Nov 16, · Well, Fitzpatrick says there is a case for bitcoin to hit $, by the end of Remember, even after its recent rally, the crypto has just surpassed the $16, level. That means the . Find the latest Bitcoin USD (BTC-USD) stock quote, history, news and other vital information to help you with your stock trading and investing. 2 days ago · This stock can profit if bitcoin does well, Stock Market Basics. Stock Market It could stand to benefit dramatically if bitcoin's price keeps rising, or if the digital currency.
Stock market bitcoin valueForget Bitcoin: This Stock Is a Better Buy | The Motley Fool
Plus, institutional interest from hedge funds and corporations has increased to its highest level yet. However, whether bitcoin has a bright future -- either as a digital currency or as a store of value -- remains to be seen. This makes bitcoin a highly speculative asset to own. If you're a believer in the long-term use cases for bitcoin, another way to play it would be to buy a stock that could make billions if bitcoin does well, but that will be just fine if it doesn't.
There's no denying that Square's bitcoin operation has been very successful. It could stand to benefit dramatically if bitcoin's price keeps rising, or if the digital currency achieves widespread merchant acceptance. The point is that Square doesn't need those things to happen. At its core, Square is still a payment processing business. It has grown dramatically over its decade-long history. In addition, Square has built a nice business lending operation in the form of Square Capital, which has originated billions of dollars in small business loans.
It does this at a much lower credit risk than its peers, since its loans are based on merchants' sales.
Square received approval for a banking charter of its own in , and the company plans to launch its own industrial bank next year. Finally, there's the Cash App, which offers so much more than bitcoin. The app provides person-to-person payments, the ability to buy and sell stocks, and debit cards.
Cash App's user base has quadrupled over the past three years. And what does the latest bitcoin price prediction for mean for investors? Dive in below. To start, investors should note that bitcoin is climbing higher in intraday trading to the tune of 4.
A handful of news items support this upside move, but one headline over the weekend stands out. What is that price target? Beyond the shock value of that number, it is important for investors to understand just why Fitzpatrick, a senior analyst at Citibank, is so bullish.
According to his note, such a major move would follow the historical trajectory of bitcoin. As I mentioned above, there are all sorts of catalysts at play that benefit bitcoin and its crypto peers. Fitzpatrick dives into the impacts of the novel coronavirus, and more specifically, actions by the Federal Reserve. Many crypto bulls think the intense interventions by the Fed, like near-zero interest rates, will boost inflation. Just like gold, these bulls see cryptocurrencies as a hedge against inflation and an otherwise safe-haven asset.
So why not turn to gold instead? For example, bitcoin's block rewards -- i. Historically, bitcoin has run up substantially prior to a halving event. Bitcoin has also benefited as a safe-haven investment in the wake of the coronavirus recession. With cash use discouraged due to possible virus transmission, a strong case has been made for digital payments to replace cash. Also, don't forget that bitcoin acts as the bridge currency that investors often have to purchase if they choose to invest in other less-common cryptocurrencies those not named Ethereum or Ripple.
This creates a steady level of demand and ownership for what's perceived to be a limited token. But if you ask me, there are much better ways to invest your money than by purchasing bitcoin. The issue with the most popular cryptocurrency is twofold. First, there's a scarcity-versus-utility problem. Since a substantive percentage of outstanding tokens are held by investors who have no intention of using their coins to make purchases, the utility of bitcoin as a purveyor of digital transactions is quite low.
Since programming is all that keeps bitcoin's token limit at 21 million, this could be overridden in the future. Thus, bitcoin either has limited utility or scarcity -- not both. The other issue I have with bitcoin is that fiat currencies are being tested in conjunction with blockchain. The real value in crypto technology is in the underlying blockchain, not the token itself.
Since buying into bitcoin gives folks no ownership of the blockchain, investors are, arguably, buying into the wrong asset. Instead of buying bitcoin, here are three considerably smarter stocks to buy with your hard-earned money. Square's longest-running operating segment, and the one most folks are going to be familiar with, is its seller ecosystem.
Square has been supplying point-of-sale devices and analytics to small businesses for the past eight years. However, the long-term growth driver for Square is peer-to-peer digital payment platform Cash App. Cash Card is a traditional debit-card that links to a users' Cash App balance.