I recently received an email about Lou Basenese’s latest stock teaser presentation, which is centered around bitcoin and a so-called “Bitcoin Boomer” stock he’s bullish on.
Here’s a quick breakdown of what it’s all about:
- Lou Basenese is forecasting that the price of Bitcoin “will hit $100,000 by the end of August.” And aside from his view of bitcoin itself, his prediction largely revolves around Wall Street gaining access to a “healthy derivatives market” involving bitcoin.
- Basenese is recommending a “Bitcoin Boomer” company, which he defines as a type of microcap company that’s “helping to grow the Bitcoin Economy.” And one of the main clues he shared was that it’s a “little satellite company” trading for “$1.22 per share.”
- The only way to find out what company Basenese is teasing would be to see his report (“How to Ride Bitcoin to Riches — Without Buying a Single Bitcoin”), which comes with a subscription to his research service, Micro-Cap Advantage.
I wanted to know what company Lou Basenese was pitching without joining his service, though. So I looked into the clues he shared in the presentation.
And in this post, I’ll show you what I found.
Why Is Lou Basenese So Bullish On Bitcoin?
Lou Basenese began the presentation by pointing out that he’s not a big fan of crypto in general and said he has warned his followers to avoid certain crypto-related stocks and tokens over the years while having a somewhat “neutral” outlook on bitcoin.
However, Basenese says he’s “officially upgrading” his outlook to “bullish” because “Wall Street just changed the rules of the Bitcoin game.”
“I’m officially upgrading my longstanding ‘neutral’ outlook on Bitcoin to ‘bullish.’
Why would I change my Bitcoin outlook in the face of such crypto turmoil?
Because Wall Street just changed the rules of the Bitcoin game, and I know exactly how this game will end…
History tells us that higher Bitcoin prices are coming — astronomically higher!”Source: https://www.trendtraderdaily.com/bitcoinboomers
What’s he talking about?
According to Lou Basenese, his forecast has to do with Goldman Sachs:
“See, Goldman Sachs recently made a historic Bitcoin trade.
The trade had a singular and monumental purpose…
To help institutional investors trade Bitcoin inside of pension funds… 401(k)s… hedge funds… endowments… sovereign wealth funds… and insurance funds…
Thus unleashing $145 trillion in fresh capital…
Which I believe will quickly reverse Bitcoin’s downward trajectory…
Placing it on an upward path toward $100,000 by August 31.”
Later in the presentation, Basenese clarified what “historic Bitcoin trade” he was referring to, and it relates to the bitcoin options market.
“So Goldman Sachs decided to take the (proverbial) bull by the horns — Goldman just started its own Bitcoin options market, where it serves as the principal on all transactions.”
As for what “options market” he’s referring to, Basenese shared a snippet from a March 2022 CNBC article about how Goldman Sachs traded a bitcoin-linked instrument called a non-deliverable option.
And while I’m not an options trader, from what I understand, this is a cash-settled option rather than an option that involves taking delivery of the underlying asset.
Anyway, long story short, Basenese believes this is “big news.”
And apparently, he’s “upgraded” his bitcoin outlook to “bullish” because, according to Basenese, whenever Wall Street gains access to a “healthy derivatives market,” interest in the underlying asset “explodes.”
“Bitcoin is an all-of-the sudden attractive investment for pension funds… 401(k)s… hedge funds… endowments… sovereign wealth funds… and insurance funds… thus allowing $145 trillion worth of institutional capital to flow toward crypto-related assets.
This is big news, folks.
Big enough that I just upgraded my Bitcoin outlook to ‘bullish.'”
“Whenever Wall Street gains access to a healthy derivatives market — a market upon which they can hedge their large-scale financial bets — interest and enthusiasm in the underlying asset explodes to record-smashing heights.”
Basenese also pointed out numerous “friction points” in the existing economy that he believes bitcoin is helping to overcome.
For example, he talked about how bitcoin removes the middleman from financial transactions, highlighted its cryptographic security, and discussed the benefits of bitcoin’s decentralized nature.
As for his forecast that bitcoin could hit $100,000 by August 31…
Nobody knows what price ANY asset will be at any date in the future, regardless of how good it might be, so I suggest taking that with a grain of salt.
But either way, that’s the gist of Basenese’s latest bitcoin prediction. And instead of recommending bitcoin itself, he’s recommending a “Bitcoin Boomer” company.
So let’s take a look at what that’s all about.
Lou Basenese’s “Bitcoin Boomer” Pick Revealed
Lou Basenese defines “little Bitcoin Boomer stocks” as microcap companies that are helping to grow the Bitcoin Economy. And some of the examples he shared in the presentation included two bitcoin mining stocks and a fintech company.
As for his “#1 Bitcoin Boomer stock,” surprisingly, this is NOT a bitcoin-focused company like the example companies he mentioned. Instead, it’s a “little satellite company.”
“My #1 Bitcoin Boomer is a little satellite company.”
Why would Basenese be pitching a satellite company?
I can’t speak for Lou Basenese.
But I can share my take on his presentation. And one of the main parts of his pitch centered around how satellites can be used to access the bitcoin network.
Specifically, he talked about a “satellite-powered Bitcoin network” developed by Blockstream, Inc. and how these satellites “perform an essential function.”
“You probably have no idea that a satellite-powered Bitcoin network even exists.
Well, it does exist.
The network is the brainchild of Blockstream, Inc. — a privately-held company valued at $3.2 billion, which presently operates six geosynchronous satellites orbiting the Earth.
Blockstream’s satellites perform an essential function…
They broadcast Bitcoin around the world… 24/7/365… for free.”
As it stands, bitcoin doesn’t need satellites to function.
However, Lou Basenese suggested that satellites could be used to keep the bitcoin network functioning should there be an “internet blackout” at some point in the future.
And he used the Blockstream Satellite network as an example.
Blockstream is a great company, and it was co-founded by Adam Back, a true OG in the bitcoin space who was mentioned in Satoshi’s whitepaper. But it’s also a private company, and NOT the “bitcoin boomer” company Lou Basenese is pitching.
What company is he teasing?
Lou Basenese shared numerous clues about his pick in the presentation regarding the company’s products, share price, and CEO.
For starters, he talked about three of the company’s “segments,” which involve “mini-satellite antennas,” “satellite tracking” services, and flat-panel satellite antenna systems.
“… my #1 Bitcoin Boomer stock. It’s a little satellite company with (soon-to-be) three booming segments — it’s existing line of mini-satellite antennas, which allows for connection to the Bitcoin satellite network… its ‘satellite tracking’ services… and its revolutionary flat-panel satellite antenna system.”
Second, he said it’s trading for “$1.22 per share.”
“This little Bitcoin Boomer currently trades for only $1.22 per share…”
And lastly, Basenese shared a quote from the company:
“‘This intelligent, scalable and conformal antenna technology is designed to be mass producible at a reasonable price and be compatible with 5G and other developing millimeter wave technologies,’ says this little Bitcoin Boomer …”
That last clue led me to a press release from C-COM Satellite Systems Inc. And after looking into Basenese’s other clues, this seems to be the company he’s teasing.
What does the company do? C-COM specializes in commercial-grade satellite antenna systems. And according to Yahoo Finance, its antenna technology is “based on small 4×4 transmit and receive modules which are the building blocks for the bigger size antenna and can be conformal to any curved surfaces.”
And that lines up pretty close to what Basenese said in the presentation:
“The technology is equipped with an incredibly powerful signal-detection system (called ‘phased array’), capable of connecting to even the highest-orbit satellites.
Brilliantly designed using 4×4 (cm) communication modules, these antennas can be stacked, curved, molded, or bended to adapt to virtually any application.”
Lastly, the stock (ticker: CYSNF) is currently trading at around $1.60 a share as of writing (June 2022), and it’s up from around $1.20 per share recently.
So, C-COM Satellite Systems looks like a match.
The only thing that doesn’t make sense is the following statement Basenese made:
“But let’s weigh those projections against my top Bitcoin Boomer…
The company currently trades on the Nasdaq for only $1.22 per share…
But after careful and thorough review…
I believe every share holds $101 of value…”
The above ticker I mentioned trades on the OTC (Over-The-Counter) market, not Nasdaq. And the company also trades on the TSXV under a different ticker (CMI.V). So, unless I’m wrong about his pick, I’m not sure what he means by “trades on the Nasdaq.”
Also worth mentioning is that, to the best of my knowledge, this is NOT a bitcoin-focused company (at all). As mentioned, C-COM makes satellite antenna systems.
It’s true that satellites are used by some people to access the bitcoin network. But most people buy and sell bitcoin using a regular internet connection. So, in my opinion, the idea of a satellite company being a “Bitcoin Boomer” is more or less a marketing gimmick.
Either way, this company seems to match Basenese’s clues overall. And interestingly, this appears to be a company he teased in 2021 in a pitch that had nothing to do with bitcoin. So assuming my guess is correct, this isn’t the first time he’s teased C-COM.
Nevertheless, to find out what company Basenese’s pitching for sure, you’d need to see his report called “How to Ride Bitcoin to Riches — Without Buying a Single Bitcoin,” which comes with a subscription to Micro-Cap Advantage.
So if you’re considering joining that service, read on.
Recommended: Go here to see my #1 rated stock advisory of 2022
What Is Micro-Cap Advantage?
Micro-Cap Advantage is an investment research service focused on “tiny companies” that Lou Basenese believes could be the “next” Amazon, Tesla, or Apple.
“At Micro-Cap Advantage, we’re not concerned with mega caps, large caps, or mid caps — i.e. companies that have already made their shareholders rich, like Amazon, Tesla, and Apple. Instead, we seek tiny companies destined to become the next Amazons… the next Teslas… and the next Apples.”
A small-cap stock is a publicly traded U.S. company with a market cap of between $300 million to $2 billion, and a micro-cap stock is even smaller than that ($50 million to $300 million), and these appear to be the companies Basenese focuses on.
How does the service work?
I’m not a member of Micro-Cap Advantage, so I can’t tell you how it works first-hand. But according to Lou Basenese, the service’s model portfolio is made up solely of “little Bitcoin Boomer companies.”
“Until market conditions warrant a shift, Micro-Cap Advantage’s model portfolio will be comprised solely of little Bitcoin Boomer companies — ones that 1) trade on major stock exchanges, 2) have market capitalizations of less than $500 million, and 3) offer investors the potential for 10X gains.”
Basenese says that he shares a “brand-new Bitcoin Boomer recommendation” in each new monthly issue of the service and that he sends subscribers email updates whenever news breaks that he believes could impact the “Bitcoin Boomers” he recommends.
How much does it cost?
According to the Trend Trader Daily website, Micro-Cap Advantage costs $995 for a 12-month subscription, $1,495 for a two-year subscription, and $1,995 for a lifetime subscription.
On the one hand, I agree with Basenese’s stance on “crypto” in general (I’m not a fan of altcoins at all) and think he made some good points about bitcoin in the presentation. Although full disclosure, I hold some bitcoin, so I’m biased on that front.
However, there are a few points I want to make before wrapping this up.
First, nobody knows what the price of bitcoin will be in the future. I’m extremely bullish on bitcoin long-term, but I would never attempt to predict its short-to-medium term price because that, in my opinion, is virtually impossible to forecast accurately.
Second, I’m a big believer in holding bitcoin itself, not a derivative. So I disagree with the notion that a so-called “Bitcoin Boomer” is better than holding bitcoin itself.
And third, small and micro-cap stocks can be extremely volatile. All investments carry risk, but small stocks can be particularly risky. So regardless of what company Basenese is pitching, there’s no guarantee you’ll make money betting on it.
In any case, I hope this post has helped shed some light on Basenese’s pitch. And if you’d like to share your take on any of this, feel free to chime in below. Thanks for reading!