Since the end of 2017, the value of bitcoin (BTC) has fallen considerably. While the largest cryptocurrency was still worth $ 20,000 at the time, that is only $ 3,860 at the time of writing. Some investors, however, expect that bitcoin will continue to plummet, and therefore wait until the absolute bottom before investing in the cryptocurrency. But is that smart?
One investor thinks that the bottom of the “crypto winter” is now reached, and the other expects that the price will go down a lot further. But in the end nobody knows exactly when that soil has actually been reached.
According to a tweet from bitcoin investor Emptybeerbottle, however, it is not smart to wait for that soil:
The majority of people won’t call the exact bottom.
That probably includes you.
History tells us that buying a set amount of #Bitcoin per week/month and setting it aside will be a good financial decision if you believe in it in the long term.
— Emptybeerbottle (@Fullbeerbottle) 2 maart 2019
Translation: Most people will not be able to pinpoint the exact bottom. Not you too. History tells us that the weekly / monthly purchase of a certain number of bitcoin, and then waiting for better times is a sensible financial choice for the long term.
According to Josh Rager, advisor at TokenBacon and Blackwave, it does not really matter if the price drops 5 or 7%. Should the price rise again to $ 10,000 or $ 100,000 in the long term, then that difference in profit will be zero.
The way of investing in cryptocurrency differs from person to person. The advice not to wait for the bottom, and to buy a number of bitcoins every week or month, however, sounds logical. Anyway, everyone is waiting for the end of the crypto winter, and according to various signals that end is finally coming.