The month of June 2021 will be remembered as a month marked by fear. Extreme fear even in the Bitcoin market. For the entire month, the majority of investors made the mistake of focusing solely on the Bitcoin price and the FUD (Fear, Uncertainty, and Doubt) messages that kept accompanying China's ban on Bitcoin.
While there is no doubt that the Bitcoin Hash Rate is being hit hard by China's ban on Bitcoin, you need to learn to look beyond the simple short-term impacts.
In the long run, this is something extremely bullish that will benefit the entire Bitcoin system. The great exodus of Bitcoin mining that we are witnessing from China to the West will address two major issues that are constantly used by Bitcoin opponents:
The centralization of the Bitcoin Hash Rate in China.
The environmental impacts of the Bitcoin system.
Those with a long-term view of Bitcoin are taking advantage of the current situation to accumulate more
With China's ban on Bitcoin, the equipment that will be redeployed around the world will seek to use as much electricity from renewable energy as possible. This will greatly improve the amount of renewable energy used by the Bitcoin system to operate.
Finally, a better distribution of Bitcoin's Hash Rate around the world will solve the last little problem of centralization that some Bitcoin opponents could see until now.
Some people understand all this and therefore decide to take advantage of a Bitcoin price that has been moving sideways between $30K and $35K for several days. Paul Tudor Jones, for example, explained at the beginning of June 2021 that he had decided to move his portfolio allocation from 1% to 5% in Bitcoin.
More and more billionaires are adopting Bitcoin because of the incredible guarantees it gives to its users
On the Mexican side, it is billionaire Ricardo Salinas Pliego, the third richest man in Mexico, who we have just learned is a Bitcoin supporter.
An interview he gave a year ago has just resurfaced. Ricardo Salinas Pliego explains that fiat currencies are a real fraud. He then details why he likes Bitcoin. Unsurprisingly, it is the certainty that Bitcoin offers that makes this billionaire embrace the Bitcoin revolution.
For him, if a state were to hold a single asset for the next 30 years, it should logically be Bitcoin.
He then backs up his point by detailing the math behind the endless devaluation of the Mexican peso, his local currency. The peso was 20:1 with the U.S. dollar when he began his career in 1981. Today, the peso is 20,000:1 with the US dollar.
The most incredible thing here is that this statistic does not even take into account the devaluations of the U.S. dollar that have taken place over the past several decades. For Ricardo Salinas Pliego, being able to own hard money like Bitcoin is therefore something essential to protect the fruits of his labor.
Gold-loving Indians are slowly but surely switching to Bitcoin
The observation that these billionaires make is shared by more and more individuals around the world. A Bloomberg article from June 28, 2021 explains that more and more Indians are opting for Bitcoin instead of gold. This is a strong signal, as Indians are known to love gold, which they pass on from generation to generation.
When you consider that India has a population of nearly 1.4 billion people, you can tell that the demand for Bitcoin will be huge from this country in the future.
Globally, it will be huge all over the world. The examples I just gave you are obviously only a small part of what is happening all over the world. From Pakistan to Nigeria to India, more and more individuals are understanding that Bitcoin is a necessity to protect their money future.
Block after block, Bitcoin adoption continues to move in the right direction.
If this does not yet translate into a rise in the price of Bitcoin, it is only temporary. It always takes time to materialize, but there is no doubt that within a few weeks or months, the price of Bitcoin will once again have surpassed its All-Time High (ATH) of $64.8K reached in April 2021.
Those who have the foresight to take advantage of the current situation to accumulate more will be the big winners as always. With Bitcoin, there is no room for luck. You only get what you deserve. It's up to you to make your decisions based on this fundamental truth.