‘Don’t be Stupid’: Why Grant Cardone Says Bitcoiners Shouldn’t Chase Gold’s Historic Rally

Core Viewpoint - Investors should not sell Bitcoin to invest in gold despite gold's significant price increase, as Bitcoin remains a superior long-term store of value [1][2]. Group 1: Gold and Bitcoin Price Movements - Gold's price has risen over 50% this year, surpassing $4,000 per ounce for the first time [3]. - Bitcoin reached an all-time high of $126,000, with 60% of surveyed investors believing it is more likely to rise to $140,000 than fall to $110,000 [3]. Group 2: Investment Strategies - Investors are increasingly turning to alternative assets like gold and Bitcoin to protect against a potential U.S. economic downturn and dollar depreciation, referred to as the debasement trade [2]. - Cardone advises against selling Bitcoin, suggesting that doing so could result in significant financial loss [2]. Group 3: Technological Impact on Gold - Cardone predicts that technological advancements, such as automation, will diminish gold's appeal over time due to reduced labor costs and increased mining efficiency [4][5]. - Unlike gold, Bitcoin has a capped supply of 21 million coins, with projections indicating the last Bitcoin will be mined by 2093 [5]. Group 4: Asset Management and Custody - Cardone critiques gold-backed exchange-traded funds (ETFs) as essentially paper investments, emphasizing the importance of managing gold custody to avoid theft [6]. - Bitcoin, held in self-custodial wallets, does not require physical storage, making it easier to manage and spend compared to gold [6]. Group 5: Diverse Investment Opinions - While Cardone favors Bitcoin, other investors like Ray Dalio advocate for a balanced approach, suggesting a 15% portfolio allocation to both gold and Bitcoin [7].