The Bitcoin and Altcoin Dilemma
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The Bitcoin and Altcoin Dilemma

By MarkHelfman | Crypto is Easy | 12 Jan 2021


Happy Monday!

Even though bitcoin’s price is 25% lower than it was a few days ago, it remains in a parabolic uptrend that’s on pace to hit $100,000 by mid-February.

Look at the blue line, a projection of bitcoin’s price based on the past three months’ rise:

Crazy, right?

This creates a dilemma:

  • You never want to buy into a parabola. That’s a cardinal sin. You want to get in before the parabola or after the inevitable crash that follows.

  • You want to buy more crypto because prices just fell and altcoins are right at the beginning of their own parabola, as I showed you in my most recent update.


My Most Recent Update


What do you choose?

Everybody’s telling you to buy the dip and the entire altcoin market looks amazing, with several long-term trends converging in altcoins’ favor right now.

That creates a dilemma, too:

  • Altcoins are the best risk/reward opportunity in crypto right now. Bitcoin’s parabola takes it only 2-4x higher before the market cycle peak, but altcoins have far more room to run.

  • Altcoins always follow bitcoin. When bitcoin crashes, so do altcoins.

Will we get a 50% crash now? Or will we have a brief, normal 20-30% dip before continuing our ascent to the market cycle peak?

Both of those outcomes would be totally normal.

Bitcoin has crashed more than 50% ten times, including four times since the 2017 peak:

It has also crashed more than 40% even more often:

For anybody who follows my plan, you have no dilemma. There is only one decision: do nothing.


My Plan for Bitcoin's Bull Market


You may feel antsy or frustrated that you didn’t put more money into the market, which is normal and totally appropriate.

On top of that, as of today, my plan calls for us to buy crypto when bitcoin’s price drops to $17,000—a seemingly impossible task.

I offer my plan because it guarantees you always buy bitcoin and altcoins at the best times (even if prices go down after you buy).

As a result, you don’t need to stress when prices go up. All the hard work is done, it’s time to appreciate your good fortune.

Where we’re headed, you will never feel like you have enough money in this market.

When bitcoin’s price hits $50,000, you will regret not buying more at $10,000, $20,000, or $30,000. When bitcoin’s price hits $100,000, you will regret not buying more at $60,000, $70,000, $80,000, and every other price along the way.

Life will give you many, many chances to make money and build wealth. Crypto has already given you lots of those chances, too—and it will again. If you wait for those opportunities, you will not need to worry about anything that’s happening today.

It may seem crazy to think bitcoin will go below $20,000.

Yet, when you look at bitcoin’s history, it’s possible. Anything down to $16,000 would be realistic.

For this very reason, I continue to urge patience and caution.

On bitcoin

Nothing to do.

If we keep going up, we will soon hit the market cycle peak and sell. Premium subscribers, I’ll tell you when we get there.

If we crash 50%, we will have an amazing opportunity to accumulate more bitcoin before its price continues to go up, probably forever. Premium subscribers, I’ll tell you when my plan calls for us to buy.


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On altcoins

If you only want to make money from cryptocurrency quickly, you need to buy altcoins now, not bitcoin.

In fact, if not for bitcoin’s recent parabolic run, altcoins would be a no-brainer, slam dunk.

But with bitcoin in a parabolic run, you have to weigh your options carefully. Still, I suggest you look at altcoins, for this reason:

  1. If bitcoin crashes, altcoins will crash, too. They could both drop 50% and remain in healthy, long-term uptrends.

  2. If bitcoin goes up, altcoins will go way, way higher. At this moment, several positive trends and tailwinds are converging for altcoins. If you’ve subscribed for a while, you know what those are.

So, you have the same downside risks but a much higher upside with altcoins at this moment.

Tap this button for my most recent update with data, observations, and reasoning for this approach to altcoins.


Watch the January 9, 2021 Update


It’s hard now, but it will get easier

At this moment, you have hard choices to make. Once the market settles down, these choices will get much easier. We will have amazing opportunities to build long-term wealth and possibly even catch a short-term windfall.

Now is not that time.

If you can, try to enjoy your good fortune. You’re in this market way before everybody else, with massive opportunities ahead of you!

If prices keep going up, you win! You will sell the market cycle peak, save your windfall, and re-accumulate crypto at bargain prices.

If prices crash, you win! You will have a chance to buy more at steep discounts.

Stay calm and get ready. If you’re not subscribed to the Crypto is Easy newsletter, you may want to think about it.


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If not, that’s fine too. I’m happy you found me.

Relax and enjoy the ride!

Mark Helfman is a top writer on Medium and Hacker Noon for bitcoin. He also publishes the Crypto is Easy newsletter. His books, Consensusland and Bitcoin or Bust: Wall Street’s Entry Into Cryptocurrency, explore the social, cultural, and business challenges of cryptocurrency. Learn more about him in his bio.

 

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MarkHelfman
MarkHelfman

I publish the Crypto is Easy newsletter. I also wrote "Consensusland: A Cryptocurrency Utopia" and "Bitcoin or Bust: Wall Street's Entry into Cryptocurrency." Find me on Quora, Medium, Hacker Noon, Blockchain News, Hive. Learn more at MarkHelfman.com/bio


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