics (portable, durable, divisible, fungible) and has a very small supply limit.

Halving is another block in the chain that ensures predictable, consistent and transparent monetary policy.

CT: ETFs are credited with putting some of the upside behind the price of Bitcoin, but at some point, ETF holders will either rebalance or become sellers, affecting the direction of Bitcoin's price. Given Unchained's focus, what kind of convos are you having with investors about Bitcoin price volatility?

JB: Unchained is designed to build financial services for long-term Bitcoin owners. When it comes to Bitcoin, it's best not to hold it short. Instead, allocate the capital you plan to save over the years to Bitcoin. This allows you to ignore short-term volatility and focus on long-term capital appreciation.

CT: I know a lot of analysts and researchers don't like to talk about value, but hey, that's what the public wants to know. The data shows that Bitcoin's price is parabolic before it halves, but here we are down more than 10% from the all-time high. What do you think about the left-handed cycle theory, and why did the BTC price sell off so much before the halving?

JB: This was actually the first cycle where Bitcoin hit a new all-time high before it halved.

The spot Bitcoin ETFs may have played a significant role in the price increase before the halving, but the roughly 18 months after the halving could also be positive. In my opinion, the value of BTC is being sold off in traditional markets. The S&P 500 also declined.

Bitcoin is a global measure of currency. If macro conditions are tightening, Bitcoin will suffer. If conditions are easing, Bitcoin will benefit. In the long run, more dollars will be created, and Bitcoin is the fastest horse.

CT: Why are you such a bitcoin bull? You recently said that investors are seeing their wealth “melting” for a variety of reasons.

JB: Any wealth that humans accumulate other than Bitcoin can be degraded. If the world holds $15 trillion worth of wealth in gold, entrepreneurs know how to mine more gold. With the world holding $300 trillion in real estate, entrepreneurs wonder how to build more homes.

Bitcoin is an asset that has tremendous financial assets and does not melt, no matter how much wealth is stored in Bitcoin. We haven't yet had enough resources to transfer our modern wealth through time without a clue.

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CT: What is the biggest psychological hurdle that investors in Unchained have to overcome or convince before committing to Bitcoin?

JB: Individuals and enterprises considering saving bitcoin in their treasury should note that bitcoin is a long-term savings, not a short-term get-rich-quick scheme. If you hold Bitcoin, you should be prepared to hold it for many years and expect high volatility.

CT: The halving is over, and bitcoin is up 58% this year. Do you think it's too late for investors to invest in BTC?

JB: If you're half thinking about bitcoins and starting to accumulate some, make sure you keep it as safe as possible. Collaborative custody is the best way to hold Bitcoin because it allows you to hold it without having a single point of failure. With all your Bitcoin Mt. Don't trust Gox, FTX, Coinbase or BlackRock. An institution cannot afford to lose your coins. Chainless fixes this!

This article does not contain investment advice or recommendations. Every investment and business activity involves risk, and readers should do their own research when making a decision.