Fiat wins this round.

Fiat wins this round.

By MadMaxx | Psycho Crypto | 10 Apr 2020

I hate to be the bearer of bad news guys, but it seems that in the coming weeks, it would be best that your portfolio consists of equal parts gold and fiat.

This means no crypto or stocks. This isn't coming from my analysis, but from that of one of the greatest investors I know.

He's currently worth about $15 million and while that might be small in your eyes, it's a milestone for me. 

When I asked him what he thought of what has been going on, he mentioned that the US has taken the hardest hit.

6.6 million unemployed, and with possibly more to come. It seems that the US has taken the hardest hit if this pandemic.

However, there's a bright side. You see, the US mostly fixes its problems by printing its way out of them. Just ask Nixon.

So my friend believes that the fed would be able to "print" their way out if the impending recession. And that is why holding cash is the best option for you.

He specifically said not to hold gold or any commodities. Just cash. But I decided to hold a little gold, and I'll tell you why later on in this post.

So why cash?

You see, when the fed goes on its inevitable printing spree, it makes the dollar much higher in value than it actually is. This means that your dollars can now buy more of the assets you love.

But that also means that the assets take big hits in price. For now it's unclear what the effect on bitcoin would be, but it's best to steer clear of most investments in the coming months, and stock up in cash.

So why did I choose to hold gold even after being told not to do so?

Well, I plan on holding gold simply because whenever the price of gold drops, the rebound is just crazy. I mean, look at recently. From $1400 back to winning ways at $1650. Amazing stuff.

However, I don't plan on holding the gold for long. I plan on getting it dirt cheap, so that I can sell it when prices rebound. This plan could totally backfire, but I won't name myself "MadMaxx" if I wasn't taking risks đŸ˜‰

Unfortunately guys, fiat wins this round. But crypto would rebound. That's for sure.

Thanks for reading!

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In the eternal quest for crypto fulfilment. I'm an obese frog on the internet, what I say most definitely isn't financial advice.

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