The BTC stability

[dezoel]

I think BTC is very volatile to use it as a value reserve of a big company or a country. But it is awesome seeing its capability to speculate and invest in long term. Today I watched a video on YouTube a rich man saing that BTC is 80% of his patrimony. I think it can be dangerous. And all of you? Also are all in?

Suppose you have 80-90% of your capital invested in Bitcoin and you go to sleep and wake up in the morning to see that the value of Bitcoin has dropped from $70,000 to $15,000. Because you have already invested 80% to 90% of your capital in Bitcoin, you don't even have 10% left to buy Bitcoin or to meet your living needs, so what option do you have? So how long can you wait if Bitcoin doesn't go back up for a full year or two years as it has done in the past then what option do you have left other than to sell obviously at a loss?

If so, a person should be wise and invest 20-30 percent in Bitcoin and the rest in some other project or business so that if he loses from one place, he will gain from another place. There is nothing that can guarantee that life will be rainy or profitable forever, so a person should invest in a well-thought-out and well-planned manner. They do it to make money or to double or triple your money so we must make wise decisions. It's not good to invest all your money in something and regret it later. I'm not in favor of it at all, no matter how reliable it is, but to me, it's just stupidity.

[justdimin]

For the nth time, Bitcoin is volatile if you're zooming in. If you zoom out, you'll realize that there is almost a straight diagonal line directed upward. You said it yourself, there's the capability of Bitcoin to be a sound long-term investment. In which case, it's worth keeping some in your balance sheet.

Besides, you also need a certain level of diversification in your reserve assets. Other than that, there's also the prudent move to be futuristic in setting up your reserves. Also, why is Bitcoin not worth risking when the features themselves are truly worth it? Why, can you see any other option that is truly independent from the controls of governments and powerful entities?

I do agree that when you zoom out (at least if you zoom out enough) you will see that it is something that keeps going up more and more. A lot of people miss that, and they look at shorter terms, even for a whole year it may do badly, but if you zoom out further you will see it does well enough and it won't be an issue.

All in all crypto isn't something that is taken lightly, it is of course a very difficult thing to hold when you see that much volatility, because holding even when you lose 30% is not an easy thing to do and a lot of people and sell to get out because they fear it, which I understand the reason why they would do that but that is still a wrong move and it will recover even after the biggest falls and longest bear periods.

[liasbaa]

Even though Bitcoin is volatile it can give you profit in large scale but you need to be aware of the risk level which is the right time to buy. By continuously managing towards you can accumulate bitcoins and get it to a point for a long time.

[Assface16678]

I think BTC is very volatile to use it as a value reserve of a big company or a country. But it is awesome seeing its capability to speculate and invest in long term. Today I watched a video on YouTube a rich man saing that BTC is 80% of his patrimony. I think it can be dangerous. And all of you? Also are all in?

We all know how bitcoin is a high-risk investment, the same way it can go up to the moon, it could crash at any moment, and isn't hard for that to happen, just think what would happen if an early investor decided to sell all his bitcoin, we would see how the markets crash hard. But that doesn't mean it would die, it is just a momentary crash, so, bitcoin is about holding, if you can hold for several years then you will find success at the end of the tunnel.

Bitcoin is a long term investment, the longer you hold it, the higher the value of the investment becomes. And patience is a must, because any time it could crash and drop its value to its lowest, but if you can wait to see it recovers its value and surge high again, then you will definitely make significant profits in the end, in which it won’t be possible if you are here only for quick and short term profits. Bitcoin is intended to hold, that’s why patience is crucial with bitcoin.

Although it is true that bitcoin is for long-term holding in order to earn a lot from it, it is still not that easy. I mean, an investor should know when to enter the market or when is the right time to buy a bitcoin asset in the market because if you bought bitcoin without thinking, then that decision might not be good because your liquidity might not be able to handle if the bitcoin price goes down from the position from which you bought your assets. So let's also consider the aspect of knowing more about the bitcoin market so that everyone can find the right timing and position in the market to enter. 
 
The thing I like the most in bitcoin is its ability to keep on increasing and of course thanks to the community that does contribute on where bitcoin is right now, without the investors bitcoin will not be in its current place right now.

[CageMabok]

Even though Bitcoin is volatile it can give you profit in large scale but you need to be aware of the risk level which is the right time to buy. By continuously managing towards you can accumulate bitcoins and get it to a point for a long time.

The key benchmark for not losing or making a profit with Bitcoin is only one thing, namely not selling it in conditions that could make us lose money as buyers. This means that if we buy Bitcoin at a certain price or say during a price correction moment, of course we also have to remember that the benchmark price is the point where our capital is used up. So if one day we are faced with the choice to sell it, of course we have to be able to sell it above that price so that we don't suffer a loss because we once owned Bitcoin. Simple enough, right?

[GbitG]

So let's also consider the aspect of knowing more about the bitcoin market so that everyone can find the right timing and position in the market to enter. 

Yep mate!
There is no doubt that a person can't profit from this market if they do not know much about it but a lot of new investors don't understand this. They hear about Bitcoin and that a lot of people saying that you can earn profit if you invest in Bitcoin but they don't know how and when it must be done, and they go ahead and make their investments without even trying to gain any knowledge about the market, so they might even buy at a wrong time without even knowing about it.

So it's undoubtedly a no-go if a person is getting into the market without any knowledge because that will only make them lose money, we know that newbies tend to have paper hands and they panic sell as soon as they see their investment losing value.

[stadus]

Even though Bitcoin is volatile it can give you profit in large scale but you need to be aware of the risk level which is the right time to buy. By continuously managing towards you can accumulate bitcoins and get it to a point for a long time.

The key benchmark for not losing or making a profit with Bitcoin is only one thing, namely not selling it in conditions that could make us lose money as buyers. This means that if we buy Bitcoin at a certain price or say during a price correction moment, of course we also have to remember that the benchmark price is the point where our capital is used up. So if one day we are faced with the choice to sell it, of course we have to be able to sell it above that price so that we don't suffer a loss because we once owned Bitcoin. Simple enough, right?

If you follow the basic buy low and sell high, you will definitely be in constant profits. Seems quite easy but certainly hard for those who aren’t patient enough. While bitcoin holding is the key for great profits, but only those who are patient and persistent on their goal would make it possible, the rest are just good for short term profitability as they are more than greedy than being patient.

[Darker45]

For the nth time, Bitcoin is volatile if you're zooming in. If you zoom out, you'll realize that there is almost a straight diagonal line directed upward. You said it yourself, there's the capability of Bitcoin to be a sound long-term investment. In which case, it's worth keeping some in your balance sheet.

Besides, you also need a certain level of diversification in your reserve assets. Other than that, there's also the prudent move to be futuristic in setting up your reserves. Also, why is Bitcoin not worth risking when the features themselves are truly worth it? Why, can you see any other option that is truly independent from the controls of governments and powerful entities?

I do agree that when you zoom out (at least if you zoom out enough) you will see that it is something that keeps going up more and more. A lot of people miss that, and they look at shorter terms, even for a whole year it may do badly, but if you zoom out further you will see it does well enough and it won't be an issue.

All in all crypto isn't something that is taken lightly, it is of course a very difficult thing to hold when you see that much volatility, because holding even when you lose 30% is not an easy thing to do and a lot of people and sell to get out because they fear it, which I understand the reason why they would do that but that is still a wrong move and it will recover even after the biggest falls and longest bear periods.

I think it has something to do with maturity. When you're early in the market, you'd easily be affected by short-term price movements. You're emotional. And you're easily swayed by your emotions. That brings a newbie to panic sell or FOMO, thereby sell high buy low.

But when you're exposed to the market long enough, short-term fluctuations would become ordinary that you don't mind them anymore. You'd feel more or less assured. You've seen it all. You know that in the end you'd see another ATH. You know that the market rewards you in the long run.

But then again there are also those who either don't mature or are less convinced of Bitcoin's potentials or are risk-averse.

[tygeade]

You talk like someone that is not deeply rooted in trading, it is not respective of how many times histories look similar but the warning towards the time of deviation. Nothing works perfectly even if they have done that before and what is happening with Bitcoin recently should have hinted to you of this. This is how every asset behaves, so Bitcoin can't be an exception, it is only a matter of time before everyone knows this and faces the reality.

Fine, Bitcoin has had some beautiful patterns/cycles in the past, but it is due to the fact that the people in control then have the same mentality/ideology towards it, so they turn it into a tradition which makes it behave in certain ways in cycles. But things are changing, especially this time that Bitcoin is now being majorly controlled by institutions and not by the old whales as people called it, who understand and manipulate it the same way, and also preach the same to adopters.

How it behaves at the weekend should have also told you something, it will get to a time when it will not be business as usual, nothing happens in the past that will always be replicated in the market, it is not possible, it can only take time. The earlier we plan for it, the better for us as no asset can always be behaving in such a way that people will always be able to cheaply predict it as it was in Bitcoin. If it continues forever this way, then it is not dynamic like other markets, which I will never believe. Expect more deviation soon!

Are we entirely sure that it is changing? Why do you think that it is changing or at least what made you believe that it is? So far, we have seen it go up after halving, and then go down after that up, and then stay down for a while, then go up again after halving and that has been the system for a long time. Looking at the most recent years, yeah 2022 was down, 2023 stayed down mostly or went up just a bit, and now we are near the all time high, so far it all looks like quite similar to the past.

So, I do not see a reason why it is going to change anytime soon, we are looking at something that will take care of it very differently, and I do not think that we are going to end up with something that will change, we should accept it as it is.

[Bullrun$k]

Bitcoin volatility is a gift and that's what make cryptocurrency unique from other currencies.

[AVE5]

So let's also consider the aspect of knowing more about the bitcoin market so that everyone can find the right timing and position in the market to enter. 

Yep mate!
There is no doubt that a person can't profit from this market if they do not know much about it but a lot of new investors don't understand this. They hear about Bitcoin and that a lot of people saying that you can earn profit if you invest in Bitcoin but they don't know how and when it must be done, and they go ahead and make their investments without even trying to gain any knowledge about the market, so they might even buy at a wrong time without even knowing about it.

So it's undoubtedly a no-go if a person is getting into the market without any knowledge because that will only make them lose money, we know that newbies tend to have paper hands and they panic sell as soon as they see their investment losing value.

Yes the fact that investors are doing profitably well their bicoin investments are really attracted to newbies. It then requires an efficient newbie to think about how to also be such successful by enquiring from the experienced investors that "HOW FAR & WHAT'S THE STRATEGY TO ATTAIN THIS GREAT HEIGHT IN THE INDUSTRY"? And not to have that mere lucrative view in the industry with lack of knowledge but just believe that if other investors can make it you too can make it. But meanwhile you're ignorant to the markets system to understand how you can accumulate on by affordability using the DCA and when is the right time to selle.
But one thing I disagree here is the right time to sell because bitcoin investment doesn't have a periodic specification of when to buy and however, as bitcoin keep to stay, investors are always met wit new ATH where they make X profits from the high price that they bought their bitcoin. It's just a fact of long time holding.

[knowngunman]

I think BTC is very volatile to use it as a value reserve of a big company or a country. But it is awesome seeing its capability to speculate and invest in long term. Today I watched a video on YouTube a rich man saing that BTC is 80% of his patrimony. I think it can be dangerous. And all of you? Also are all in?

Why it is dangerous? you should have given us your thoughts on why you think something like that is dangerous. Because even if you're going to watch someone from YouTube, you'll not even know if the thing they say is 100% true. I agree with bitmaxz that it's certainly risky if you don't know what you are up to and what you are investing with your money. But for someone like that youtube guy you've watched, he knows his thing and the drill of investing and that's why regardless of what you think about his strategy, it's even better in the perspective of holding more Bitcoin than altcoins.

I think he's referring to companies or countries who hold bitcoin as their reserve when he said dangerous and not the YouTube guy. It's actually dangerous for a country or company to go in all, hold bitcoin as the company or country's reserve due to it nature of volatility. It value fluctuate very rapidly and can not be predictable what is next move is. A country or reputable companies need to save their reserve on assets that have maximum security. All digital assets including bitcoin is vulnerable to cyber attacks and other security breaches. Advisably, holding a large percentage of companies or countries reserve in bitcoin carries significant risks. A reasonable percentage should be considered rather in order not to be bankrupt if the value drops.

If he's referring to YouTube guy, it's not dangerous. Bitcoin has proven itself and it's not too dangerous even if one decides to invest 90% of their portfolio in bitcoin while the remaining 10% should be diversify to other altcoins. For individuals who wish to hold for long term, allocating larger portion of your entire assets to bitcoin is very necessary.

[Luzin]

Bitcoin volatility is a gift and that's what make cryptocurrency unique from other currencies.

Yes, maybe that's the case for us investors. Because indeed we take advantage of instability to make a profit. If Bitcoin is stable, perhaps the government will not be afraid to make an adoption and it will make strong recognition of Bitcoin faster.
Indeed, this industry was created that way, although this seems to be very contrary to Satoshi's vision as a peer-to-peer electronic money system that allows secure and decentralized transactions instead of being an Investment instrument.

[Marvell1]

Bitcoin volatility is a gift and that's what make cryptocurrency unique from other currencies.

Yes, maybe that's the case for us investors. Because indeed we take advantage of instability to make a profit. If Bitcoin is stable, perhaps the government will not be afraid to make an adoption and it will make strong recognition of Bitcoin faster.

But I don't think bitcoin's volatility is a barrier that makes governments hesitant to accept bitcoin. Decentralization is the factor that concerns the government the most because if people use bitcoin they will lose control over their citizens, which will cause them many consequences.

Indeed, this industry was created that way, although this seems to be very contrary to Satoshi's vision as a peer-to-peer electronic money system that allows secure and decentralized transactions instead of being an Investment instrument.

Even if bitcoin becomes stable, I don't think bitcoin will be used as a currency, governments won't let that happen, they can't let a currency not controlled by them become popular. So sometimes I think it's more appropriate to consider bitcoin as an investment even though that's not what Satoshi wanted.

[EarnOnVictor]

You talk like someone that is not deeply rooted in trading, it is not respective of how many times histories look similar but the warning towards the time of deviation. Nothing works perfectly even if they have done that before and what is happening with Bitcoin recently should have hinted to you of this. This is how every asset behaves, so Bitcoin can't be an exception, it is only a matter of time before everyone knows this and faces the reality.

Fine, Bitcoin has had some beautiful patterns/cycles in the past, but it is due to the fact that the people in control then have the same mentality/ideology towards it, so they turn it into a tradition which makes it behave in certain ways in cycles. But things are changing, especially this time that Bitcoin is now being majorly controlled by institutions and not by the old whales as people called it, who understand and manipulate it the same way, and also preach the same to adopters.

How it behaves at the weekend should have also told you something, it will get to a time when it will not be business as usual, nothing happens in the past that will always be replicated in the market, it is not possible, it can only take time. The earlier we plan for it, the better for us as no asset can always be behaving in such a way that people will always be able to cheaply predict it as it was in Bitcoin. If it continues forever this way, then it is not dynamic like other markets, which I will never believe. Expect more deviation soon!

Are we entirely sure that it is changing? Why do you think that it is changing or at least what made you believe that it is? So far, we have seen it go up after halving, and then go down after that up, and then stay down for a while, then go up again after halving and that has been the system for a long time. Looking at the most recent years, yeah 2022 was down, 2023 stayed down mostly or went up just a bit, and now we are near the all time high, so far it all looks like quite similar to the past.

So, I do not see a reason why it is going to change anytime soon, we are looking at something that will take care of it very differently, and I do not think that we are going to end up with something that will change, we should accept it as it is.

As per your query, Bitcoin is good but not perfect and I have written about many reasons why Bitcoin should be careful of it over time. Just like any other asset, we have to be the friend of our trading chart for the most effectual guide and not rely on the past histories as you claimed, it will NEVER, I repeat, it will NEVER continue to replicate it. If Bitcoin replicates history all the time, then it is useless, because it is a very good reason to say that it is not dynamic. The dynamism of thing is a very good characteristic of all assets listed in the financial market, this is why they are not always predictable.

Fine, in the past, Bitcoin had some high degree of replications of its history in cycles, yet, are you not sensing that things are changing? Look at what happened in the later part of 2023 to till March 2024, had it ever been witnessed in the history of the market where it would have such a huge movement in just some months to halving? A situation that made it hit its former ATH of about $69,000 and even moved past it to settle at about $73,850, which it has not been able to reach again even after the halving.

Also, a very good consideration is that all the time that Bitcoin was buying in multiples and replicating the past histories in cycles, don't you think that the price was still low? Which is also applicable to its liquidity. By then, it has fewer adopters compared to the present statistics, most people have already known it, so who are the new adopters (in millions) to push it higher so significantly in a short time? If at all Bitcoin will rise so well, it will take time.

Besides, in the past, whales with a few million bucks might buy it and go to social media and talk of it, and by that, many followers would do as he said as well which often caused the market to move as they predicted (manipulation). But that is gone. This can only continue with a thin liquidity market and not what Bitcoin represents now. An end has come to such bullish speculation without a basis for it, and this is particularly true as the market is now being controlled by institutional money and not the so-called whales. If at all, they (institutions) are interested in buying Bitcoin, they would have bought it very low, that's the way they operate. It's risky for them to buy it high, so where is the liquidity coming from to push Bitcoin so high in a short space of time? I really don't have confidence in that.

Notwithstanding, these are my personal views, they are not automatic things that will happen.

[SquallLeonhart]

I think it has something to do with maturity. When you're early in the market, you'd easily be affected by short-term price movements. You're emotional. And you're easily swayed by your emotions. That brings a newbie to panic sell or FOMO, thereby sell high buy low.

But when you're exposed to the market long enough, short-term fluctuations would become ordinary that you don't mind them anymore. You'd feel more or less assured. You've seen it all. You know that in the end you'd see another ATH. You know that the market rewards you in the long run.

But then again there are also those who either don't mature or are less convinced of Bitcoin's potentials or are risk-averse.

If you are newbie enough that you would panic and sell during the first volatility, then you should probably not be in the crypto world to begin with. I understand that we are not going to end up with great results right away, but lets at least realize that we are going to end up with a lot worse results if we let our emotions run wild.

This is why it is important to know the difference between realistic and proper trading methods, and then emotions getting involved with it. You could of course sell when the price goes down, normally not something people would suggest, but if there is something that makes sense on the charts then it can be fine. It is emotional selling that you should not be doing and that would be very bad on the long run.

[yudi09]

I think BTC is very volatile to use it as a value reserve of a big company or a country. But it is awesome seeing its capability to speculate and invest in long term. Today I watched a video on YouTube a rich man saing that BTC is 80% of his patrimony. I think it can be dangerous. And all of you? Also are all in?

I think it will not be dangerous if its use is intended for long-term investments. Assume that 80% of his wealth in the form of Bitcoin is used as an investment until Bitcoin reaches the latest ATH, then profits will be obtained. After that his use may be diverted as long as he knows what and how Bitcoin is.
I believe Bitcoin will continue to maintain its value in the future so I don't think about making 80% of my wealth in the form of Bitcoin because Bitcoin deserves to be used as an inheritance that needs to be protected.

[ancafe]

I think BTC is very volatile to use it as a value reserve of a big company or a country. But it is awesome seeing its capability to speculate and invest in long term. Today I watched a video on YouTube a rich man saing that BTC is 80% of his patrimony. I think it can be dangerous. And all of you? Also are all in?

But there are several companies that actually use bitcoin as a reserve of value and El Salvador actually sees a big opportunity in bitcoin for their economic growth. The level of confidence in the growth of bitcoin can be seen from the ability of both to develop, where the comparison between companies and El Salvador uses bitcoin as a hedge. It is proven that their economic growth is getting better and this is done based on quite careful consideration before decisions are taken. In the long term there is nothing to worry about because bitcoin always gives rise to new cycles and the price will continue to rise as long as the ATH appears.

Why is it dangerous and as long as bitcoin is still the best asset, there is no need to worry because the value of bitcoin continues to increase all the time. A man who puts 80% of his assets in bitcoin is also inseparable from the profits he gets from it so he dares to put that much of his asset portfolio in bitcoin.