Topic: BTC is about to be $5K-$8K ++ - page 4. (Read 10626 times)

These "financial professionals" have an approach that is fundamentally mistaken.
The first priority when investing is to be protected from loss, but you are always exposed to risk with any traditional or alternative asset, so to "diversify" into a "healthy mix" of assets does not actually protect from loss.
If there truly exists a diversified strategy or portfolio that did well during the previous market meltdown while consistently producing >4% average returns, then let's identify it and discuss it.
What you should be doing with $1M is acquiring assets that will always protect your principal. Most people are not even aware that these exist.

are you kidding? NY city is one of the most interesting places to live and 8.4 mil people agree.
Do you think they are all executives?
Bronx, Queens and Brooklyn are where regular folks mostly live, but they might work on Manhattan or Long island.
https://en.wikipedia.org/wiki/Demographics_of_New_York_City
average household income in Brooklyn=$60K, Queens=$67K with average in US $52K. These are not rich people.

I also agree with OP that says that $1mil is serious chunk of money. Financial professionals usually suggest that you can safely use 4% each year without even decreasing principal (due to appreciation). A healthy mix of stocks, bonds, RE and alternatives is needed, though.

If bitcoin will ever pops really high, I intend to use Risto's SSS method as I think that it is quite brilliant:
https://bitcointalksearch.org/topic/sss-a-sane-and-simple-bitcoin-savings-plan-345065
Essentially, you sell out 10% every time BTC doubles from your average buy-in price.

Guys please don't confuse NYC as only being Manhattan.
Brooklyn, Bronx, Queens and that red headed step child Staten Island are all part of NYC.
Cost of living, most of which includes housing is much much cheaper in these boroughs. easily by factors in double digits

Although of course, to make that million dollars go the extra mile, I would advise against living in high cost-of-living places like New York or LA.  Florida seems rather nice this time of year.  $50,000 in Florida will take you 20 years without having to work

I guess that all depends on your lifestyle.  For most people, making $50,000 a year (or equivalent in whatever country you live) represents a decent annual sum for the average middle class citizens (and for lower middle class citizens, that's actually a lot). $1,000,000 means that person could comfortably live for 20 years without working a single day.  Of course, that assumes there'd be no inflation and it also assumes that person wouldn't be working.  If he or she was smarter with the money, a portion of it could be invested a good bit in themselves and used as capital to start their own business and be their boss.  And they could do it all quite comfortably for several years, long enough to grow a business through the initial hard years.  Within a few years of hard work doing what they love, they'd still have well over half of that money left with a very comfortable trade that they enjoy. If done right, such a person might possibly never have to worry about finances ever again cuz they'd be completely set.

So yes, $1,000,000 could definitely change life and probably for most people.

If you're used to living flying first class every where you go and eating at first class restaurants and buying the biggest house on the block, then maybe not.  But I digress

Well, there are plenty of average men/women living/working in New York. Someone has to fill every position under these executives and companies. Of course, it wouldn't be a good strategy to move to New York if you wish to live comfortably as an average person. Some, however, were born into the area, or stay for other reasons.

Certainly risk appetite would affect your rate of return.  Bank and CD's ...have little or no risk and maybe yield 1% return. But for a modicum of risk you certainly can find a bunch of blue chip stocks that will yield 4-6%.

Most people in the US retire with nothing other than social security so I guess most aren't even living comfortably.

And who would want to live in NYC unless you are high paid executive or own a successful company

It would not be viable to live there if your just an average guy/woman who is working just to get by

What country do you live in?

In certain parts of the USA, $1 million is actually not too much money. Look at New York City. That 1 mil can by you a small housing unit in the city, which is by no means life changing. However, there are cheaper places where $1,000,000 can buy you a nice house, a car, and pay off all your loans with plenty to spare. Still, certainly not a king-size life and absolutely not enough to discontinue work.

You cant get much more than one percent without risk today.  That s only $10,000 a year.

1m is not outstanding anymore, sorry to say.  You need about 3m to retire comfortably in the usa.

$1,000,000 is not too much money but what it can buy is so great in some 2nd world countries.
You know real estate prices and rents all go up in those developing countries. Also their stock markets have valuable shares of some firms who have consistent grows.
Even inflation and interest rates are 2 digits in these countries.

Are you serious at all dude???
If you give me 1 million bucks, I would easily live my whole life king-size and die like the same...
If you think it ain't anything and if you have something bigger to share, why don't you just come ahead and share it with us if it's nothing for you??? 

I am shocked people actually believe this line of reasoning. Your thinking isn't close to being correct. It assumes that every coins is being sold every second of ever day for the market price, which isn't even close to being correct. Shockingly bad reasoning.

Market cap is only determined by total coins time current price, regardless of how many coins were sold at the moment.

Sure if someone could buy every coin at $1000 right now, then the market cap is 14 million+ times a thousand. However, this never happens, ever.

The market cap is also NOT 14 million, as some say 4 million coins are lost, of the 10 remaining, 6 million belong to long term holders, of the then 4 million remaining, 3 million belong to techno short term geeks that hold, and 1 million get traded in a day. If those 1 million went for $1000 that day, then In that case, it only took $1 billion in cash to move the price to $1000. NOT 14 billion.... I hope you get this.

Bitcoin only needs a few things to reach a new ATH.

First, is the ratio of sellers to buyers has to turn. Price increase can do this alone because miners will have less incentive to sell as they can pay for their electricity with fewer coins. Miners are typically holders if they can be. The halving will also do this. So a price bump alone can reduce selling pressure and only short-term speculators will be selling lots of coins. In 9 months the halving will do this for us and everyone that understands markets knows what is coming.

Second, buying pressure has to go up. More easy entries into the bitcoin market (coinbase, gemini, et cetera) is a key here. Two years ago getting money to Gox took huge balls to wire your money to Karp. Now you can debit out of your checking account. HUGE improvement. Positive news and a positive momentum behind bitcoin will bring those wanting to invest. There is never and end of those types of people that are willing to take a chance on big returns.

lol...its not a lot.... just ask the Donald....life wasn't so easy for him. He had to start with only $1,000,000 loan from his dad. That he had to pay back. The horror.
seriously though, 1 million is an astounding amount of money anywhere even in USA. just interest alone on that amount would give you income greater than over 60% of the us population....just the interest.

I live on the south coast in the uk and this is exactly what I'd be doing with that amount

That's a figure that deserves a little more respect than you're giving it. The majority of people wherever they are will never, ever have access to anywhere near that amount in their entire lives.

In my own first world country that would be enough to buy a modest wee house and 2-3 others to provide a low income.

Seriously in what 3rd world country do you live that you can get anywhere with less than 1 million dollars?

Even $1,000,000 isn't a lot of money anymore these days.

If 10% of the $583 billion is represented in bitcoin, that is about $3,800 per bitcoin. Bitcoin can also be use in online purchase.

What a helpful post, thanks for that. 

I wasn't able to track down the article but I think its kind of recent...maybe in Business Week. Talks about a company that is charging around 1.3% for world wide remittances when the world bank estimates that average fees from banks and couriers are around 8%. Also world bank estimates world wide remittance amount to about 583 billion per year. Didn't mention bitcoin.