1 BTC was always worth exactly 1 BTC
That headline may seem a little ironic, given that bitcoin is currently trading for less than one-third of what it was worth eight months ago.
As true as that may be, if you waited until the bear season, you could have purchased 3 bitcoins for the same cost. Do you still remember the statements: Bitcoin will reach 100,000 by the end of 2021?
I remember, and I have learned that if I ever read that again, it will definitely not happen.
The market is a living organism, that can be used as a tool.
It is fair.
It does not care about you, nor about anyone else
It is merciless.
You can not control it, and yet you can ride it.
As a matter of a fact: if a particular strategy works for you, it counts as the best strategy.
Even when you do make the proper decision after doing market research, there is still a high failure rate. In case, you intend to make fun of those who purchased the "the top" do not.
Every TOP is just a temporary location. It was $20,000 just a few years ago. Now it is $60,000, will the next one be $180,000?
Dollars do not matter, only BTC
It may seem strange if you're just looking to make a quick buck, but bitcoin's price is still evolving along with the technology.
Sometimes it is higher, sometimes it is lower.
But if you hold 1 BTC, you hold 1 BTC. No more, no less. Who cares if you bought it at $3000 or $60000. Its value should not be measured in dollars, but in BTC.
Whatever the market does in between is pointless. The fun—or pain—is in the sideways movement; individual circumstances will determine which.
Values are erratic, chaotic, crazy, insane, divine in the short term, and will inevitably become unpleasant or pleasant. But fundamentally, 1 Bitcoin stays 1 Bitcoin.
1 BTC = 1 BTC
Dollar-Cost Average
The practice of investing a set amount on a regular basis, independent of the price, is known as dollar cost averaging.
It is the method to form a disciplined investing habit, increase your investment efficiency, and possibly reduce your stress—as well as your expenses.
Say you put $50 away each month. Your $50 will buy fewer shares when the market is up, but more shares when the market is down.
The problem is the solution: you do not know when it is the top and when it is the bottom. If you buy continuously and regularly, your average buying price will be lower than if you went all in at a price you though was the bottom. Be honest - you never got the bottom correctly.
While compared to what you would have paid if you had purchased all of your shares at once when they were more costly than the average, this technique may eventually lower your average cost per BTC.
