Bill Miller Believes that Bitcoin is an Insurance Policy Against Financial Disaster

• Bill Miller is a globally popular investor and a supporter of Amazon and Bitcoin.
• Miller first time purchased the shares of Amazon in 1997 during its IPO.   
• He started investing in Bitcoin in 2014. 

In the last few months, the crypto fintech sector has been going through tough times, and the increasing market volatility has badly affected all sorts of crypto assets.

The most popular and biggest cryptocurrency of all is Bitcoin. In H3 of 2021, the digital currency was trading at $67,549.74; in the eleventh month of 2021, the cryptocurrency started losing its price with constant speed. 

Regardless of the volatility and crypto winters, a globally popular investor Bill Miller is not affected by the market’s volatility and remains bullish on two of the most trusted stocks: Amazon and Bitcoin. 

Recently in an interview with Forbes media outlet, Miller called cryptocurrencies “misunderstood” and referred to bitcoin as an “insurance policy against financial disaster.” 

On 13 October 2022, Miller gave his take on the market in a conversation with Marvin Mclntyre, Morgan Stanley’s managing director of Private Wealth Management — at the Forbes/Shook Top Advisor Summit.

On one side, the investor conceded that companies that have performed well over the past decade are now being crushed in the face of a brash Federal Reserve. On the other hand, he said it provides a good opportunity to buy more company shares cheaply.

During his days with Leg Mason, Miller was popular for beating the stock market for fifteen consecutive years, from 1991 to 2005. He is well-known to have personally purchased back Amazon stock during its IPO in 1997.

Miller underlined, “If your time horizon is longer than one year, you should do very well in the market.” 

In 2021 Miller stated in an interview that almost 50% of his net worth is associated with Amazon. He added that the other 50% is in bitcoin. 

On 13 October 2022, the Ex chairman termed  Bitcoin as “An insurance policy against financial disaster, with “limited downside” during tough market periods, as it is “not connected to the rest of the financial system.”  

According to reliable media sources, the Mill operator repurchased his first Bitcoin in 2014 when BTC was exchanging for around $200 and afterward bought somewhat more additional time when it became $500. He said that the financial backer didn’t get it for quite a long time until BTC dove to $30,000 after hitting around $66,000 in April 2021.

The investor backs up his argument with wonderful lines from Warren Buffett, John Templeton, and Leo Tolstoy:

“Be greedy when others are fearful,” he added, as well as “The time of maximum pessimism is the best time to buy,” and “The two most powerful warriors are patience and time.”

Miller’s belief in bitcoin also showed flexibility in May, when the complete crypto market sank after the failure of Terra. That said, he admitted that he was forced to sell a bit of his bitcoin at the time to meet the margin call.

Miller mostly pointed out the potential of Bitcoin as a global reserve asset, especially after Russian sanctions took effect and its ruble began to fall in March. He proclaimed that altcoins do not share this asset and are similar to “venture investments.” 

BTC is trading in a descending channel, creating panic for the bulls. BTC tests several times to break the range of $19,500, but the bulls do not have much strength as compared to bears. 

BTC is trading below 50 DMA and hovers near the 10 DMA. Moreover, the price rally shown in mid-Aug hit $25k and did not last long rising wedge pattern thus formed led to the trend reversal, throwing back the price to $20k.

BTC is now trading in a range of $18k-$20K. The price consolidates between the range making lower highs and lows. The trading volume decreased by 34% in the last 24 hrs. However, the price is now $19,175, with a drop of 3.20% at the time of writing.

Steve Anderson is an Australian crypto enthusiast. He is a specialist in management and trading for over 5 years. Steve has worked as a crypto trader, he loves learning about decentralisation, understanding the true potential of the blockchain.

Latest posts by Steve Anderrson (see all)