5 Reasons Why Cryptocurrency
May Rebound in 2019
The cryptocurrency industry has been on a roller-coaster ride in recent years, with prices shooting up, then falling sharply. Bitcoin (BTC) lost nearly 70 percent of its value in 2018, triggering a domino effect as other cryptocurrencies such as Binance Coin (BNB) and EOS also experienced losses.
But some market experts who follow cryptocurrency closely think it will rebound this year, and apparently many investors are still strapped in for the wild ride.
“There are plenty of facts to back up the case for an imminent crypto rebound,” says Daniel Ameduri (www.futuremoneytrends.com), co-founder of the Future Money Trends newsletter. “One fact is that cryptocurrency has game-changing technology.
“After some inevitable corrections over the past few years, the bounce-backs have shown that crypto is built for the new global economy. And keep in mind, Amazon fell 95 percent in 2002.”
Ameduri reviews some reasons cryptocurrency could rebound this year:
History repeats. “Cryptocurrencies have a history of crashes and recoveries just like other asset classes, but on an accelerated timeline,” Ameduri says. “You’re getting all of the ups and downs that you’d expect to see in any investment class – stocks, real estate, commodities, etc. except it’s moving at a faster pace.”
It’s a marathon, not a sprint. Patience for the long haul is vital to staying invested in stocks that seem exciting at their inception. “BTC is a prime example of that,” Ameduri says. “Without exception, BTC recovered all losses from past corrections and then reached new all-time highs, handsomely rewarding patient and level-headed investors. For example, even if the recent decline were to exceed 80 percent, Bitcoin historians can cite multiple times where the price has staged a full recovery from a drop of that magnitude.”
Crypto and techno are a perfect marriage. “BTC and the others have groundbreaking technology attached to them,” Ameduri says. “Immutable digital ledger technology is now part of the fabric of the global economy and is here to stay.”
Real grassroots enthusiasm. Along with the investments, Ameduri says, are waves of entrepreneurs flocking to crypto conferences, reflecting the building momentum of an industry fighting for relevance in a changing economy. “Those are the underpinnings of success,” Ameduri says. “It’s still an exotic currency for early adaptors, moving forward and right on the cusp of reaching the masses. An exciting time.”
Institutional investors. With major banks such as Morgan Stanley and Goldman Sachs planning to serve the crypto market, Ameduri says waves of capital could be released as institutions feel comfortable entering the market. “This will help build the infrastructure necessary for far more investing,” Ameduri says.
“Crypto moves at an accelerated pace,” Ameduri says, “so it won’t be long before massive-scale adoption kicks in.”
About Daniel Ameduri
Daniel Ameduri (www.FutureMoneyTrends.com) is co-founder of the Future Money Trends newsletter, an authority for financial freedom and economic research in commodities, cryptocurrencies, personal finance and income ideas. A self-made multi-millionaire, Ameduri also has a YouTube channel, VisionVictory, that has received 10 million video views. He’s also been featured in The Wall Street Journal and ABC World News.
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Dear Dave,
My father-in-law wants to help us with our mortgage. We’ve been working hard to pay off our home early, and we’ve reduced what we owe to around $35,000. His idea is to pay off the remainder, then let us pay him back over time. In the past, he has loaned us much smaller amounts and everything has worked out fine. What do you think about this?
Brianne
Dear Brianne,
I’m sure this seems like a winning proposition all the way around. My concern is there’s a big spiritual and emotional issue that has been left out of the equation. The borrower is always slave to the lender, and nowhere is that more true than in a family.
I understand, too, you have a solid track record with this kind of thing. But anytime you borrow money from family you’re playing with fire. When you do something like this, especially with such a large amount, the money issue is likely to be a shadow hovering over your relationship. Family get togethers, special events, and holidays will feel different when you’re there with your lender instead of just good old dad.
I assume your father-in-law is doing well financially, since he can afford to make this offer. And don’t get me wrong, it’s a very kind and generous offer. If I were in his shoes, I might offer instead to pay off the mortgage as a gift to my son and daughter-in-law for working so hard to attain a goal. But it would be a gift. No strings attached.
If you have a nice, stable family, this debt will always be there in the back of your mind. If you have a dysfunctional, control-freak kind of family, it’s going to be right there in front of you constantly. Either way, I don’t think it’s worth the risk.
—Dave
(Fight back against fraud)
Word count: 255
Dear Dave,
We recently learned that my wife’s ex-husband used her social security number to establish several credit card accounts. We’ve written and called the credit card companies, and we’re disputing the charges, but is there anything else we can do to protect ourselves and put an end to this?
Ken
Dear Ken,
You bet there is! File a police report immediately, and if possible, have this guy arrested. He has committed criminal fraud, and it’s not something you should take lightly. Also, put a fraud victim alert on your credit bureau reports today.
Don’t stop with just alerting the credit card companies about this situation. You should be speaking with and communicating via email—plus snail mail, if necessary—directly with the fraud victim division at every credit card company involved. Make sure they understand this is a denial of responsibility and not simply a dispute.
Let them know you’re sorry this happened, but explain that all these charges in your names are the result of a criminal act perpetrated against you. You may have to stand your ground with the credit card companies, because some of them might try to get you to pay it, anyway. Don’t do it!
—Dave
* Dave Ramsey is CEO of Ramsey Solutions. He has authored seven best-selling books, including The Total Money Makeover. The Dave Ramsey Show is heard by more than 14 million listeners each week on 600 radio stations and multiple digital platforms. Follow Dave on the web at daveramsey.com and on Twitter at @DaveRamsey.
Dear Dave,
My wife and I have a friend we met through the Big Brothers Big Sisters program. She has a 1-year-old child, and she recently asked us for some money. We don’t really approve of how she’s choosing to spend her money—she’s spending a lot of it on alcohol and cigarettes—but she does need financial help. What should we do?
Mike
Dear Mike,
I have a very simple rule for situations like this. If someone is bold enough to ask me for my money, I can be bold enough to attach requirements to the money for their own good.
One of two things will happen when you handle things in this manner. They’ll welcome the help and graciously accept your conditions, or they’ll get mad and act like you have no right interfering in their business. I don’t have a problem helping people who have a good heart and really need a break. But if someone cops an attitude with me in this situation, I wouldn’t break out my wallet anytime soon.
Regardless, if you choose to do this, I’d make the money a gift and not a loan. Concentrate on trying to get her on a path where she thinks a little straighter, and, as a result, she will make better choices. Teach her how to make and live off a budget or help her enroll in a personal finance course. But right now, just handing her money is like giving a drunk a drink.
This whole situation is a lot bigger than giving someone $35 for diapers. The answer to that is easy. It’s yes. But in this case I’d probably give it to her in the form of a grocery store gift card. Many of those don’t allow alcohol and cigarette purchases. Or, I’d just go buy diapers and baby food and take them to her. Actually helping people is a lot more work than just throwing money at them. To really help someone, you have to get down in their mess and walk beside them.
Financially speaking, her problem is just as much mismanagement of money as it is a lack of money. Anyone who chooses smokes and alcohol over diapers for their kid needs to be smacked. But since you can’t really do that, you can put conditions on your help that are designed to help her improve her decision-making abilities and, by doing that, improving her life.
—Dave
(Investing in savings bonds)
Word count: 195
Dear Dave,
What do you think I should do with savings bonds I’ve been given over the years?
Ashley
Dear Ashley,
I’d cash them out now and invest them in something better. Savings bonds earn almost no money. Plus, they’re the kind of things people just leave lying around and forget about.
Back in the day it was a big thing to get and give savings bonds. We’d get them for birthday presents and such. Then, we’d wait until they matured and cash them out.
That’s exactly what I’d do in your case, Ashley. Cash them out today and put the money into good growth stock mutual funds. You’ll be glad you did!
—Dave
* Dave Ramsey is America’s trusted voice on money and business. He has authored five New York Times best-selling books: Financial Peace, More Than Enough, The Total Money Makeover, EntreLeadership and Smart Money Smart Kids. His newest best-seller, Smart Money Smart Kids, was written with his daughter Rachel Cruze, and recently debuted at #1. The Dave Ramsey Show is heard by more than 8 million listeners each week on more than 500 radio stations. Follow Dave on Twitter at @DaveRamsey and on the web at daveramsey.com
Dear Dave,
I’m 20 years old, and I’m trying to get out of debt. However, I’m concerned about what might happen when I’m older and don’t have a credit score. My girlfriend says I won’t be able to get a job or rent an apartment without a good one. Is this true?
Ian
Dear Ian,
No, it’s not true. I’m sure your girlfriend is a sweet person, but she has no clue what she’s talking about in this situation.
In either case you can simply explain that reason you don’t have a credit score is because you have no debt. Since you don’t have any debt, you have something known as money. That makes you very stable, and it makes you a fantastic candidate as an employee or tenant.
Listen to me, Ian. I’m a landlord, and if I had my choice between a tenant with no debt and no credit score and someone with a high credit score but lots of debt, I’d take the one who has no debt in a heartbeat. Why? Because that’s the one who is most likely to pay.
Besides, you already have a good credit history if you’ve paid your bills on time. Show them proof of that, if necessary. But taking on a pile of debt to have a high credit score or increase your current score is just plain stupid!
—Dave
(No CDs for kids)
Word count: 266
Dear Dave,
Would it be a good idea to open CD accounts for my two small children?
Abe
Dear Abe,
No. A CD is a Certificate of Deposit. Basically, they’re not much more than savings accounts which carry early withdrawal penalties. They earn about the same as a regular savings account, too, which at the moment is next to nothing. There’s no reason to open them for your kids.
Now, is it a good idea to save money on behalf of your children? Of course, it is. But if the idea is simply to teach and help them save money, I’d recommend simple savings accounts. If you’re talking about wanting to save money for them—like for a college fund—I’d suggest an Educational Savings Account (ESA) with good, growth stock mutual funds inside.
Even if you want to put aside college savings, I’d urge you to go ahead and open regular savings accounts for each of them. We did that for our kids, and I can tell you from experience, you’ll find tons of teachable moments about saving, giving and life in general!
—Dave
* Dave Ramsey is America’s trusted voice on money and business. He has authored four New York Times best-selling books: Financial Peace, More Than Enough, The Total Money Makeover and EntreLeadership. His newest book, written with his daughter Rachel Cruze, is titled Smart Money Smart Kids. It releases April 22. The Dave Ramsey Show is heard by more than 8 million listeners each week on more than 500 radio stations. Follow Dave on Twitter at @DaveRamsey and on the web at daveramsey.com
