Should You Invest in Coinbase, Bitcoin, or The Bitcoin ETF?

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Bitcoin last week it hit an all time high when we was on air, I think sixty eight thousand. Today it cracked over seventy two thousand. Big Coin's going crazy, and also as a result of bigcoin going crazy, of course, the whole space is going crazy. But coin base, you know, for full disclosure, I've been an investor in coin based stock for a couple of years now, and bad decision where I actually brought it at a high and that was down. Coin Base stock dropped drastically and I was down.

That's why I didn't invested them.

But I brought the stock before that happened.

But in any event, coin based stock is up as a result of bigcoin reaching all time high. Bigcoin is up, Other cryptocurrencies up. So we're going to talk about the whole space. We're going to talk about the host space. But let's start with coinbase stock. We haven't talked about them in a while. They are currently at around seven yeah, around seventy mark ish the all time that fifty two week high, it was two seventy one, So okay. Coinbase a company that showed a lot of promise. It debuted

Too high.

Yeah, it debuted three forty two and then dropped all the way to thirty three dollars. Legendary, it dropped from thirty three hundred and forty two to thirty three dollars and Kathy Woid was the one that she brought a lot of at a high and then but now it's rebounding. It's headed back on to three hundred. So what's the deal with coinbase stock.

Let's go look at the so gross margins eighty five percent, net margin three point two four percent. Of course, the success of Coinbase heavily tipped to Bigcoin and Ethereum. With Bitcoin doing incredibly well, they shot up a lot. Also, Michael Sailor's micro strategy shot up a lot, so like we're seeing Bitcoin drag up other companies that were not

My god, thank you.

But this is a way to invest like Coinbase, I it they are other ways to GBTC is another way to invest through proxy into bitcoin, and that GBTC went from thirty eighth five to sixty four. So if you want exposure and you don't want to pay seventy three thousand and seventy two thousand a coin, you can get coinbase, micro Strategy or GBTC and to get exposure to the market that way.

I should I sell my coinbase now that I'm positive or should I ride it up?

Should can? I? Can? I still get some I will.

I'll probably lock in profit at like one percent just the case of the crashes, but but I will let it ride.

I mean, it's interesting when you look at the climb of coinbase.

It was at three forty two when it debuted, and then November of twenty one it got back up to three forty two.

So it did pull back after.

But I remember I was talking about not investing in companies. Uh after they buypo for at least six months, and yeah happened. In the seventh month, they puilled a little bit back down. But even on this ascension of bitcoin up to seventy two thousand, it hasn't been a meteoric rise for coin base.

It's been a steady rise, right, and so if you're looking, it's been a study ross.

It's at all time high, but coin Base hasn't gotten nearly back to its all time mine. That looks a little concern to me when we know how reliant this space is on this.

I mean they've had two positive quarters.

Yeah, but I wonder now, I'll just say, I wonder if this we always talk about ETFs when we're talking about individualized stocks and individualized equities, is this it is bitcoin the premiere place where we're talking about Maybe the ETF route is probably best because of the less exposure. So you mentioned one, but bit b is another one. Is the ETF route probably better.

For Bitcoin than doing like a brokerage like a coin base.

Larry Finking Black rocks for me to say, yeah, shout out to everybody who killed me when I said the banks are going to come in and take over a bitcoin eight team point nine billion a bigcoin under management shot to Larry think, yeah, so probably a safer investment, but it would be the same two tech two index strategy for that. So if you wanted to do coin and GBTC and pair it with ibit or bit b or you pick the ones that you want to invest in.

I mean, coinbases the premium place in America to buy cryptocurrency, so it would make in said cryptocurrency increases and more people buy cryptocurrency, that their strength and the evaluation will go up.

I mean it's a direct correlation.

So Apple could have bought coin base at that low too, being stupid, Yeah, thirty stupid instead of arguing with what epic games and even at that two billion dollar EU found like it's like, bro, I don't believe the games over until we're up about forty Like they need some exposure to crypto. When that stock went to forty fifty bucks, they could have put a been and bought that.

It's one of these things right where it's like because I'm just I'm just doing the math right now.

And coin base low of thirty three dollars two years.

Ago, it wasn't a long time ago two years ago, and it's at you know, to sixty six right now. Yep, that's a seven hundred that's a seven hundred percent increase. It's one of these things right where you Yeah, how do you know when it's a good time to buy it?

Listen to market mothers.

Yeah, for sure, that's important. Cut.

Hold, if you would have if you would have brought coin based, then let mean to stop.

Alone, yeah, let alone option or like that had been yeah, well yeah yeah out of here.

And for those in the common saying that I didn't like coin based, I called in video, am D Bitcoin at twenty eight thousand, Bitcoin at twenty come on, now, let's not do this something a good space.

I love y'all, but well, speaking about bitcoin, it's at seventy two thousand now, so yeah, we have to talk about bitcoin again, and talking about it last week. I love it bigcoin. Keep buying bitcoin dollar cost average.

Same rules and video. If you believe in it still I don't care what it is, don't buy the high. Do not buy the high because if not in too much, you're going to cry.

You gotta wait for a pull for the crypto always pulls back.

Violent ten or fifteen years. It's violently.

Yeah, so it I guess maybe to five or fifty nine thousand or sixty five thousand. If it's your first time, you can look there. But a pullback is going to happen, for sure.

The pullbacks probably won't be as violent as it gets bigger and bigger because more institutions own it and there's just more volume, So like it won't probably drop seventy five percent like it used to. But crypto historically, if you follow crypto, you know one thing is for certain.

It always has pullbacks, drastic pullbacks. Yep, it has pullbacks. This has happened since the beginning of it. It's one of these things.

It's like a hurricane hitting you know a region that always gets hit by hurricanes. It's not a matter of win. It's a matter of it's not a matter of if. It's a matter of win. So I know a lot of people are in patient and you're going to kill being the patient. Yeah, you have to wait for a pullback, especially if you're going to do a lump sum buying. If you're doing dollar cost averaging, then that's different. But for allumps some buying, you have to wait for a pullback.

Of do we think it happens before the having event? So the having event is scheduled for April twentieth, they're trying to track the chain to see exactly when it happens till April twentieth of twenty twenty four, that's this year, forty three days away. Do you think it runs up until the having and then we see the pullback?

What are your thoughts?

Yeah, yeah, I think so, because I'm looking at the data now, the average monthly pullback a bitcoin is like twenty eight percent.

I think gonna run up until then.

Then they'll have a pullback, and then of course more excitement would be into it, more people start to buy in, So there's always going to be a step pullback, but I think it'll run up until for sure the have an event.

Yeah, and then that'll start again.

In the four year cycle of bigcoin, which we've talked about plenty of times.

This is year four, which we said is if we look at.

The four year cycles of the bigcoins this inception, that fourth year is usually the most prominis when it turns of how far it climbs, and so within that now, obviously we've hit all time high. It's it's pretty accurate, right, It's hit this all time hide in the fourth year of the cycle, and there will start another one.

So yeah, And for everyone who says we haven't talked about crypto before a bitcoin, I don't know what rock you just climb from under. But it's not true. I love you, I appreciate you. Invest in the market. Then you won't have to make crazy comments on Twitter and the review videos that pay you forty three dollars text me, I'll give you the fifty bucks.

So it is crazy, oh the two dollars CPM play.

So man, we talk about bigcoin a lot, but what's some all coins? What's five all coins that people can invest in? All coins are alternative coin pretty much any crypto current see.

Not not big not named bigco.

So what what is some other alternative cryptocurrencies that people can put on their watch list?

This first time, I want to turn it back to the audience and say, for my crypto experts and the audience, what do you think are five I don't know, I'm not an coin expert, but let me see what baby dogs doing.

Let me see. I think we start with Ethereum, right, like number one.

If if we're is ethereum and all, well it's anything not bigcoin, right, And so if we have to start with number one on the list, we can go Ethereum, and then we can talk about the rest, right, because it's been number two with for however long it has. Most of the coins are built off of this network, but you do have a few others that are trying to combat it.

And I'll give a couple after you do. But Solona and XRP of course, Alanta exactly, yeah, exact, yeah, so we got eight.

XRP would probably be in that list as well, Solana and even I don't know, we'll see, but finance coin, I mean, these are in the top four. They in there for the past five years and from the standpoint of why we said coin base is important would be equally the reason why binance coin is in point because Finance is the number one global platform that trades cryptocurrency, including Bitcoin and all these other on points, and it's

So I would push them in there, and then.

I will that's like three, I'll throw two Solana you said, which would be four, and I'll throw like maybe two wild cards. And I've talked about them before, but Avalanche and Polygon got to be madic.

I'll throw those two in there.

From a market cap standpoint and from a functionality standpoint, Avalanche is kind of like I wouldn't call it a arrival, but they're trying to combat like sometimes we talk about when you go out too far, people can actually see the functionality and say how do we improve That's what

That on poker dot.

Yeah, poker dot, I poke yeah, shout out JP Morgan.

Coin cooking. They got some other ones that are cooking too. Uh. When you talk about.

Just but that's that's that's the crypt the main mania. It's like you see a coin go up a thousand percent, right, it's less than two cents, and you're like, oh, I can put one hundred dollars in that and hopefully it'll grow.

Sometimes that doesn't work, right, we we're just that's just gambling.

Like you have no idea, even when you read a white paper, you have no idea. You just like, let's just throw this money away if we can, and hopefully it makes money. We'll see shout out to the sheep a coin enthusiasts. Shot yeah, people, I mean people made money. We can knocket people made money off I'm not mad at that people made money off of does.

So let me ask you this. One of the frequently asked questions amongst people is when to sell an investment. This is something that we just talked about Mark Zuckerberg and all these guys selling their stocks. So we talk about buying and holding, but at some point you have to sell at some point, whether it's you sell a home, you sell bitcoin, you sell Apple stock, unless you just pass it down to generations and then generations in.

Generations, which will be ideal. Yeah, but all right.

The number one question that people have all the time is we talk about when to buy, looking to pullbacks dollar cost average, don't buy all time highs.

Yeah, twenty fifty drop, but when.

Do you sell?

My role of thumb is five or ten years.

If you want to do time based exits, if you want to do percentage based, once you get to five hundred percent, you can look to take a profit at that point, or if you've gotten to fifteen hundred percent, like most technology most technology stocks over ten year period have a potential to hit fifteen hundred percent.

You have some that are not there.

It will be my same rule of thumb for crypto five hundred percent, fifteen hundred percent or a five or ten year period.

That's the easiest way to know, like when to sell or liquid eight.

For those who like I don't want to hold that long, I don't know what to tell you, Like even this four year.

Run and bitcoin has been incredible.

If you held in video for four or five years, the return like going back to that four year cycle with the have an event, Like most great investors are looking to hold for seven years anyway, So whole five years, five hundred percent, fifteen hundred percent, that's when you should exit.

Yeah, I'm with you on that.

For stocks, again, that's like a pass down thing, so that that's why we want to accumulate them, right, so we create studio accounts to pass them down. But in options, it's always percentage for me, especially on the positive side. Yeah, yeah, once, I once if it's anywhere between fifty to one hundred, depending on what position. I mean, I always like to I say that all the time, like know where you're going to exit.

Before you enter.

So most times I'm looking for one hundred percent return, But sometimes I've sent that to to my brother G. I'm like, yeah, I think this's gonna be a forty percent return right here, And sometimes it is easy. So if I get to one hundred, I take my initial investment out and then we'll let the rest go on the downside. And this is when you've got to be super disciplined. It's like if you see uh an investment that is starting to go opposite and go red thrushoot,

Well, you've made the money, it's your brokerage account.

Maybe you should figure out another way to reinvest it in another proposition or position, not proposition for another position.

Just my rule of dumb, but I see a lot of people doing that.

They treat the brokerage account like the checking or savings account, and now they give you a debit card too, So like even some brokerages, you can get a debit card that's attached to your wage and you can use that, which again kind of the mistake, yeah, kind of of investing.

So I think you also, so, well, here's a day to play the other side of the fence here.

Most people probably not gonna get five hundred percent rate of return on the investment.

If they listen to us, they will for sure.

Well, just on average, the stock market usually increases lower than that, right unless you hit a good stock. But then investing in individual stocks is extremely risky. So I think you get out when the when the boat starts to sink, and that always doesn't correlate the time when you start to see the ship going down. You have to get out because you can ride. You can ride something all the way down to the basement. And I

Very rarely well, an ETF that is a good ETF or a good index just spiral out of control and never ever and never come back. Because they have the they have the they have the power to reposition their portfolio. So it's like QQQ right, Like they have all these top technology companies. But let's say that all these top technology companies fall and now the new crop of technology companies are open AI neural link. When they when they.

Debut SpaceX, all the five new top companies in the next fifteen years, they can change their portfolio and now they'll include those companies as opposed to Apple, Microsoft, and Google, who might have been the leaders for the last ten years. But when you're in when you're in with one company, let's say Apple, and you know it's had a historic run, and it goes up, and it goes up, and it goes up. But let's say hypothetically, I'm not saying that

Yeah, well, but I mean I hear what you're saying, which is true, But it depends on on the entry of when you got into the position, right, So like an Apple is somebody invested in that, and I don't know, let's say the two thousand and seven how many times has it split?

Right?

So, like even a pullback of twenty percent, Yes, that's drastic, but you've appreciated by over one thousand percent.

Well that's why it's not. It's not except formula. It's an eye test. You know.

If IBM is it's going down, got to know sometimes like this is falling apart, it's over. Sure, this is a short term pullback. It's a opportunity for me to buy more. Yeah, yes, or sectors changed. You might have been invested in the airline industry was booming and airlines is its not.

It's not the same.

We'll fall off here in Houston and crush your car. Yeah, yeah, the door fall off a plane.

Everything doesn't stay. Everything. All sectors change over the course of time.

As far as what what everybody now is on AI and chips, that's what everybody's on right now. Ten years from now, who knows it might be something else. So that's important to keep in mind too. Is like you know, you gotta you gotta be It's like a gardener, you gotta you gotta really pay attention to the crop.

And there's no set formula. That's what I think. I don't think there's really a set formula.

If I can offer some pushback to cut it, twenty and twenty is a set formula that keep you safe. Yeah, but percentage wise, that's your stop.

It's like, all right, during COVID, right every stock went down twenty thirty, you would have sold your whole portfolio.

And then got back in when I told them to you, you would have made you would have stopped that your losses and then and got back in.

The problem is the problem with that it's hard to buy at the bottoms. There's a reason why most people buy at the tops and not the bottoms because the averaging is a lack of discipline. Yeah, that and just confidence, a variety of different things. When something drops, you you think it's going to you don't know when it's going to stop. You think it's going to keep dropping. That's

But that's why we're creating intelligent investors, right, So if they have to stop loss at twenty percent, that stock comes down twenty percent, it gets cut off the profits or whatever it is there if they're watching it. Like you said, being diligent is important. So you can actually have to be intensioned again. You can watch that trend going up, right, you're not buying that the high.

You're buying it. On that climb back up.

It might hit the twenty percent where you sold that and say, all right, well we're trending again in an appreciation man, So now I can reinvest. In fact, I might have even more capital than I did before.

Too not reinvest.

And so the diligent part is important, but the stop loss is important too, I think.

But there's also a thing we got to make sure that we encourage us.

There's also a strategy of a dollar cost averaging on the downside. That's that's so, but instead of selling, you could actually be buying with more, which which actually lowers depending on what you do where you purchase. That's actually beneficial for your portfolio because it lowers your your buying price.

With the diligence, I think that's the most important, right because people say I bought the dip, then I bought the dip, and then it dipped again, and it dipped, and it did and it did.

That's what.

You got to be super diligent when it comes to that, and then it dips again.

Yeah, two hundred day moving average.

We talked to seventy two moving like, go back and watch every episode.

The blueprint is there.

And also if everyone on earth is talking about it, it's too late, Like when I called them video on the show, like winning video. A few years no one thought there would be this, darling. Like some things you like eye test, you have to actually see, Like when I had my computer built, I told the story before. Like when I would be in a trading room, I would see the move happened two seconds before everyone else because of the en video chip. Like then, like you said,

I just get it. Yep.

So all right, staying within the bigcoin thing, for one last thing, what price would you advise people to get in ibit?

Oh, great question. Let me look at this. I love it.

If it gets back down at twenty five eighty three, going back to being patient, it debuted at twenty seven ninety four. It's on the hell of a run. It's at forty one forty six right now. You cannot buy ten to fifteen percent from the high. So that's why I like it. If I'm going to be greedy, I'll wait till the yearly open of twenty seven ninety four and by there. So those are the two prices that I like. So it may run away, but at some

And that's the big coin.

It's the ETF ETF. It's a ETF.

Yeah, we gave it, and I gave you the other one. Uh bit b b I t B similar. You could look at the charge, look at the sension another bitcoin ETF.

What's the benefit for I already know, it's gonna be pushed back to say, if you don't own the coins, you don't own crypto. It's not you don't really, you're not. You're not owning bigcoin if you invest in the ETF. But the ETF is also regulated, so you have protection in place as opposed to own Yeah, So what would be the advantages or disadvantage as far as owning crypto bitcoin in the ETF as opposed to the regular way.

Number one thing is priced because most people don't have seventy three thousand dollars for one coin.

But you can also you can buy fractional shares with bigcoin though, So that's the bestru with crypto is that you could just you can put one hundred dollars in the big coin and own zero zero point one whatever that equals.

Yeah.

Yeah, but when the other part is that when you're buying it, especially and we know because we've purchased bigcoling before, the regulation that comes with that. I mean, it's it could be the wild wild West, right if I use buying ins it can get tricky.

Well, that's the number one Thing's the safety secure? Like to me, that's the biggest thing. You don't it's regulated, stock market is regulated. You're not going to get robbed for your for your money. That would be the biggest thing as far as a security standpoint that that would be. And it's what an institution it is not just you know, I would think that that would be the number one and they're probably the only advantage.

That's what I was saying, if you asked the question of safety.

Safety first, Yeah, I mean, we've seen too many instances, even like in the early days when we were trying to figure this out, getting a USB and remember your catchphrase, and if you don't have every set all seventeen words, you can't get into your wallet. And should I keep it on or should I have a cold wallet? I mean, it's just a lot for the average person that has no idea. It's just too much of a barrier to get it to So pay it safe. You know how

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