147. Why Everyone Will Soon Own Bitcoin and a Path to $1M BTC

It doesn't take much for bitcoin to really explode. Bitcoin is now worth in terms of market cap more than silver 1.3 trillion. We've eaten Silver's lunch. See you later. We're coming for you.

Goldberg's at 100% gold. Market cap Bitcoin's at US$700,000 per coin, mate.

Bitcoin is the exit strategy.

Welcome back to another episode of the Ben and Bergs podcast. I'm Ben, your favorite high school dropout and founder of collective shift alongside Ms. Bergs, your favorite MBA and CEO of Collective Shift. Join us as we bring you world class crypto research and strategies to help you dominate this crypto bull market as well as behind the scenes view of us scaling a fully remote subscription research business here in Australia. If you like the podcast, we'd love for you to leave a subscribe if you're on YouTube or follow us on the podcasting apps. We come to you each and every week absolutely ad free affiliate link free. So we'd love for you to help us out. It's how we grow the podcast now. Bergs. There's some big money rolling into the market, mate. Fidelity now advises their clients to have a 1 to 3% allocation in Bitcoin. So their ETFs like their all in One Conservative Fund, their balance fund, their growth fund and their all in one equity fund all now has a 1 to 3% allocation to Bitcoin and crypto. Holy moly.

How good does it feel mate when you know you were right?

You know the big boys are here now. The big boys are saying if you have a conservative view on the world, you need to own bitcoin. Like oh my goodness, this is massive mate. This is, this is now so far beyond legitimizing bitcoin like it is now in the everyday sphere of this is where the money will flow in from retirement funds, superannuation funds. Like this is balanced investing recommending and actually putting allocations of bitcoin in a balanced view.

Can you imagine going to your super logging in and in the high growth it has 1% allocation to Bitcoin.

I mean, I mean Australia is so far behind. I feel as I'm going to be 110 before that happens. But in the US.

Like this is.

All and, and think about this. What we're really talking about is money keeps flowing in. So if you have investments and you have leftover cash flow at the end of the week or the month, you put it into your investing account, your superannuation 401k, whatever you have, that's constant money going on the buy side. So there's constant demand for assets. And if, if these funds are allocating 1%, there's constant demand and buy side.

Pressure to a limited supply asset.

To a limited supply asset.

Which is bananas, right? Because we're already seeing on the ETF front, Bitcoin ETF 9000 Bitcoin being bought on average per day with only 900 being mined per day. And that in a couple of weeks time is about to go to 450 being mined. That's about to go from a 10x demand versus supply to 20 times demand versus supply.

Exactly right. And what we're talking about here is organic supply that happens naturally through miners that have to sell on market to recoup their costs to pay for their mining rigs, their, their mining efforts. And I saw a post where there was only something crazy like under a thousand Bitcoin or something that was available on Coinbase and Binance. It was their order books, right? And it's like, holy shit. It doesn't take much to bust through that. We need to accept that order books are not static. So as the price goes up, more people will be willing to sell to cash in their profits. But more and more money is flowing into the space that sellers are eventually going to run out because these funds have to hold the bitcoin. A lot of us are holding our bitcoin, Matt. Okay, let's talk about funds. Can you imagine? I'm so glad to see this happen and I'm glad that the big funds are leading the way. Could you imagine what it's like to be a tradfi fund manager? You've been working your ass off. You got 2 to 20 and you've got like a 10% return or 16% return. You're exceptional. And then you look at bitcoin over the last year is 168%. So you've got all your rich clients calling you up going why are you only giving me like 10, 15% and you're charging me so much when I could have just bought bitcoin. And why do you not offer me bitcoin? It's literally forcing them to do it now. And now they have an institutional grade facility which they can do it. They have to add it into their fund or they will be left behind.

That's man, you hit the nail on the head. 2 and 20 on a 15% return and inflation's 10%. You're literally making like 2 2% a year.

Exactly right. And if you put a small percentage of your portfolio, you're not going to miss it. And there is huge upside. And you know, people are forced to have Bitcoin now. You cannot ignore it. Soon they'll be forced to have Ethereum. You cannot ignore it. Soon it'll start to eat more of the financial system, bring efficiencies and bring better gains. These are just things that will naturally happen over time. It may take a longer period of time than we expect, but it will happen. And here's a key thing. Look at ETF spent stock markets are open for 32 and a half hours per week. Bitcoin is open 168 hours per week. It is a 24,7 market. Recently MicroStrategy did like an $800 billion buy of Bitcoin. They did it on a Sunday and it was instant. It wasn't a T +2 transaction. Going through banks, lots of fees, waiting a couple of days. They bought it, they custody it, they have it instantly. And you need to know the difference between an ETF and actually owning the BTC asset. So if, Fine, let's talk about that now. So if you own like the etf, you don't actually own the underlying Bitcoin. You can't get the Bitcoin. You own something which is a proxy for Bitcoin and that price can go up and down and then you can sell it. It's cash in, cash out. If you actually own the Bitcoin.

You have it, you custody it, you have all the benefits that come along with it. You can access the network, you can be a part of the network, you hold that physical asset, it cannot be taken away from you. There is, and there's, there's a ton of benefits that actually come with that. It's difficult to do. But if you're moving up the stack, that is the best thing that you want to spend your money on, actually owning that asset. That can't be taken away from you.

Yeah, because you can't like interact with anything web3 like you can't then go and sell your ETF into Ethereum, for example, or you can't send your Bitcoin to anyone because you own a share of an etf. So yes, you're getting exposure, but you're not under buying the underlying. We don't, you don't own it physically yourself.

Exactly right. And you, you are not able to sign transactions, you're not able to have any claims, chain splits and anything like that. You will not access that. And More and more I think you will start to find that if you own some bitcoin or a certain amount of bitcoin, you will start to get access to certain areas. It may be a conference, it may be a country, it may be a place you can stay. I really believe that a lot of people are going to start integrating this for bitcoin owners. We've seen countries do this and, and, and adopt it in this way. But I think there are going to be benefits we don't even know about today that are going to flow to bitcoin owners.

Yeah, and, and what we're seeing now with the, just the consistent inflows is that they're just buying up the dip so quickly. Burgs. You know, historically we, we usually seen bull markets multiple 10% plus corrections. So in the last bull market from March 2020, the COVID low, to April 2021, the all time high or previous all time high, we had 13, 10% plus drawdowns between that time. Now we're getting drawdowns this time around, but they are getting bought up so quickly. Like we're talking within hours these corrections are being bought up, which is, I've never seen this before in crypto. I mean we usually have corrections that last multiple days, sometimes weeks in bull markets. But just a volume of inflows coming in is extraordinary, which is not allowing anyone, you know, really to.

Get involved if they're waiting for a pullback. Like we're getting 10, 9%, 12% corrections are just being bought up so quickly.

Isn't it great to see, mate, it's a different.

State in the market where, you know, we have this constant buy pressure. And even just when I was sitting on my phone for like a day and a half looking at the charts, if we bust through to all time highs, we're like 69, almost 70, back down, back up, back down. And really we're going into uncharted territory. We're now in price discovery mode. Bitcoin has never been this high before. And if you think about it, anyone that has ever bought bitcoin, they will be in profit if you've just held it. And when they start to hit that 69, think about all those people that bought the top. They've been pissed off for two years and they want to sell, they want to get out. Right? We have a lot of those people and a lot of people, you know, putting pressure on shorting those kind of things, a lot of market mechanics. But then we busted through 70. Then immediately it's like 71, 72. And it's like holy. And a lot of people still aren't here to keep buying. Like this is just the beginning of the beginning. Like we have ETFs around the world. We still don't have one in Australia. We are pretty sure they're waiting for an Asian one as well. Like once this is really, really like properly adopted and then you have an Ethereum ETF as well and you have a halving this confluence of events and you add time to that as well as debasement of currencies. This thing is only going one way.

Yeah, yeah, I agree. And we're seeing even the crypto apps ranking on the app stores just the last month in February. The, the apps, the crypto apps are just, you know, catapulted right up into the top hundred. Some even hit the top ten, I think recently as well. So yeah, we're seeing a lot more people getting back interested. I, I mean I would expect there to be a deeper correction around the, the time of the bitcoin halving. Just a bit of a sell the news event. I think people are really understanding the bitcoin halving now. I mean man bergs even on my Instagram, like my bitcoin halving video is nearly up to 1.1 million views. Like it's just, it's insane the amount of people wanting to learn about the halving event. I think it's really in the mainstream now, which we predicted, which isn't that hard to predict honestly. Happens every four years. But like if you don't know that then you're gonna miss out on these gains. I would expect there to be a correction around the time of the bitcoin halving with a bit of a sell off afterwards. But honestly the way this is going, I'm gonna continue, I think we're gonna continue to see heavy inflows coming in which ultimately is gonna continue to push the price of the space up. And historically the peak of a bull market is 12 to 18 months after the bitcoin halving event. So you know, potentially things have moved faster than previous cycles. So that could be brought back to about a year after the halving, which still keeps us 12 months of growth.

Over the next year. So yeah, it's an interesting time.

Let's say that we did see a 30% correction from $70,000. So that's 21,000. You're looking at 49,000 Bitcoin.

How many people do you think would back up the truck if Bitcoin was 49? Thousand dollars.

I think the smart money would, I think retailers say oh, we're waiting for a dip, it goes down 20%. They're like oh, it could go down further.

How much do you think Michael Seller would buy? He would buy the entire market, mate.

Literally. I mean he bought 700 million at the top. Like he could continue to buy the.

Top because he's always buying the top.

He always buy the top. He doesn't care. Yeah, yeah, no, I think these dips get bought up pretty quick. I mean look at what we just. We're getting 10% corrections now. They're getting bought up in hours. Like.

If we do get a correction, I don't think it lasts long.

And don't be fooled by thinking that bitcoin is expensive. Like it's $0.07 million per coin, right? This thing like when you say it's a million dollars per coin, people freak out and they think you're weird. But you add a bit of time, you see what's going on in the world and it doesn't take much for bitcoin to really explode. And we talk about, you know, 10xs, 20xs, those kind of things. I think this is going to eat a significant amount of the financial system. Gold is now worth in terms of. Bitcoin is now worth in terms of market cap more than silver. I think it was like 1.3 trillion.

And, and Berg just, just, and just so everyone's clear on this.

Big funds like Fidelity are putting bitcoin in their conservative fund. They are basically saying and recommending to all their clients that you need to own bitcoin. There is a limited number of bitcoin out there. This isn't just like cash that just continues to be printed. There's only a limited number of things. How many people in the world are not balanced in their investments?

Like can you imagine like a 60 or 70 year old that has a Fidelity account? What do you think when you think conservative? You just like get off my lawns kids, that kind of thing, right? These people now have 1% bitcoin. Isn't that the wildest thing? And they're literally going to see the number go up. They're going to generate wealth from this. They're going to benefit from this. It's going to become a commonplace thing. And just back to the silver. We've eaten silver's lunch. See you later. We're coming for you. Gold. And then it's going to be over. Gold, you know, it's like what was gold like 101112 trillion, something like that.

I think it's 14 trillion.

14 trillion. Well, we're coming for you. We've got every property of gold, but we're better, we're transportable, we're instant 24. 7 global mutual censorship resistant. See you later.

Gold Berg said 100% gold market cap at $14 trillion. Market cap. Bitcoin's at US$700,000 per coin.

Okay, let's talk about that.

I firmly believe 1 million in Australia, Aussie.

There you go. I firmly believe bitcoin is a better gold. Oh yeah, same in every single way. And you look at the gold market cap and you say, Gee, $700,000. Bitcoin. Could you imagine 10 years ago or however long ago, and bitcoin was like 200 bucks and looking at it now at 70,000. But when you look at the properties behind it and you add time, this is only going one way. And when we take over gold, which just a side conversation price aside, do you think bitcoin will overtake gold market cap?

Oh, yeah, right.

That's, that's 700,000 per coin. And it's probably actually going to be.

More because the supply is just so, so limited. A lot of coins are lost. You know, that's, that's like fully diluted market cap where a lot of the coins are actually lost.

Bergs, I want to get back because it's so crazy just talking about this now, like where we are in the market right now to some of our older episodes on the Vernon Burg. I think a lot of people probably weren't listening to us two years ago when we're talking about this, you know, talking about back when crypto bitcoin was like 15,000, 20,000 and talking about how it could get to 1.2 million. We did an episode two years ago on how we thought bitcoin could get to 1.2 million. This was two and a half, two and a half years ago we did this episode. I can't find it now. But anyway, very early on and you know, crazy, right? Crazy things to be saying. Two guys on a podcast talking about, we know why bitcoin get to 1.2 million now. It's like people actually like, wow, okay, maybe this could actually happen. You know, that's, that's changing two years.

It is. And okay, so we go after the gold market cap and then it's going to start eating a lot more. I believe bitcoin will eat property wealth.

It is the exit strategy.

It is the exit strategy. So think about this if you're buying more and more property and think about this, we're starting to see bitcoin backed loans, equity loans at decent rates. So you can borrow against your house, you can now borrow against Bitcoin. Bitcoin I think will be seen as the apex asset. It is the best asset to own. And instead of, let's say you've got your home, you got to live in your suite, you got a bit of money, you want to invest, what do you invest in? Do you buy that physical thing in a market with rules and laws and everything that you don't control? Or do you buy something where you know exactly where the code is going to be, where it's decentralized, where you can vote with things, where you can participate in the network and it's a much easier asset to offload. It's highly, highly liquid and you can keep in your head with 12 words.

Yeah.

And also, which asset are you going to buy? And think about how big the property market is globally. I think a lot of that is going to flow to Bitcoin. Yeah, I think then what is bitcoin going to be priced in?

Well then. And then I think, yeah, as we said, balance sheets of companies, high net wealth, individuals, superannuation funds, like they're all getting debased by fake currency. Bitcoin is the only thing that is a hedge against that.

Exactly. And you look at what Michael Saylor said where bitcoin solves rich people problems, company problems and not so well off people problems. So if you live in Argentina today or Venezuela and you bought some bitcoin, it will now be worth more and it's probably more stable than your current currency. If you are rich and you bought bitcoin, your wealth has increased. If you're a company and you're holding it in aud, you're screwed with that cash on your balance sheet. If you held bitcoin, you're doing really, really well.

Right. And these are simple basic arguments. These aren't even the complicated financial arguments and philosophical arguments. These are just like the factual arguments of where things are headed.

What a time to be alive.

Honestly, mate, Bitcoin is the exit strategy.

Bitcoin is the exit strategy. That's all you need to know.

So good.

We haven't even spoken about like Eth or Solana and like these other coins that are just also just going to.

Let's. I want to, I want to have a quick two minutes on that. Let's talk about that. So we talk about Bitcoin because it's simple to understand. It's leading the way in, in terms of adoption in traditional finance markets. Let's talk about when Ethereum comes online. People are starting to learn about Bitcoin. They're asking about the halving. They're saying, how does that work? You know, is a half, does it double in price? What does it mean? What are miners? You start to understand a bit more, you go down the rabbit hole a little bit, then you start to understand Ethereum smart contracts, efficiencies, things that you can do, and you're like, oh, okay. And then there's these other things that slowly brings people more and more into the ecosystem. Because whether you like it or not, if you're in Fidelity, you're starting to own Bitcoin. If you own something, generally you want to know about it. If I'm putting my money into it, and you start to learn more and more and you're like, okay, how do I skip ahead and not buy at the retail end, like, you know, through a fund or a market? How do I go a couple of leapfrogs ahead and start to participate? And, you know, I don't. You get that. Was it that accessibility bonus where you can go in there and yes, you have to pay a tax to do it because it's, it's. You have to spend your time, you have to spend your money, but you get ahead of everyone else, you learn more, you participate more, you get into the thing before everyone else. This is going to bring a lot of people across into crypto and expand what crypto is and its capability.

Yeah, and you can ultimately just grow your Bitcoin portfolio through the altcoins and, you know, holding something like Ethereum or Solana or whatever it might be, these tokens are going to get.

A lot of attention from retail investors and money flows from the blue chips down. And I fully expect there will come a point where Bitcoin will start to consolidate and the money will flow down into altcoins. And that's where you can, in a bull market, you can make a lot of money. You don't want to be holding those in a bear market. You want to be rotating those back into stables, btc, eth, or cash. But there's a lot of money to be made in phase two of bull markets if you can, if you can play your cards right 100%.

And some people don't actually know about, like, crypto whales and what they actually are. These are people that bought, you know, Ethereum at like a couple of bucks, six bucks, whatever it was and it's like $4,000 now. These are people that maybe put in five grand, ten grand, waited ten years and now they're billionaires. You don't know who these people are. There's some weird little avatar in a, in a telegram that you're in. But they have the capability to move markets. They are completely off the grid. Right. They didn't use an exchange, they didn't kyc, they didn't do all that sort of shit. They either mined it or received it another way. Made up cash, whatever it may be back in the day. They have lots and lots of money. When their stack goes up, they can't cash out to fiat. They want to chase further gains. They can move entire markets. Like this is a level of wealth that has not been seen before, right? And these people are anon, you can see them moving on chain and you're like holy, holy shit. Like some people are just like yeah, I got a few thousand eighth. And I'm like what the fuck, you know what I mean? So this is like a natural market progression. These people are chasing profits, we're all chasing profits. And we are still in phase one. And moving across to phase two into altcoins is where you can make significant money. It is very, very rough seas, but there is money to be made there. And then think about what you do next and what you rotate into.

Yeah, top, top shelf burgs. I think we leave it there. If you want more help with the strategy. We are now doing pro member onboarding series for all of our new members. So we take you on a four week strategy process where you hear my strategy, we go through my investments, I help you give the tools to help you create your own strategy through our 10 step process. You have a session with our analysts where we give you our market narratives, our token ratings, where we think the market's going, our front new investments and then we have a full dedicated Q and A session so we can help answer all your questions, get you on board, get your plan right and ultimately nail this bull market with exit strategies and everything in between. So if you like that, check out our website, go over collective shift and you can check that out. But yeah folks, what another good episode I enjoyed.

Absolutely mate. And just what you said there is so important like we're believers in like teaching people to fish. We don't want you to go away and do a course and do all this sort of. No, we give you what you need to know. You apply your, you know, you create your strategy. For what you want to do and we provide you with a research analysis and keep you on top of the market. You know, this, this is a real accelerator and an amazing way to do things. Rather than some influencer telling you to buy an altcoin, it's like, yeah, great, you're dumping your bags on me. What next? Yeah, this is like, yeah, a proper strategy to see you through this market.

And the community and accountability to help you execute, you know, because so many people just don't execute at the top because they don't know what they're doing and they don't have the people around them. So having, you know, a thousand plus member community as well to help you navigate the waters as well has been super valuable.

Absolutely, Matt. It's what we want to do. We want to build good crypto citizens and then help change people's lives.

So head over to our website. You can sign up directly on our website or you can join one of our live masterclasses. They're free, where we give you a lot of free info and help you on your way. We'd love to see you on one of them. So head over the website and check it out, but otherwise we'll see you on the next episode.

Thanks, champions.