How Much Bitcoin Do You Need?

By johnwege | johnwege | 17 Sep 2024

There is one question that everyone has when they enter the Bitcoin market, and it is also the thing that haunts them the most in this industry.

How much Bitcoin do I Need? And, Do I have enough Bitcoin?

Most people enter the Bitcoin market hoping to make some nice profits. They have likely heard stories from their friends, co-workers, or acquaintances about them making money with BTC, and they want in on the action.

However, once these investors finally have bought their first percentage of a Bitcoin and have some skin in the game; something changes.

Once people have actually invested their cash into an asset, they become much more interested in it. They want to know more about it, follow it more, and become more attached to it.

With Bitcoin, this is a story as old as time.

Investors will begin by having little to no interest in BTC and only investing because they heard they could make money. But after buying BTC for the first time that is when everything changes.

It is at this precise moment that most people fall down the rabbit hole of Bitcoin, and at that point, there is no turning back. They will have finally learned what makes Bitcoin valuable, its use-case, why it’s a better form of money, learn about the halving, being inconfiscatable, and the list goes on.

This is the moment that the mindset of Bitcoiners begins to change. They went from just wanting to make nice profits in the beginning. To believing that this is an asset that will change the world, and FOMOing that they don’t have enough.

One of the most popular predictions amongst Bitcoiners is that something it will cause the largest transfer of wealth that the world has seen in recent history. Believing that the people who have been diligently investing in Bitcoin throughout the years will be able to reap the rewards. While those who have been sitting on the sideline will miss out entirely.

How much Bitcoin do you actually need?

While this seems like a simple question at first, there is actually quite a bit of nuance that we have to consider.

What are your financial goals?

To know how much Bitcoin you need, we also need to know what your goals are. For the purposes of this article, our goal will be to make life-changing wealth. Enough money so that you are no longer trapped in the daily rat race just to survive. You’ll have enough money to pay off all your bills, buy that dream house of yours, retire, start your own business, or simply do whatever you want.

The truth is that as the years go on, even the amount of Bitcoin that you will need has been changing as well.

When I first entered the Bitcoin market, it was thought that having a few hundred Bitcoins was the amount that was necessary to be set for life. But as time passed, Bitcoin exceeded all price expectations which also changed the amount of Bitcoin that should be your goal to accumulate.

Eventually that Bitcoin accumulation goal would drop to 21, then to 5, and then to 1.

Location & Age

Before deciding how much Bitcoin you need, there are two vitally important factors that could change everything. Where you live, and how old you are.

Someone living in the United States where everything is much more expensive, would also need more Bitcoin to become rich via BTC. The same can be said about your age. Someone who is 21 years old would need a substantially larger amount of Bitcoin to be able to retire than someone who is 75. Each person has their own situation, and what is right for you, might not be right for me or the next person.

Also, we must always remember that nothing in Bitcoin is guaranteed and that there is always a chance that prices could eventually drop to a point where Bitcoin no longer has value. We all need to be able to accept that reality.

However, for the purposes of this article, we will be assuming that all of those insanely bullish price predictions for Bitcoin come true. That the mythical largest transfer of wealth does in fact happen, and that Bitcoiners are the benefactor of that event.

During the 2024 Bitcoin Conference, Michael Saylor outlined his 21-year price forecast for Bitcoin. Offering a bear case, a base case, and a bull case. With price predictions of $3 million, $13 million, and $49 million for each of those situations.

Some may discount this as just more overly bullish statements from someone too biased by Bitcoin. But, the truth is that he isn’t the only one giving these types of predictions.

VanEck, one of the largest mutual fund managers in the world has also come out with similar predictions in their own 2050 bull scenario case for Bitcoin. Predicting that the price could skyrocket all the way up to $52.38 million.

The list of companies and people bullish about Bitcoin continues to go on and on. ARK Invest CEO Cathie Wood has predicted that Bitcoin’s price will be over $3 million by 2030. Also, don’t forget that Larry Fink, CEO of BlackRock, has recently changed his tune and become one of the largest advocates for Bitcoin.

You definitely should take all of these predictions with a grain of salt. But, where there is smoke, there is fire.

The Bitcoin Goal

The BTC accumulation goal for every investor should still be to obtain 1 full Bitcoin. If you are able to do that, after 20 years have passed you will be set for life, never needing to worry about money again.

However Bitcoin is currently priced at $60k, and that goal has become out of reach for many people already. The great thing is that you don’t need to own a full Bitcoin to change your life financially.

If those lofty price predictions come anywhere near coming true, the reality is that you would only need to own a percentage of Bitcoin to still be able to become rich from it. That is why it’s important to continue accumulating even if you think you can’t reach 1 full Bitcoin.

Investors who have been in the Bitcoin market long enough have likely heard the phrases, “You aren’t bullish enough about Bitcoin,” and “You don’t own enough Bitcoin.”

There is much more truth in those phrases than most realize.

The real goal is that your goal should be to accumulate as much Bitcoin as you possibly can. If you do that, there is a great chance you’ll be able to change your life forever.