Never take a loan when bitcoin is pumping. Right around now is about the last time I would take out a heavy BTC backed loan. If we pump to $150k+ probably best to wait until things cool back off.
the product is extremely useful but those who abuse it will get punished for their ego and naivety.
So only in the bear?
We’ve been consolidating for 3-4 months without a blow-off top during this bull. I think this level is a fair place to take a loan as long as you’re generating cash to (1) with no risk cover interest payments and (2) start paying down the loan. That’s more increasing capacity / reinvesting in a cash flowing asset.
If you’re looking to build something from scratch or acquire a business/asset, then I’d wait for near the bottom of the bear.
