Personal Finance Guru Advises Dollar-Cost Averaging Into Bitcoin
Personal Finance Guru Advises Dollar-Cost Averaging Into Bitcoin
Personal finance guru Suze Orman says she recommends dollar-cost averaging into bitcoin. She sees upsides to the cryptocurrency, noting that it could “turn into a payment structure.”
Personal Finance Guru Bullish About Bitcoin, Advises Dollar-Cost Averaging Into the Crypto
Personal finance guru and best-selling author Suze Orman has shared her view of why she is bullish about the price of bitcoin.
The Suze Orman Financial Group founder, whose show ran on CNBC from 2002 to 2015, has written 10 consecutive New York Times bestsellers about personal finance. She was named twice on Time Magazine’s list of the 100 most influential people and was appointed as a personal finance educator for the United States Army and Army Reserve in 2016. In addition, she won two Emmy Awards and eight Gracie Awards.
In her recent Women & Money podcast, Orman advised her listeners how to invest in bitcoin and shared why she thought the cryptocurrency will perform well in the future.
In terms of how to get into bitcoin and how much to invest, Orman advised:
I think it’s something that you hold for the long term or you dollar-cost average into it with very, very little amounts.
While the amount varies from person to person, she gave $100 a month as an example.
As for where to buy bitcoin and other cryptocurrencies, Orman mentioned the Nasdaq-listed crypto exchange Coinbase and Sam Bankman-Fried’s FTX exchange. Previously, she recommended Paypal. However, the company currently does not allow users to transfer cryptocurrencies away from its platform, something the CEO said will soon change.
Explaining why the price of bitcoin rallied recently, she cited Amazon’s job posting for a “Digital Currency and Blockchain Product Lead.” Orman pondered if the e-commerce giant is thinking about accepting bitcoin and other cryptocurrencies for payments. There were reports that the company will begin accepting BTC by the end of the year. However, Amazon denied the report, stating that there was no specific plan. Orman said, “When Amazon enters something you have got to pay attention to it.”
Next, the financial expert pointed to Tesla, Elon Musk’s electric car company, which began accepting bitcoin in March but suspended it due to environmental concerns. However, Musk recently said that Tesla will likely start accepting BTC again. Another reason, Orman noted was that there were $800 million in shorts on bitcoin and, like Gamestop, investors had to cover their shorts, which would send the price of BTC higher. She also said that all of a sudden wall street firms and venture capital firms are starting to invest again in companies dealing with bitcoin.
Furthermore, she noted that cryptocurrency could become a payment mechanism, elaborating:
It seems that the direction bitcoin is going is that, unlike gold that can’t be used to make a purchase, it seems like people are starting to gear up where crypto isn’t just going to be something like gold. It really would possibly turn into a payment structure.
Orman added: “Now, if that were to happen where people are starting to take crypto as a payment then ethereum is a great place for you to look as well in terms of investing.”
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