That $114,000 mark. Yeah, that one. It’s not just an arbitrary number on a bubble chart, it’s a door. Will Bitcoin return the breakthrough spark and provide us the immediate transition 25% pop, or will Bitcoin release that which is much deeper? I believe it's the latter. Ed Campbell at Rosenberg Research thinks we might go to $143,000 if we really bust through. Now I won’t rule out a good short-term win, but I’m all about the long game here. This isn’t about a big showy demonstration, this is about building progressive power for the future.
Beyond Price Tags What Lies Ahead
Think about it: We're at a crossroads. What you might not know is that traditional finance suffers from its own complexity. Trust in central authorities, especially the US dollar, is evaporating — down 10.5% THIS YEAR! With its scarcity baked into the code and the fact that no one entity controls it, Bitcoin provides a powerful alternative. As a result, it’s more than a store of value—it’s an affirmative tool for financial sovereignty. People are turning to Bitcoin to safeguard their wealth and their ability to move.
Bitcoin’s ascent is not motivated solely by a desire to flee the dollar hegemony, it is equally about creating an alternative. The real story is in the big innovations that it’s spawning.
DAOs Reshape Work and Organizations
Consider Decentralized Autonomous Organizations (DAOs). These are internet-native organizations, governed by code and community, which provide a radical alternative to traditional corporate structures. Envision an arena where you truly influence the choices that affect your day-to-day life. In this ideal world, transparency and accountability are integral features of the system. That’s the story behind DAOs but it’s already happening in practice. This is what I mean by "progressive."
Bitcoin fuels this ecosystem. It offers the technological backbone for secure transactions and transparent governance. It liberates people everywhere to engage in a more open, global, decentralized economic system, unchained by the reach of gatekeepers.
Tech Innovation Empowering the Unbanked
Let's talk about financial inclusion. Billions more people around the world remain unbanked or underbanked, cut out of the traditional financial system. Bitcoin offers a lifeline. Only requiring a smartphone and internet access, anyone with these two tools can instantly join a global, permissionless financial network.
This isn't some utopian fantasy. It's happening right now. In nations where currencies have become unstable or governments are threatening, Bitcoin has become a desirable escape hatch. Most importantly, it’s empowering these individuals to take control of their finances and build a better future for themselves and their families. Spot bitcoin ETFs are on pace for greater than $45 billion in cumulative monthly flows. Institutions are buying into this vision too.
The upcoming halving event in April of 2024 is going to cut the rewards for miners in half. This cut increases scarcity and is a key part of the puzzle. In the past, large price rallies have occurred after each event. This microeconomic trend only serves to enhance Bitcoin’s status as a rarity of an asset with increasing value. The next halving is expected in 2028.
Yes, Bitcoin mining consumes energy. But this is a challenge that we can meet with technological innovation and the deployment of zero-emission renewable energy technologies. This isn’t just aspirational thinking — the industry is already heading in this direction, led by economic and environmental incentives. We should be promoting this exciting transition – not choking it in the crib with clunky, one-size-fits-all regulations.
This is where Singapore’s future-oriented approach pays off. My adopted home state is on the forefront of technological adoption. It establishes an overall regulatory environment that promotes – rather than stifles – innovation. We should take a cue from Singapore’s example and do the same to develop a framework for the crypto industry.
A friendlier regulatory environment, particularly with possible changes afoot in US policy, would be a major catalyst. Passing legislation to ban a US central bank digital currency and create a strategic bitcoin reserve are recent examples of the new mentality. The recent passage of the Genius Act, legislation to establish a regulatory framework for stablecoins, is another sign of this increasing willingness and enthusiasm toward crypto.
Think of Bitcoin as the internet of money. Just as the internet democratized information, so too is Bitcoin democratizing finance. The internet didn’t just create a handful of new industries, it triggered an explosion of new businesses and industries. Today, Bitcoin is fueling a new wave of innovation.
Shaping the Future Responsibly
Of course, responsible regulation is essential. That means balancing our need to protect consumers and prevent illicit activity with our need to ensure that innovative technologies aren’t stifled. The trick is to create regulations that permit the crypto industry’s innovation to thrive but brings down the hammer on predation.
Therefore, when Bitcoin eventually breaks above that $114,000 resistance level, don’t get too hung up on the price chart. Stop focusing on only the immediate short-term benefits and look at the overall value. Envision a more equitable, transparent, and technologically connected future. Experience the potential of decentralized finance to uplift people and change society. That's the real opportunity here. That's the progressive future Bitcoin can unlock. It’s up 15% so far this year, compared to the S&P 500’s 5% increase.
Finding investors who share your vision This isn’t only about generating returns, it’s about creating the world you want to see. And that's something worth getting excited about. Let's shape it responsibly.
