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March 15, 2018 - Health Ranger - Mike Adams
13:44
Bitcoin BUBBLE Warning: It’s gonna crash!
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This is Mike Adams here, the editor of naturalnews.com, with an urgent warning about how Bitcoin has become a speculative tulip bulb mania market.
Now, I want to be clear that I am pro-cryptocurrency.
I'm anti-central bank.
We know that the fiat currency systems are going to collapse.
We know that the stock market is wildly overvalued.
We know that banks and governments are entirely dishonest and they use confiscation via money creation, fiat currency creation, and so on, to steal from the people.
But that doesn't mean that Bitcoin isn't in an irrational bubble.
I am pro-cryptocurrency.
I am pro-distributed systems, like the blockchain ledger.
I am all in support of returning power to the people.
And I love the idea of having a system that cannot be regulated by governments, because that means it can't be manipulated by governments.
However, Bitcoin has grown from Sort of a small industry of people who were using the currency transactionally to now a speculative bubble where you've got kindergarten teachers in Japan who are saying that they're jumping on now.
They saw it went up 100% in the last month and they want to jump on board so that they can have a retirement.
In Korea, the same kind of deal.
You've got housewives there and speculative investors that are saying, oh, we've got to jump in now so that we can sell it when it goes high.
And now the dominant conversation with Bitcoin has just become pure speculation.
It's buy it now, sell it later when it's higher.
The problem is that Bitcoin is going to collapse when people come to their senses.
Once it made that switch to a speculative market, it went into tulip bulb mania mode, if you will.
If you don't know what tulip bulb mania is, look it up.
Do some research on it.
You need to understand that even, what was that, almost four centuries ago or something, that the same psychology dominated the cycles of fear and greed.
And if you have something that isn't real or useful by itself, that doesn't have a utilitarian purpose, and you're just speculating on its value and you have this mass hysteria, almost a Ponzi kind of attitude where everybody's just trying to push it up higher and higher so they can all get rich, it always collapses.
And you know why?
Because Bitcoin is not a magical source of endless wealth creation that can defy the laws of economics.
It isn't.
I can tell you that with absolute certainty.
Does Bitcoin have certain uses and certain advantages?
Absolutely.
I've consistently recommended that you have some cryptocurrency as an escape plan if you're living in a place like Venezuela or Brazil or even the United States.
I mean, when the dollar collapses, What are you going to use as currency?
It's good to have a backup plan, but I continue to say that backup plan should be more gold and silver, things that are real, things that you can hold, things you can possess, things that don't vanish when people come to their senses.
I mean, think about it.
If you've got, I don't know, let's say you've got 10 ounces of gold over here, and then you've got 10 Bitcoins over here in the cloud, in the blockchain ledger.
When people come to their senses on the Bitcoin bubble, all this Bitcoin just vanishes, poof, it's gone.
This gold doesn't go anywhere.
It doesn't evaporate.
Even if you melt the gold, it's still gold.
Why is that?
Because gold is an element.
You can't destroy gold.
It stays gold.
I guess unless you want to launch it into the sun or something, or an exploding star, then it can be transmuted into some other element.
But it's gold as long as it's here on Earth.
Gold can't be destroyed, and it can't just vanish overnight.
And its value is inherent in the preciousness and the industrial utility of the metal.
And it's easy to carry, it's portable, and it lasts.
It's basically inert.
It doesn't oxidize easily.
It has chemical and even technology properties that are very, very useful.
So it always has inherent value.
Bitcoin could be overthrown tomorrow.
What if China announced, for example, its own cryptocurrency backed by gold?
Just as an example, what if Russia announces a cryptocurrency backed by gold?
Where they say, we're launching, let's say, 100 million BitRussia coins and every coin can be traded in for a certain amount of gold, let's say.
And you got to buy the coin for the amount that it's worth in gold.
Bitcoin doesn't have anything real that makes it better than some other cryptocurrency that can come along.
And some of those may already exist, you know, such as Litecoin or Zcash or others.
Bitcoin could be irrelevant and obsolete overnight.
And when that happens, people are going to try to sell.
Now, here's the thing about Bitcoin.
It's easy to buy in.
It's very difficult to sell in a panic.
Because to sell it, you have to have somebody else to buy it on the other side.
It's not a very liquid market.
It's not like buying and selling stocks.
And there's no regulator.
There's no real clearinghouse.
It's a distributed ledger.
It's the blockchain.
That's all it is.
So if you sell and everybody else is trying to sell at the same time, you're going to have a hard time finding buyers without dropping your price rather quickly.
And as you're dropping your price, other people are panicking and dropping their price.
You're going to have a massive sell-off.
It's going to be apocalyptic for Bitcoin holders.
There's going to be a crash.
It'll be It'll drive it towards zero.
It's going to be so bad I've even registered a domain name called bitraped.com, just to document the coming crash of Bitcoin.
I already got that registered.
And it's sad to me because I would rather see Bitcoin succeed with slow, steady growth.
I would rather it be rational.
I would rather Bitcoin be limited to people who understand cryptocurrency and who are using the currency transactionally.
So giving it a utilitarian property.
Instead, we have speculators jumping in, and there's Ponzi schemes over in Asia now.
It's like multi-level marketing schemes where you buy in, you pay a bunch of money, and you get some Bitcoin, and then you recruit other people.
They buy in, you get some of their Bitcoin, and so on.
It's literally a network marketing Bitcoin pyramid scheme.
These are running all throughout Asia right now, and that's why people are buying into Bitcoin.
When that ends, the fallout's going to be catastrophic.
Just catastrophic.
And the reason I mention this is because I don't want you to get hurt.
If you've got extra savings right now, you should be putting it into land or gold or firearms or something real.
Don't chuck it into Bitcoin based on greed and speculation.
You're going to get hurt very badly.
And I'm recording this on June 7th, 2017, the day after D-Day.
And I'm naming the date here because I'm going to play this again for all of you who were criticizing this advice and were thinking that you're going to get rich and you're thinking that you found this unlimited source of magical wealth creation and you believe in flying unicorns with fart rainbows coming out of their ass, powering them through the sky, dropping bitcoins on your front door.
You're delusional.
And you're going to lose a lot.
You're going to get hurt.
I don't want you to get hurt.
But you don't have the wisdom and experience to listen to me yet.
You need an education.
The education will cost you your Bitcoins.
And after that education, you can come back and review this video and you can say, huh, maybe I should have listened to Mike Adams.
He would have saved me, you know, $10,000 or $100,000 or a million dollars or whatever you have in Bitcoins.
You're going to get hurt badly if you keep holding on to them.
I sold all my Bitcoin for gold.
I was mining Bitcoin using a solar farm in Arizona for a couple of years.
We invested in the solar farm.
We were mining with some S9 ant miners.
We were running some pretty good numbers and we did pretty well.
But I had the wisdom to sell it for gold.
So now I'm sitting on physical gold.
I mean, I was able to turn sunlight into gold by using solar-powered Bitcoin miners and then getting people to give me gold in exchange for Bitcoin.
So I got out.
It's the wisest move you could make right now.
I've got a small amount of Bitcoin right now just for severe emergencies.
Nothing wrong with that.
But I'm already planning that it's going to be worthless.
It's better to have gold.
It's better to have real assets than to bet the farm on Bitcoin.
Lastly, ask yourself this question.
When you look back at the dot-com crash, it was rising through the late 1990s.
Bill Clinton was president during much of that, and people were irrational.
They were saying the rules are different.
Everything's different this time, they said.
Dot-com stocks are going to go up forever.
Nobody's going to have to work again, they said.
They thought that everybody could buy low, and everybody could sell high, and everybody could retire off of the dot-com stock market.
Literally, this was what the news was reporting.
Every day, Jim Cramer and CNBC, it was just irrational exuberance, euphoria, mania, day after day after day.
And in 1999, I started telling people, get out of the dot-com bubble because it's going to crash and you're going to lose everything.
And of course, I was called a doom and gloomer.
I was called a pessimist.
And people said, no, the rules are different.
Price to earnings ratios don't matter.
Companies don't need to make money anymore.
Valuation is just going to go up forever and ever and ever.
And the laws of economics don't matter, they said.
Of course, they were all wrong and I was right.
It's just like the movie The Big Short.
I'm like the doctor in the movie who said, yeah, Alan Greenspan is wrong.
It's like, yeah, because I can do math.
It's not hard to do the math and figure out the answer here.
So a lot of people lost their life savings then.
And there are senior citizens to this day who are working at McDonald's and they're working as greeters at Walmart because they lost their retirement in the dot-com crash.
They're literally working at Walmart because they didn't listen to me.
I didn't lose a dime because I was completely out of that market, but a lot of people lost everything.
And I see it happening again.
I see it coming again with Bitcoin.
And the stock market, which is overvalued, by the way.
A lot of people are going to lose a lot of money.
I'll tell you this for sure, without any question.
Bitcoin is not a magical creation source of new wealth from nothing.
Bitcoin doesn't produce anything.
It doesn't earn anything.
There are no earnings distributions.
Bitcoin doesn't invent anything, like Apple.
There's not a Bitcoin iPhone or whatever.
Bitcoin doesn't produce anything.
It doesn't add value to anything.
It is a speculative play.
And that's it.
And as a result, it's going to crash.
It's going to be an apocalyptic, catastrophic collapse for people.
They're going to lose everything, and the media is going to blame cryptocurrency.
And they're going to blame everybody who was talking it up.
And they're going to say, look, this is the liberty movement just scammed everybody.
Look how many people got ripped off by Bitcoin.
Look at how you should trust the central bank now because these cryptocurrencies, look, people lost their life savings.
They're going to have profile stories of all the people who were hurt.
And they're going to discredit cryptocurrencies and liberty movements and decentralization and peer-to-peer everything.
I can already see the headlines coming.
And remember, I'm recording this on June 7th, 2017, well before any of this happens.
I can see it clear as day.
New York Times.
Oh, a housewife in Japan loses everything, commits suicide, jumps off of a building because of Bitcoin.
That's the kind of headline you're going to see.
It's almost like it would be impossible not to understand that this future is coming.
The media will look for every opportunity to discredit the liberty movement and try to convince people that they should stay in the banking system, that they should stay in fiat currency.
And they're going to use the Bitcoin crash to do that.
So buyer beware.
This is perhaps one of my final warnings.
If you're betting on Bitcoin, you're going to get hurt now because Bitcoin is too high, it's too volatile, and the rules are not different.
You have not discovered a magical source of wealth creation.
You are not ten times smarter than the previous people who got burned in the dot-com crash.
And just because this bubble involves A new technology doesn't mean it isn't a bubble.
It's the same human psychology over and over and over again.
You're going to get burned badly.
Maybe you should sell your Bitcoin for gold and be happy instead and know that your gold won't disappear.
That's my advice.
But it's all up to you.
Do what you want.
It's a free country, which means you're also free to lose everything by making really stupid investment decisions.
So, your call.
Thanks for listening.
This is Mike Adams, the Health Ranger for naturalnews.com.
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