IA Daily Digest (Patreon)

Summary of InvestAnswer's Discord Posts - thanks Josh 

28 November 2023 📈 to 30 November 2023

Bitcoin:

• IA would be happy if BTC hits 79k this cycle, but believes that 129k is possible given the on chain metrics. 
• BTC hashrate is up 500% in 800 days. 
• IA shares BTC average transaction fees. It has gone up significantly in the last month. 
• Standard Chartered has a BTC price prediction of $100,000 by the end of 2024. 

Bitcoin Miners: 

• IA believes CLSK will 2x faster than TSLA will. (CLSK shot up more than 14% after this comment) 
• IA believes upcoming CLSK earnings could be great. He highlights Bitcoin transaction fees are extremely high at the moment, which increases the chance of profitability.
• IA thinks Wall Street bought large sums of CLSK this past week, and they may buy BITF based on the recent 17 EH/s news. (BITF went up almost 30% the day after this post). 
• IA doubled down on BITF at $1.09. IA goes over the details of the trade on patreon. IA bought BITF because it has scored well on his miner models, and recent downward price action has been due to stock dilution. BITF is using the proceeds from the dilution to purchase additional miners. BITF also signaled a buy on ATR, adding to IA’s conviction. 
• IA still regards CLSK as the best Bitcoin miner. 
• IA hedged his BITF by selling the BITF February 16, 2024 1.5Cs for 25 cents w 35 days to expiry.  
• IA may sell the CLSK 7.5C’s again his cost basis is already a credit 

Trading and Strategies: 

• When asked what the best tool would be to build a TSLA bag from scratch, IA responds DCAS is designed to build your bag, and PTOS will grow your bag. ATR can also be used, but it doesn’t provide the rigor to buy. 

Models 

• IA reiterates when using the ATR model, it should not be used for time frames less than 12 hours. 
• A member recently purchased the IA Suite. IA encourages finding a rhythm, nailing a process, and finally:  wash, rinse, repeat! 

⁠tesla⁠

• When pair trading TSLA and BTC, IA advises to keep a close eye on the macro/news of both BTC and TSLA before swapping.
•  IA believes that unions are desperate, as they can see the future of their industry. Their jobs will be replaced by automation and bots in the coming 3 years. If they are unable to make money now, they are screwed.
• IA shares a video of a Model Y off roading more effectively than a Ford Raptor up a steep dansdy hill.  Can u imagine what CT will do? 
• IA is confident that Tesla will dominate in every conceivable way. BEV adoption is hitting a vertical S curve level which is great for Tesla. However; IA believes Tesla is far more than just a car company. GM engineers are trying to engineer tailgates that turn into steps, while Tesla engineers are making cars that drive themselves. IA is confident that it will be AI that will rock TSLA to $1,000+. Issue is Elon is hated out there. 
• IA writes that Charlie Munger was a great individual, but missed out on the internet and TSLA, thus leaving potentially trillions on the table instead of investing in stodgy banks and poisons like coke
• IA views TSLA as a $400 stock, and will only hedge his position (selling calls), on a gamma squeeze in price.
• IA acknowledges TSLA as one of the most hated, underrated, and most shorted stocks in the world.
• IA shares a car reviewer’s perspective on the Cybertruck. “In person I was one of stunned amazement. I still can’t believe this thing exists in the form that it does. It almost feels more like a modern supercar or halo car.”

AI

• IA believes AI will remove the short to medium term trading advantage. However; we will move into hardcore fundamental analysis and longer term trades. 

Equities:

• IA completed a quantitative analysis on all stocks a few months ago. From the financial data, SE was the best risk reward. As Q4 tends to be a strong quarter for SE, IA advises to hold the stock into mid January to see how it does.  IA Cost is $40 on SE
• IA reiterates his distaste for dividend stocks. I would highly recommend reading his patreon post, but in summary: 
• Dividend stocks underperform the market.
• Dividend ETF’s have exposure to underperforming companies.
• Dividend strategies have a value bias, and do not invest in growth stocks.

⁠tesla⁠

• F150 vs Cybertruck. Cybertruck is significantly cheaper to fuel, charges at home, has no maintenance, and drives itself. 
• IA would not drive a car without FSD since he started using FSD in his own vehicle. 

Bbitcoin On Chain⁠

• In response to whether a BTC decline is likely, IA highlights BTC on chain metrics are unlike anything he has ever seen. 

mstr-and-proxies⁠

• IA states BTC mining industry is cut throat, so one must allocate accordingly. 

⁠solana⁠

• SOL ecosystem exhibits positive price action. 

Chinese Stocks

• IA believes BABA could break out one day. "