Bitcoin: The Next Leg Down, FOMO Is Dead

As even the biggest skeptic will agree, charts are great for predicting the past, and for me this means the following for bitcoin, Institution acceptance has been the cry of the bulls for a long time. Institutions, it is believed, will adopt in droves and drive bitcoin to the moon in a straight ballistic rise.

Sadly the thing is this: Institutions of all sorts abhor risk and work. They hate adopting anything new, especially if it can get them fired. Not having bitcoin is a risk only when the risk is from the question “why haven’t we got any bitcoin?” Suddenly everyone has bitcoin, even when they haven’t.

While institutions will drag their feet on going to the effort of innovating with anything, they also hate the risk even more than the work of getting into something unpredictable. This is why it has taken a decade for institutions to even dip their toes into crypto. Corporations find it almost impossible to pivot from one format to another. This is why is takes generations for car companies to go electric, why internet giants weren’t snuffed out by the big old media companies at formation.

The history of the inertia of corporations is a litany of extinction because elephants, let alone dinosaurs, can’t dance. Small companies couldn’t disrupt giant corporations if those organizations weren’t already brain dead. When corporations get FOMO (fear of missing out), and it does happen, it’s a stampede of stupidity that’s hard to beat, but it never lasts long because fundamentally corporations do not have the skills onboard, the will or the drive to grasp the change. If they do, it is so rare that bestselling books get written. Corporations can’t face cannibalization of the new and the best they can do is try and suffocate innovation to retain their crumbling moats. That never works for long.

Now the crescendo of crypto FOMO is over. Governments were the last to get it, with their musings on “digital currencies,” but interest will vanish, too like snow in May as soon as the bubble subsides. Likewise, now that the corporations can lean back and point to Tesla and parrot “Crypto is boiling the oceans and using more electricity than…” whatever sounds grand, they can now step back to safety and inertia.

Yet this is neither good or bad news in the medium term, because it is already too late for these actors; those in charge will be long gone before their Gormenghasts crumble. It won’t be the current institutions that adopt crypto, it will be their disruptors that render those entities obsolete.

This is actually great news because it will allow us all to buy the bottom of the next cycle and invest in the tokens of enterprises set to replace the current sclerotic incumbents who are bound, like Gulliver, by inertia and chained by blunt regulation.

Why would it be good for institutions to swamp the crypto ecosystem now, to poison it and steal the benefits? Likely they will not, because they can’t move fast enough even if they had the stomach for the challenge.

As we can and as we do, the benefits of the future are ours for the taking as the game has yet to be rigged. We just have to buckle up for the next drop and be positioned to accumulate until the next boom arrives and ride the unstoppable changes ahead of the FOMO crowd that flag the end of every cycle.
this post is copied from the https://www.forbes.com/sites/investor/2021/06/07/bitcoin-the-next-leg-down-fomo-is-dead/?sh=59e77e9b6f8c