In a significant move within the cryptocurrency landscape, Robert Kiyosaki, the renowned author of “Rich Dad, Poor Dad,” disclosed on Friday that he has divested $2.25 million worth of Bitcoin. His strategic move aims to channel the proceeds into traditional business ventures, specifically two surgery centers and a billboard advertising business, with the intent to enhance long-term cash flow.
Kiyosaki’s decision comes as Bitcoin experiences a tumultuous period, currently marked by “extreme fear” in the market, having plummeted more than 33% from its peak in October, where it touched over $126,000. Despite exiting the cryptocurrency market, Kiyosaki remains optimistic about Bitcoin’s future, forecasting a price target of $250,000 by 2026 while asserting his continued commitment to the digital asset.
Having initially purchased Bitcoin years ago at around $6,000 per coin and subsequently selling it at approximately $90,000, Kiyosaki managed to secure substantial profits. He announced that he expects the cash flow from his new investments to amount to $27,500 monthly, which he anticipates could be tax-free starting February 2026. This strategy aligns with his long-standing investment philosophy, focusing on acquiring cash-generating assets rather than solely relying on capital appreciation.
As Bitcoin’s volatility continues to dominate discussions in trading communities, Kiyosaki’s announcement comes amidst widespread market concern. The Crypto Fear & Greed Index recently plummeted to a reading of 11, indicating extreme fear — one of its lowest levels in years. On the same day of Kiyosaki’s announcement, Bitcoin slid to approximately $80,537 before rebounding toward $84,000, perpetuating concerns among traders already rattled by a month-long selloff.
Experts in the trading field remain divided over the implications of the current downturn. Some, like veteran trader Peter Brandt, believe that Bitcoin could still rise significantly, surmising that the market’s cleansing process is beneficial for long-term sustainability. In contrast, analysts from Bitfinex have highlighted that the current outflows from Bitcoin ETFs reflect short-term market positioning rather than a collapse in institutional interest or fundamental strength.
Meanwhile, Bitwise researcher André Dragosch raised concerns suggesting that Bitcoin might still have further room to decline before reaching a bottom, identifying a “max-pain” price zone between $73,000 and $84,000, which could serve as a critical level influenced by the buy positions of major players in the market.
As the ongoing discourse in the cryptocurrency arena intensifies, traders are grappling with the potential for further volatility. The situation remains fluid, with opinions split between those confident that institutional investors will intervene to stabilize the market and others who argue that a complete flush-out of leverage is still on the horizon.
