Marathon Digital CEO Suggests Investing Small Amounts in Bitcoin Every Month

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As a seasoned analyst with a decade of experience in the financial markets, I find Fred Thiel’s bullish stance on Bitcoin for 2025 both intriguing and potentially profitable. His insight into the strategic reserves plan and its potential impact on BTC supply and demand dynamics aligns with my own observations. The increasing institutional adoption of Bitcoin, as evidenced by Morgan Stanley’s potential expansion into crypto and BlackRock’s successful Bitcoin ETF, is a testament to the asset’s growing legitimacy.

Thiel’s suggestion to invest small amounts every month in Bitcoin is an interesting approach that resonates with my long-term investment philosophy. While I wouldn’t advocate forgetting about one’s investments entirely, I appreciate the logic behind his recommendation, which is grounded in Bitcoin’s impressive historical performance and relatively low down years.

On a lighter note, it’s amusing to imagine the potential consequences if every retail investor followed Thiel’s advice and started investing in Bitcoin monthly. We might just see the Bitcoin price skyrocket so high that even Elon Musk would have to sell his Tesla for more Satoshis! But remember, as with any investment, always do your research and only invest what you can afford to lose.

According to Fred Thiel, the chief executive officer at Marathon Digital (MARA), the foremost Bitcoin mining company, he advises considering a regular monthly investment in Bitcoin.

In a recent chat with Fox Business, Thiel expressed an incredibly positive and upbeat view about Bitcoin’s future, predicting it to thrive significantly by 2025.

Bitcoin Price Prediction for 2025 Is Extremely Bullish

The MARA CEO didn’t provide a definite price for Bitcoin, but he indicated that regulatory trends are moving in a direction that will likely foster growth for BTC. As Thiel points out, the potential scarcity of Bitcoin supply within the current market, combined with increasing demand, could cause prices to climb even higher in 2025.

Fred Thiel expressed great optimism about this year. If countries start building strategic Bitcoin reserves, many others are likely to do the same. This implies someone needs to obtain that Bitcoin from some source because the small amount of Bitcoin mined monthly won’t be sufficient. Consequently, you can expect prices to rise.

Over the years, the scarcity of Bitcoin’s supply has served as a significant signal for its bullish trends. It’s worth noting that the quantity of Bitcoin traded over-the-counter (OTC) has consistently remained low, and this trend persisted during the past year.

As demand increases, this unexpected surge in supply causes Bitcoin to reach record-breaking levels. This trend was previously observed in the year 2024, following the Securities and Exchange Commission’s approval of 12 Bitcoin ETFs, leading to a significant surge in institutional interest.

If the proposal for multiple Bitcoin reserves is implemented in 2025, it might lead to a comparable or even greater supply disruption. Over the past two months, nations like Russia and Switzerland, along with other significant economies, have begun discussing the idea of creating a strategic Bitcoin reserve.

Investing in BTC Every Month 

As an analyst, I find Thiel’s recommendation for regular, incremental Bitcoin investments particularly intriguing, given the recent surge of advocates for such investments. The CEO of MARA is proposing a strategy that deviates from the norm, suggesting that investing small sums monthly into the largest cryptocurrency could yield substantial long-term returns.

This suggestion is rooted in statistical significance; it’s based on the potential for gradual, compounded growth over time.

Over the last 14 years, Bitcoin has declined only three times. On an annual basis, its growth averages between 29% to 50%. Therefore, I suggest setting aside some funds regularly for Bitcoin investment and then simply forgetting about it while keeping an eye on its progress. This is the advice given by Thiel.

In summary, the CEO of Marathon Digital expresses great enthusiasm about an anticipated surge in institutional Bitcoin adoption in 2025. He suggested that the move by banking titan Morgan Stanley towards cryptocurrency might be a precursor to other financial institutions adopting similar strategies next year.

As a crypto investor, it’s clear to me that the influence of BlackRock’s CEO Larry Fink and their Bitcoin ETF IBIT played a significant role in the institutional acceptance of this digital asset in 2024. Looking back to November, BlackRock’s Bitcoin ETF outperformed its gold ETF within just one year since its launch, which underscores its rapid growth and appeal among investors.

According to Thiel, it was a significant victory when someone as trustworthy as Lary publicly endorsed Bitcoin and even debated Gensler and the SEC about it.

Thiel proposes that Trump’s administration and the inaugural presidential cryptocurrency advisory team might bring about significant advancements within the crypto industry during their early operational phases. Yet, Thiel was silent on the matter of whether the president-elect extended an invitation to him to be part of this council.

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2025-01-03 04:53