Cypher Metaverse Inc. (CSE:CODE) ("CODE" or the "Company") announces today that it has entered into settlement agreements that will see $149,215 of debt settled by the issuance of 1,755,470 shares at a deemed price of $0.085, and the Company's balance sheet much improved
No finders fees will be paid. The securities issued will be subject to a four-month and one-day hold period from closing.
Certain insiders participated in respect to accrued and unpaid fees and expenses. The Company is relying on exemptions contained in NI 61-101 from minority approval and valuation requirements for related party transactions.
About Cypher Metaverse Inc.
Cypher Metaverse Inc. seeks early-stage investments in emerging technology sectors, including the blockchain ecosystem, fintech and the metaverse. The Company identifies such opportunities and applies its relationships and capital to advance its interests.
The Company's head office is located at 1780-355 Burrard Street, Vancouver, BC, V6C 2C8. The common shares of CODE ("CODE Common Shares") are currently listed on the CSE and CODE is a reporting issuer in the provinces of British Columbia, Alberta and Ontario.
Cautionary Statement Regarding Forward-Looking Information
Statements in this press release regarding the Company which are not historical facts are "forward-looking statements" that involve risks and uncertainties. Such forward-looking information can be generally identified by terms such as "may", "expect", "estimate", "anticipate", "intend", "believe", and "continue" or the negative thereof or similar variations. Since forward-looking statements address future events and conditions, by their very nature, they involve inherent risks and uncertainties. The Company provides forward-looking statements for the purpose of conveying information about current expectations and plans relating to the future, and readers are cautioned that such forward-looking statements may not be appropriate for other purposes. By its nature, this forward-looking information is subject to inherent risks and uncertainties that may be general or specific and which give rise to the possibility that expectations, forecasts, predictions, projections or conclusions may not prove to be accurate, that assumptions may not be correct, and that objectives, strategic goals and priorities may not be achieved. These risks and uncertainties include but are not limited to those identified and reported under the Company's disclosure documents available on its SEDAR+ profile at www.sedarplus.com.
Contact Information
For further information please contact:
Brian Keane, Director
Cypher Metaverse Inc.
Phone: Toll-Free (877) 806-CODE (2633) or 1 (778) 806-5150
E-mail: info@cypher-meta.com
www.cypher-meta.com
Neither the CSE nor its Regulation Services Provider (as that term is defined in policies of the CSE) accepts responsibility for the adequacy or accuracy of this press release.
SOURCE: Cypher Metaverse Inc.
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Cypher Metaverse Inc. (CSE:CODE) ("CODE" or the "Company") is pleased to announce that it is continuing in assisting the financing for the acquisition of Agapi Luxury Brands Inc. ("Agapi"). The secured bridge loan entered between CODE and Agapi on May 10, 2023, has been increased from $600,000 to $950,000 of which $886,692 has been advanced to date to advance Agapi's business plan and growth initiatives
Agapi continues to expand its sales of its luxury cigars. After receiving Cypher shareholder approval for the acquisition of Agapi, Cypher and Agapi are completing their current financials statements and listing statement, after which it is anticipated that the exchange will provide their final consent to closing.
About Cypher Metaverse Inc.
CODE seeks early-stage investments in emerging technology sectors, including the blockchain ecosystem, fintech and the metaverse. The Company identifies such opportunities and applies its relationships and capital to advance its interests.
The Company's head office is located at 1780-355 Burrard Street, Vancouver, BC, V6C 2C8, and its Common Shares are currently listed on the CSE. CODE is a reporting issuer in the Provinces of British Columbia, Alberta, and Ontario.
Contact Information
For further information, please contact:
Cypher Metaverse Inc.
Brian Keane - Director
Phone: Toll-Free (877) 806-CODE (2633) or 1 (778) 806-5150
Neither the CSE nor its Regulation Services Provider (as that term is defined in the policies of the CSE) accepts responsibility for the adequacy or accuracy of this press release.
Forward-Looking Statements
This news release contains "forward-looking information" within the meaning of applicable securities laws relating to the exploration and development of Agapi's products, the proposal to complete the Transaction and associated transactions, including statements regarding the terms and conditions of the Transaction the Exchange Ratio, the name change of the Company, the Private Placement, the use of proceeds of the Private Placement, the Bridge Loan and the proposed directors and officers of the Resulting Issuer. The information about Agapi contained in the press release has not been independently verified by CODE. Although CODE believes in light of the experience of its officers and directors, current conditions and expected future developments and other factors that have been considered appropriate that the expectations reflected in this forward-looking information are reasonable, undue reliance should not be placed on them because CODE can give no assurance that they will prove to be correct. Readers are cautioned to not place undue reliance on forward-looking information. Actual results and developments may differ materially from those contemplated by these statements depending on, among other things, the risks that the parties will not proceed with the Transaction, the name change of the Company, the Private Placement, the appointment of the proposed directors and officers of the Resulting Issuer and associated transactions, that the ultimate terms of the Transaction, the Private Placement, the appointment of the proposed directors and officers of the Resulting Issuer and associated transactions will differ from those that currently are contemplated, and that the Transaction, the name change of the Company, the Private Placement, the appointment of the proposed directors and officers of the Resulting Issuer and associated transactions will not be successfully completed for any reason (including the failure to obtain the required approvals or clearances from regulatory authorities). The terms and conditions of the Transaction may change based on CODE's due diligence and the receipt of tax, corporate and securities law advice for both CODE and Agapi. The statements in this press release are made as of the date of this press release. CODE undertakes no obligation to comment on analyses, expectations or statements made by third-parties in respect of CODE, Agapi, their securities, or their respective financial or operating results (as applicable) except as required by securities laws.
SOURCE:Cypher Metaverse Inc.
News Provided by ACCESSWIRE via QuoteMedia
Cypher Metaverse Inc. (CSE:CODE) ("CODE" or the "Company") is please to announce that it has closed its previously announced non-brokered private placement of 2,325,000 units ("Units") at a price of $0.12 per Unit for aggregate gross proceeds of $279,000 (the "Financing
Under the Financing, each Unit consists of one common share in the capital of the Company ("Common Share") and one-half of one Common Share purchase warrant (each whole warrant, a "Warrant"). Each whole Warrant entitles the holder thereof to subscribe for one additional Common Share at a price of $0.15 for a period of two years from the date of closing, subject to the Company's option to accelerate the expiry date if the stock trades at $0.20 for ten trading days.
In connection with the Financing, the Company paid finder's fees to qualified finders in the amount of $18,755 and issued 156,300 broker warrants (the "Broker Warrants"). The Broker Warrants are subject to the same terms as the Warrants.
In accordance with the policies of the Canadian Securities Exchange (the "CSE") and applicable securities legislation, the Common Shares and Warrants comprising the Units will be subject to a four-month and one-day hold period.
The Company intends to use the net proceeds of the Financing for the acquisition of Agapi Luxury Brands Inc. ("Agapi"). Pursuant to the Company's agreement to loan Agapi funds as it works through the CSE's RTO process, the Company has now loaned Agapi a total of $886,692 to advance its business plan.
About Cypher Metaverse Inc.
CODE seeks early-stage investments in emerging technology sectors, including the blockchain ecosystem, fintech and the metaverse. The Company identifies such opportunities and applies its relationships and capital to advance its interests.
The Company's head office is located at 1780-355 Burrard Street, Vancouver, BC, V6C 2C8, and its Common Shares are currently listed on the CSE. CODE is a reporting issuer in the Provinces of British Columbia, Alberta, and Ontario.
Contact Information
For further information, please contact:
Cypher Metaverse Inc.
Brian Keane - Director
Phone: Toll-Free (877) 806-CODE (2633) or 1 (778) 806-5150
Neither the CSE nor its Regulation Services Provider (as that term is defined in the policies of the CSE) accepts responsibility for the adequacy or accuracy of this press release.
SOURCE: Cypher Metaverse Inc.
News Provided by ACCESSWIRE via QuoteMedia
Cypher Metaverse Inc. (CSE:CODE) ("CODE" or the "Company") is pleased to announce that it is undertaking a non-brokered private placement of up to $400,000. The Company will issue up to 3,333,333 units at a price of $0.12 per unit. Each unit consists of one common share and one half of a common share warrant. Each whole warrant entitles the holder to subscribe for one additional common share for $0.15 for a period of 2 years from the date of closing, subject to the Corporation's option to accelerate the expiry date if the stock trades at $0.20 for 10 trading days
The Company intends to use the net proceeds of the Offering for general working capital and acquisition of Agapi Luxury Brands Inc.
The Company may pay qualified finders fees of up to 8% in cash and 8% in brokers warrants.
About Cypher Metaverse Inc.
Cypher Metaverse Inc. seeks early-stage investments in emerging technology sectors, including the blockchain ecosystem, fintech and the metaverse. The Company identifies such opportunities and applies its relationships and capital to advance its interests.
The Company's head office is located at 1780-355 Burrard Street, Vancouver, BC, V6C 2C8. The common shares of CODE ("CODE Common Shares") are currently listed on the CSE and CODE is a reporting issuer in the provinces of British Columbia, Alberta and Ontario.
For further information please contact:
Cypher Metaverse Inc.
Brian Keane - Director
Phone: Toll-Free (877) 806-CODE (2633) or 1 (778) 806-5150
Neither the CSE nor its Regulation Services Provider (as that term is defined in policies of the CSE) accepts responsibility for the adequacy or accuracy of this press release.
SOURCE: Cypher Metaverse Inc.
News Provided by ACCESSWIRE via QuoteMedia
Not for distribution to U.S. Newswire Services or for dissemination in the United States of America. Any failure to comply with this restriction may constitute a violation of U.S. Securities laws.
Cypher Metaverse Inc. (CSE: CODE) ("CODE" or the "Company") is pleased to announce that it has entered into a binding definitive agreement ("Definitive Agreement") dated August 29, 2023, in respect to a business combination (the "Transaction") with Agapi Luxury Brands Inc. ("Agapi"). It is expected that upon completion of the Transaction, the combined entity (the "Resulting Issuer") will meet the listing requirements for an industrial issuer under the policies of the CSE Venture Exchange (the "CSE"). The CSE has conditionally accepted the Transaction, and the Company will hold a shareholder meeting on December 1, 2023 to give its shareholders the opportunity to consider the Transaction and approve the same
Terms of the Transaction
The Transaction is expected to be completed by way of a share exchange, which will result in Agapi becoming a wholly-owned subsidiary of CODE.
Upon the satisfaction or waiver of the conditions set out in the Definitive Agreement, the following, among other things, will be completed in connection with the Transaction:
The Transaction is a non-arm's length transaction or a related party transaction pursuant to the policies of the CSE and NI 61-103 as the CEO of CODE is a significant shareholder of Agapi. As a result, CODE is being represented in these negotiations by a special committee made of up of independent directors. In addition the Company has commissioned an independent valuation of Agapi and will seek the approval of disinterested shareholders.
Private Placement Financing
In connection with and as a condition to the Transaction, Agapi intends to complete an equity financing of Agapi Common Shares for minimum gross proceeds of $750,000 (the "Private Placement"). It is expected that the issue price per Agapi Common Share will be $0.12. The Agapi Common Shares are expected to be sold to "accredited investors" and other parties pursuant to exemptions from prospectus requirements under Canadian securities laws.
The Private Placement is intended to be completed prior to or concurrently with closing of the Transaction. The net proceeds of the Private Placement will be used for working capital and general corporate purposes.
Conditions of the Transaction
Completion of the Transaction is subject to the satisfaction of customary closing conditions, including: (i) receipt of all required approvals and consents relating to the Transaction, including without limitation any approvals of the shareholders of CODE and Agapi as required by the CSE and under applicable corporate or securities laws; (ii) completion of the Private Placement; and (iii) the CSE's final approval for listing the shares of the Resulting Issuer.
Trading Halt
Trading in CODE Common Shares on the CSE will remain halted in compliance with the policies of the CSE. It is not expected that trading in the CODE Common Shares will resume prior to the Closing.
Filing Statement
In connection with the Transaction and in compliance with the policies of the CSE, CODE will file on SEDAR by September 29, 2023 the information circular which will contain details regarding the Transaction, CODE, Agapi and the Resulting Issuer, including proposed management of the Resulting Issuer. .
About Cypher Metaverse Inc.
Cypher Metaverse Inc. seeks early-stage investments in emerging technology sectors, including the blockchain ecosystem, fintech and the metaverse. The Company identifies such opportunities and applies its relationships and capital to advance its interests.
The Company's head office is located at 1780-355 Burrard Street, Vancouver, BC, V6C 2C8. The common shares of CODE ("CODE Common Shares") are currently listed on the CSE and CODE is a reporting issuer in the provinces of British Columbia, Alberta and Ontario.
CODE currently has 15,571,906 CODE Common Shares issued and outstanding and securities exercisable or exchangeable into 3,288,070 CODE Common Shares.
About Agapi Luxury Brands Inc.
Agapi's premium luxury branded cigars sold under the brand "Freud Cigar Co.", are exclusively handcrafted using the finest tobacco leaves that are carefully selected and aged to perfection, and artistically blended to produce an unforgettable smoking experience for the luxury consumer. The company has partnered with renowned industry veterans Eladio Diaz and Wiber Ventura with the aim to disrupt the luxury cigar segment. The company has successfully commercialized products in the US and international markets selling over 40,000 and 10,000 cigars in each respective market.
Agapi is a private company and was incorporated under the Business Corporations Act (British Columbia) on June 11, 2021. Agapi's head office is located at 1780-355 Burrard Street, Vancouver, BC, V6C 2C8.
Agapi currently has approximately 65,571,906 common shares ("Agapi Common Shares") issued and outstanding and securities exercisable or exchangeable into approximately 84,542,058 Agapi Common Shares .
For further information please contact:
Cypher Metaverse Inc. Corporate Communications
Brian Keane - Director
Phone: Toll-Free (877) 806-CODE (2633) or 1 (778) 806-5150
Agapi Luxury Brands Inc.
David Stadnyk, CEO
All information in this press release relating to Agapi has been provided by Agapi and is the sole responsibility of Agapi.
Cautionary Note
Completion of the Transaction is subject to a number of conditions, including but not limited to, CSE acceptance and if applicable pursuant to CSE requirements, majority of the minority shareholder approval. Where applicable, the Transaction cannot close until the required shareholder approval is obtained. There can be no assurance that the Transaction will be completed as proposed or at all.
Investors are cautioned that, except as disclosed in the management information circular or filing statement to be prepared in connection with the transaction, any information released or received with respect to the Transaction may not be accurate or complete and should not be relied upon.
The CSE has in no way passed upon the merits of the Transaction and has neither approved nor disapproved the contents of this press release.
Neither the CSE nor its Regulation Services Provider (as that term is defined in policies of the CSE) accepts responsibility for the adequacy or accuracy of this press release.
Forward-Looking Statements
This news release contains "forward-looking information" within the meaning of applicable securities laws relating to the exploration and development of Agapi's products, the proposal to complete the Transaction and associated transactions, including statements regarding the terms and conditions of the Transaction the Exchange Ratio, the name change of the Company, the Private Placement, the use of proceeds of the Private Placement and the proposed directors and officers of the Resulting Issuer. The information about Agapi contained in the press release has not been independently verified by CODE. Although CODE believes in light of the experience of its officers and directors, current conditions and expected future developments and other factors that have been considered appropriate that the expectations reflected in this forward-looking information are reasonable, undue reliance should not be placed on them because CODE can give no assurance that they will prove to be correct. Readers are cautioned to not place undue reliance on forward-looking information. Actual results and developments may differ materially from those contemplated by these statements depending on, among other things, the risks that the parties will not proceed with the Transaction, the name change of the Company, the Private Placement, the appointment of the proposed directors and officers of the Resulting Issuer and associated transactions, that the ultimate terms of the Transaction, the Private Placement, the appointment of the proposed directors and officers of the Resulting Issuer and associated transactions will differ from those that currently are contemplated, and that the Transaction, the name change of the Company, the Private Placement, the appointment of the proposed directors and officers of the Resulting Issuer and associated transactions will not be successfully completed for any reason (including the failure to obtain the required approvals or clearances from regulatory authorities). The terms and conditions of the Transaction may change based on receipt of tax, corporate and securities law advice for both CODE and Agapi. The statements in this press release are made as of the date of this press release. CODE undertakes no obligation to comment on analyses, expectations or statements made by third-parties in respect of CODE, Agapi, their securities, or their respective financial or operating results (as applicable) except as required by securities laws.
SOURCE: Cypher Metaverse Inc.
News Provided by ACCESSWIRE via QuoteMedia
Bitcoin is created through a process called mining, in which Bitcoin miners compete with each other to solve an algorithmic problem. Once the problem is solved, a new block is added to the blockchain, and the miner who solved the problem is rewarded with a set amount of newly generated Bitcoin. When Bitcoin was introduced in 2009, the reward rate was 50 Bitcoin for every block mined.
The Bitcoin halving is scheduled to happen approximately every four years or after the mining of 210,000 blocks; the halving is not triggered by the passing of a specific amount of time, and the actual time between halvings can vary slightly due to fluctuations in mining difficulty and network hash rate, which is a measure of the total computational power being used to mine Bitcoin.
This year’s halving is set to take place on or around April 20, 2024. The date is based on this estimate, which changes with the mining of each new block. Following the three previous halving events, which occurred in 2012, 2016 and 2020, the reward rate now sits at 6.25 Bitcoin. The upcoming halving will drop the rate even further to 3.125 Bitcoin per block.
The principles of the halving are written directly into Bitcoin’s network. By reducing block rewards, the halving slows down the rate at which new Bitcoins are created. This controlled supply is intended to combat inflation so Bitcoin can maintain its value over time. As the halving events progress, the supply of new coins will gradually decrease until all 21 million Bitcoins are in circulation.
Bitcoin’s halving has significant implications for the cryptocurrency’s mining activity and supply because of how Bitcoin mining works.
The mining process, also known as block time, typically takes around 10 minutes. To maintain a consistent block time, the Bitcoin network adjusts the mining difficulty based on hash rate, a measure of computational power used to mine Bitcoin and process transactions. An increase in power indicates that more miners are competing to create new blocks and earn Bitcoin rewards, so the puzzle becomes harder. When fewer miners are competing, the puzzle becomes easier. This ensures that new blocks are created at a steady rate, regardless of how many miners are competing to create them.
Historically, the hash rate has risen leading up to halving events, only to drop off in the weeks after as inefficient miners are weeded out.
“One of the things that happens is that these miners that have less efficient equipment have to get out of the business, right? If they have old equipment and equipment that absorbs too much energy, they're not going to be able to pay for that when the mining reward drops,” Eberle explained.
Currently, hash rates that he describes as “record-high” are driven by large mining companies introducing new, faster and more efficient machines while still utilizing older machines that may become obsolete in a few months. Mining companies have already been making moves to this end in 2024. For example, Bitcoin miner Riot Platforms bought new miners in anticipation of the halving on February 27, the same day that CleanSpark completed the acquisition of three data centers in Mississippi.
This efficiency benefits investors as miners consistently sell Bitcoin to cover operational costs and make a profit when production costs are lower than the selling price.
CoinShares suggested in its 2024 Crypto Outlook report that miners may be in “better shape” in 2024 due to reduced debt, larger scale of operations and equity finance options. Bitcoin’s price has also been bolstered by the approval of spot Bitcoin ETFs and the US Federal Reserve’s current plans to ease monetary policy later this year.
The authors of the report, which was released in January, predicted that 2024 will be a “dual cycle year.” The sector began the year in a rebalancing phase, which CoinShares expects to persist until after the halving. At that point, it will enter the mining gold rush as the price of Bitcoin outpaces miners’ ability to deploy new hash rate. The firm estimates that mining 1 Bitcoin will cost approximately US$37,856 after the halving.
“So, from an investor standpoint,” Eberle continued, “the reason the halving is substantial is that these miners, to pay for their ongoing operations — whether it's electricity costs for their warehouses (or) buying new equipment — they're a consistent seller of Bitcoin. As long as their cost to produce Bitcoins is lower than what they’re selling for, they make a profit. Inefficient miners will be forced out if they don't do those upgrades.”
Bitcoin often surges leading up to the halving, although, with only three halvings in history, it’s difficult to assertively identify price trends.
Bitcoin USD price chart 11/21/2012 to 12/05/2013
Chart via TradingView
The first Bitcoin halving on November 28, 2012, saw the mining reward drop from 50 to 25 Bitcoins. While Bitcoin was still a niche product at the time, it had started to gain mainstream attention, partly due to economic uncertainty in Europe. Bitcoin’s value had risen from around US$5.50 in January 2012 to about US$12 by the November halving, indicating a gradual increase in interest and adoption. In the following months, Bitcoin continued to attract attention and its price grew substantially. By the time a year had passed after the halving, Bitcoin’s price was US$1,013. This growth marked the beginning of its journey toward mainstream recognition as a potential alternative asset class. However, it was not long-lived, and moved back down to under US$300 by mid-2015.
Bitcoin USD price chart 07/02/2016 to 07/16/2017
Chart via TradingView
By the time the second Bitcoin halving occurred on July 9, 2016, the cryptocurrency’s value had climbed back up to US$648. Over the following year, Bitcoin experienced substantial growth as the growing excitement and positive sentiment surrounding it resulted in FOMO — fear of missing out — leading more people to invest and pushing the price past US$2,500 on June 3, 2017.
Large financial institutions began to take notice of blockchain technology’s potential, which resulted in further price appreciation for the most well-known cryptocurrency. Bitcoin hit a then all-time high of US$19,783.21 in December 2017.
Bitcoin’s overall upward trend in this period demonstrated the increasing interest in cryptocurrencies and their potential for substantial long-term growth. However, growing concerns about potential regulatory crackdowns led many investors to sell their Bitcoin holdings in early 2018, causing a decline in its value.
Bitcoin USD price chart 05/04/2020 to 05/18/2021
Chart via TradingView
The most recent halving happened on May 11, 2020, and it reduced block rewards from 12.5 Bitcoin to the current rate of 6.125. Bitcoin’s price on the day of the halving was US$7,935.10. Amidst all that was going on in the world in 2020, the halving was anticlimactic, with little fanfare and not much price movement.
However, 2020 became a very influential year for crypto overall, and myriad factors contributed to Bitcoin price action. The outbreak of COVID-19 hit global economies hard, and some experts became worried that large stimulus packages could lead to inflation and a weakening of fiat currencies. At the time, macro trader Paul Jones and economist Lorenzo Giorgianna named cryptocurrency as a potential safe-haven asset akin to gold, which prompted an influx of new investors.
Additionally, excitement for the decentralized finance industry (DeFi) kicked off circa June to September 2020, and billions of dollars were poured into the subsector. By the fall, the world was awash in DeFi and crypto projects as Bitcoin kept gaining momentum, hailed as the “gold standard” among digitized currencies. Large institutions like PayPal (NASDAQ:PYPL) and Square, now a part of Block (NYSE:SQ), began investing in or adopting Bitcoin and other cryptocurrencies, arguably kicking off mainstream adoption.
"I think cryptocurrency's here to stay," Rick Rieder, chief investment officer of BlackRock, told CNBC at the time.
Bitcoin ended 2020 valued above US$28,000, and exactly one year after the 2020 halving it was worth around US$56,000. While it faltered in mid-2021, it recovered, and in November 2021, it hit a then all-time high of US$68,000.
Over the years, halvings have stirred up enthusiasm, but 2024’s halving might be the most highly anticipated given the recent surge in market activity brought on largely by the January 10 approval of spot Bitcoin ETFs. Bitcoin ETFs allow risk-avoidant investors to get in on the price action of Bitcoin without the hassle of buying it.
“There are people that enjoy the idea of being able to have their own hardware or software wallet and custody of Bitcoin itself, but for most people, it's pretty intimidating,” Eberle said. “The last thing someone wants to do is make a mistake and then lose a substantial amount of their assets, right? And so this ETF, it's not a perfect replication of Bitcoin, but it's certainly a simple way to replicate exposure to Bitcoin. And so that's opened it up to people that would have never bought Bitcoin in their own right.”
After a rough 2022, the latter half of 2023 saw a crypto renaissance, with legal victories against the SEC and the likely promise of spot Bitcoin ETFs bringing more institutional investment, reigniting faith in the industry.
Since the US Securities and Exchange Commission delivered its ruling, the price of Bitcoin has surged to highs not seen since 2021. On February 28, Bitcoin ETFs reached a new volume record of US$7.6 billion. Several sources have cited the upcoming halving as one of the forces that drove the price of Bitcoin above its previous highest value of US$69,000 on March 5. Demand for Bitcoin ETFs surged tenfold compared to miners toward the end of February.
“The demand side is certainly impacted by (the ETFs),” he said. “And one of the things that has happened previously before the halvings is that there is some sell pressure from the miners because they're upgrading their equipment. And it looks like this time that supply that's coming into the market is being absorbed by these ETFs. So traditionally, we've seen a pullback in the couple of months prior to the halving and then a real acceleration to the upside once the halving happens. And this time, we may be starting the process a little bit earlier, in that extra supply that the miners might be putting on the marketplace is already being absorbed by these ETFs, which could lead to some pretty impressive gains later on in the year.”
Peter Brandt, an analyst and the CEO of Factor, predicted on X, formerly known as Twitter, that the price of Bitcoin could go as high as US$200,000 by September, a 66 percent jump from his previous estimate of US$120,000.
“We believe new all-time highs will be made,” Eberle said. “We think it'll go (on a run) once that happens because of the ease with which one can buy the ETFs now. …The retail FOMO that comes in could drive the price to some incredible levels, and then I'm sure we'll have another pullback.
“But I've seen estimates anywhere from US$75,000 to US$150,000, which I think are reasonable in the next 12 to 18 months. Some of these bigger numbers, I think those are for headlines more than anything else. But we'll be happy, we're getting into all-time highs and people not being down on the space. I think that would be a positive.”
For those looking to invest in Bitcoin, Eberle shared his advice for using Bitcoin to balance out an investment portfolio, specifically its effect on the standard 60/40 equity bond portfolio, which can be rebalanced quarterly by selling the asset that performed better and buying the other asset to enhance performance over time.
Eberle explained that regularly rebalanced portfolios can benefit from volatile assets, and said studies show that including a 3 to 5 percent allocation of Bitcoin in a standard 60/40 portfolio could decrease overall portfolio volatility and increase expected returns. This is because the non-correlated, highly volatile asset makes the funds move back and forth more during rebalancing.
“One area that's critical to portfolio management, whether it has to do with Bitcoin or anything, is if the volatility of an investment is keeping you up at night, it's not the volatility of the investment, but rather the size of your allocation to that investment,” Eberle advised.
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Securities Disclosure: I, Meagen Seatter, hold no direct investment interest in any company mentioned in this article.
Editorial Disclosure: The Investing News Network does not guarantee the accuracy or thoroughness of the information reported in the interviews it conducts. The opinions expressed in these interviews do not reflect the opinions of the Investing News Network and do not constitute investment advice. All readers are encouraged to perform their own due diligence.