Berkshire Hathaway’s annual meeting is coming up and it’s a big thing. Classrooms and hotel meeting rooms around Omaha fill up with investors to learn more about the trading philosophies of Warren Buffett before the main event.
In a comment made ahead of Berkshire Hathaway’s annual meeting, Warren Buffett had this to say about Bitcoin:
“It’s a gambling device… there’s been a lot of frauds connected with it. There’s been disappearances, so there’s a lot lost on it. Bitcoin hasn’t produced anything,” Buffett told a group of reporters ahead of Berkshire Hathaway’s annual meeting at the CHI Health Center in Omaha, Nebraska.
“It doesn’t do anything. It just sits there. It’s like a seashell or something, and that is not an investment to me,” he added.
Buffett even compared the cryptocurrency to a button on his jacket.
“I’ll tear off a button here. What I’ll have here is a little token…I’ll offer it to you for $1000, and I’ll see if I can get the price up to $2000 by the end of the day… But the button has one use and it’s a very limited use,” Buffett said.
Buffett is one of the greatest investors of our time, but he is old school. Bitcoin is part of the newest investment asset, cryptocurrencies and over time, investors will shift money from other assets to cryptocurrencies as a safe haven from fiat currencies. Bitcoin continues to get a bad wrap by Wall Street, but behind the scenes they are positioning themselves grab a piece of the cryptocurrency pie.
A week ago, I talked about Bitcoin being between two critical levels.
At the moment, price is between daily zones. The daily demand at $4860 is serving as the line in the sand. If the daily supply at $5800 is breached, the daily demand at $4860 becomes the floor. If the daily demand at $4860 is breached first, price will head lower to the $4200 level.
The daily supply zone at $5800 was breached on May 3rd.
Thus, the chart suggests the daily demand at $4860 is the line in the sand as price continues to move higher, to the next significant level at $8000.
This post is my personal opinion. I’m not a financial advisor, this isn’t financial advise. Do your own research before making investment decisions.