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[Symmetrick]

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[hatshepsut93]

A lot of people tell newbies to HODL and don't be a short term trader, and then they also tell people to buy the dip every time the price drops, which is exactly what they usually warn against - short-term trading. Yes, you don't lose money until you close your position, so if you buy dips and wait a few years, you're still in profit, but buying dips is not a smart strategy. The best strategy is to invest all the amount that you plan to invest during bear market and then wait for a long time and sell a portion of your coins in bull market and repeat this again when a new bear market comes. Buying dips is risky, because no one knows if this is just a short-term correction or the bear market has already started.

[CryptoWebDirectory]

I was just reading an article yesterday that talked about institutional investors and the projection that there would be even more institutions "getting into the game" next year (2022)... While I agree that we can't just look at institutional buys to determine if the market is going to be bullish/bearish, I still think it's a good sign that more and more institutions are adding money to the crypto markets. Personally, I've thought of these institutional buys and longer term holds. These companies aren't buying all that bitcoin and then just sitting back and day trading with it. They're buying and stashing because they're confident we'll see BTC get to $100k eventually. The institutional buys are a good thing for crypto overall because it's adding big money to market caps, but I certainly wouldn't use them as a buy or sell signal. Part of why I believe we saw a dip in December is because some of these institutions were unloading some of their BTC before having to close their books for the year.

[Upgrade00]

but buying dips is not a smart strategy. The best strategy is to invest all the amount that you plan to invest during bear market and then wait for a long time and sell a portion of your coins in bull market and repeat this again when a new bear market comes. Buying dips is risky, because no one knows if this is just a short-term correction or the bear market has already started.

The same scenario can apply if you try to time the bear and bull market as you can be off, the bear period you bought at might not be the bottom and when you sold might not be the top and you could end up regretting you should have bought later or sold sooner, or bought sooner and sold later.

For me, any attempt to time the market is futile and it's best to buy when you have funds to invest, so basically DCA, irrespective of the current market trend and hodl for the long term, (10-15years+). Yes, you could earn intermittently if you try to game the market, but you could also low out.

[Coyster]

do not use the report on the next purchases of bitcoin by large institutions as a signal of imminent and further growth.

If you're talking about the price of Bitcoin, then you're correct, investors should not be certain that with the presence of every new institutional investor there is going to be an appreciation in the price of Bitcoin, it can happen in your favor a couple of times, but it's not a guarantee, just like the entire network itself, but mind you that since there are no assurances in the network, this strategy may not be too bad for short term traders, so long as they do not invest more than they can lose. Having said that, I take the Influx of institutional investors as a sign of growth and development for the network (not the immediate price), it actually means more people and establishments believe in the network, and it is the very step that'll gradually take us to mass adoption.

[Bitcoin_Arena]

What people forget is that when institutions by bitcoin. They are also looking to make profits short term and not just holding long time. So obviously if they buy a huge amount of Bitcoin that can push the price up, then it's very likely they will sell the same amount of Bitcoin at some point to take profit leading a price drop.

[Darker45]

In the first place, if one is to make the most out of massive institutional purchases of Bitcoin, they shouldn't even be buying, that is, if they think these purchases would mean rise in price. After all, by the time the news come out, the purchase had already been made. If it has an effect to the price, it must have already been factored in by the time the news came out.

[_BlackStar]

In the first place, if one is to make the most out of massive institutional purchases of Bitcoin, they shouldn't even be buying, that is, if they think these purchases would mean rise in price. After all, by the time the news come out, the purchase had already been made. If it has an effect to the price, it must have already been factored in by the time the news came out.

I've seen Saylor's tweet a few times about Microstrategy buying bitcoin in bulk but I don't see any real impact on the bitcoin price. People may already know that it is done by the institution, and it is announced only after they make a purchase.

I have never used this kind of hype to buy because I know the power of such hype is temporary. Buying with self-analysis is the way to go even when we don't really care about the buy price if it's for the long term. In addition, the Elon hype also doesn't seem too strong at the moment so one shouldn't think of institution as a good investment moment.

[Darker45]

In the first place, if one is to make the most out of massive institutional purchases of Bitcoin, they shouldn't even be buying, that is, if they think these purchases would mean rise in price. After all, by the time the news come out, the purchase had already been made. If it has an effect to the price, it must have already been factored in by the time the news came out.

I've seen Saylor's tweet a few times about Microstrategy buying bitcoin in bulk but I don't see any real impact on the bitcoin price. People may already know that it is done by the institution, and it is announced only after they make a purchase.

I have never used this kind of hype to buy because I know the power of such hype is temporary. Buying with self-analysis is the way to go even when we don't really care about the buy price if it's for the long term. In addition, the Elon hype also doesn't seem too strong at the moment so one shouldn't think of institution as a good investment moment.

Of course, hype is always temporary. You cannot hype a thing forever. So it cannot be made as a basis for long-term investment. The crypto market has abundant proofs of how short-lived hype is.

However, these institutional purchases aren't without value. These may not be short-term signals at all but these are signs that the future could be brighter. If the majority of the largest business institutions in the world would begin to purchase Bitcoin, it does not only signal for an increase in the price, it also means a much wider adoption is underway.

[pooya87]

The only significance that these institutional investors buying bitcoin have is partially their hype factor and partially their "reverse brainwash" factor. It is not necessarily a bad thing either. For years we have had a lot of FUD that has scared a lot of people away from bitcoin by predicting its demise, calling it Ponzi/fraud and all kinds of things; so seeing the growth and how everyone is purchasing bitcoin, specially in big sums, is another good way of fighting all that misinformation.

[worle1bm]

Their main motive is to make profits in the short run as you could easily see how much they have gained over the time holding bitcoin compared to their regular profits over all these years.I would rather say it's positive approach towards bitcoin if we say this trend implicitly do not mean bull run but a slight price push is noticed as the demand increased by some numbers and the institution are concentrating huge supply with them like MicroStrategy holds above 120k btc at this time and Saylor personally also holds some of them.But the main part is we should be doing our own investment also to generate profits otherwise looking at them will not help us.