Don't Buy The Bitcoin Dip

Don't Buy The Bitcoin Dip

Comply with Frank on X.

With bitcoin’s worth dipping considerably under $100k once more, the “buy the dip” cheerleaders are out in full pressure.

However I’m right here to supply a special perspective: Don’t purchase the dip.

Earlier than I proceed, let me please make it clear that nothing that I write on this Take is funding recommendation.

Why would I say such a factor? Is it that I hate bitcoin abruptly?

No.

I’ve different causes for making such an announcement.

The first is that I’m attempting to maintain you from changing into exit liquidity for folks like this:

The second is that I like to purchase bitcoin when it’s really promoting at a reduction, not simply when it seems to be promoting at one.

Let me clarify.

Proper now, bitcoin is buying and selling about 13% off of its all-time highs. Whereas which may be a major low cost for an asset on the earth of conventional finance, it’s hardly greater than a each day fluctuation on the earth of bitcoin.

Within the four-year bitcoin cycles, bitcoin’s worth tends to skyrocket through the years of and after its halving. After which the yr that follows tends to be fairly horrible for bitcoin’s worth. Throughout that yr, bitcoin’s worth hits a low, which tends to be within the vary of the prior cycle’s excessive.

That was a bit complicated, so let me provide you with an instance.

In 2022, the final “pretty terrible” yr, bitcoin’s worth dropped to about $15,500, which was really about $3,500 decrease than bitcoin’s high from the earlier cycle — $20,000.

If one thing comparable had been to occur in 2026, we’d see bitcoin’s worth at roughly $53k (23% under the earlier cycle’s all-time excessive of $69k). Now, that may be a major low cost and a dip value shopping for.

I don’t share this angle to dissuade you from persevering with with one thing like a dollar-cost averaging bitcoin funding technique (top-of-the-line methods on the market for the common retail investor). As a substitute, I share it as a result of if a liked one got here to me and requested me if now was a great time to purchase bitcoin, I’d say “not really.”

I attempt to maximize the monetary upside (in fiat phrases) of investing in bitcoin as a lot as attainable for many who ask me about investing in it — particularly those that are new to it. And whereas I might possibly assist somebody commerce out and in of a bitcoin place within the subsequent yr or so, I don’t like to do that, as I encourage folks to purchase and maintain bitcoin for the lengthy haul.

However, Frank, the U.S. may announce a Strategic Bitcoin Reserve and different nations could comply with go well with! And take a look at all of the firms shopping for bitcoin for his or her treasuries!

Sure, these items are occurring, and so are issues like Bhutan promoting bitcoin and so have issues like Germany promoting bitcoin and Tesla promoting bitcoin.

Up till now, all bitcoin worth cycles have been comparable. So, whereas it appears to be like like now we have one other yr of bitcoin worth upside in retailer for us, I believe we drop far decrease than this present worth stage when the tables flip.

And that’s after I’ll be proactively shopping for.

This text is a Take. Opinions expressed are solely the writer’s and don’t essentially replicate these of BTC Inc or Bitcoin Journal.

Supply hyperlink

author avatar
Crypto Dunia
bitcoin
Bitcoin (BTC) $ 115,629.98 4.15%
ethereum
Ethereum (ETH) $ 2,939.72 6.38%
tether
Tether (USDT) $ 1.00 0.02%
xrp
XRP (XRP) $ 2.53 5.30%
bnb
BNB (BNB) $ 688.02 2.71%
solana
Solana (SOL) $ 163.22 4.41%
usd-coin
USDC (USDC) $ 1.00 0.01%
dogecoin
Dogecoin (DOGE) $ 0.193082 7.62%
tron
TRON (TRX) $ 0.294087 1.21%
staked-ether
Lido Staked Ether (STETH) $ 2,939.19 6.46%
cardano
Cardano (ADA) $ 0.673496 8.77%
wrapped-bitcoin
Wrapped Bitcoin (WBTC) $ 115,504.95 4.08%
hyperliquid
Hyperliquid (HYPE) $ 43.56 7.19%
wrapped-steth
Wrapped stETH (WSTETH) $ 3,550.10 6.36%
sui
Sui (SUI) $ 3.43 11.99%
bitcoin-cash
Bitcoin Cash (BCH) $ 516.09 0.69%
chainlink
Chainlink (LINK) $ 15.14 6.69%
stellar
Stellar (XLM) $ 0.300182 4.70%
avalanche-2
Avalanche (AVAX) $ 20.61 6.00%
leo-token
LEO Token (LEO) $ 9.04 0.81%
hedera-hashgraph
Hedera (HBAR) $ 0.191112 11.56%
wrapped-eeth
Wrapped eETH (WEETH) $ 3,147.70 6.33%
shiba-inu
Shiba Inu (SHIB) $ 0.000013 7.29%
usds
USDS (USDS) $ 1.00 0.01%
weth
WETH (WETH) $ 2,941.71 6.44%
the-open-network
Toncoin (TON) $ 2.94 3.46%
litecoin
Litecoin (LTC) $ 94.15 4.16%
whitebit
WhiteBIT Coin (WBT) $ 46.80 0.24%
binance-bridged-usdt-bnb-smart-chain
Binance Bridged USDT (BNB Smart Chain) (BSC-USD) $ 1.00 0.05%
monero
Monero (XMR) $ 328.58 0.38%
coinbase-wrapped-btc
Coinbase Wrapped BTC (CBBTC) $ 115,685.00 4.16%
polkadot
Polkadot (DOT) $ 3.85 6.92%
bitget-token
Bitget Token (BGB) $ 4.58 4.28%
ethena-usde
Ethena USDe (USDE) $ 1.00 0.00%
pepe
Pepe (PEPE) $ 0.000012 11.85%
uniswap
Uniswap (UNI) $ 8.35 1.80%
aave
Aave (AAVE) $ 305.56 2.23%
pi-network
Pi Network (PI) $ 0.499695 6.92%
dai
Dai (DAI) $ 0.99995 0.04%
bittensor
Bittensor (TAO) $ 372.77 7.10%
ethena-staked-usde
Ethena Staked USDe (SUSDE) $ 1.18 0.09%
aptos
Aptos (APT) $ 4.82 4.91%
near
NEAR Protocol (NEAR) $ 2.50 7.36%
crypto-com-chain
Cronos (CRO) $ 0.097057 2.27%
okb
OKB (OKB) $ 49.15 0.12%
internet-computer
Internet Computer (ICP) $ 5.38 5.02%
jito-staked-sol
Jito Staked SOL (JITOSOL) $ 198.48 4.41%
blackrock-usd-institutional-digital-liquidity-fund
BlackRock USD Institutional Digital Liquidity Fund (BUIDL) $ 1.00 0.00%
ethereum-classic
Ethereum Classic (ETC) $ 18.30 4.33%
ondo-finance
Ondo (ONDO) $ 0.887206 6.96%
susds
sUSDS (SUSDS) $ 1.06 0.02%
kaspa
Kaspa (KAS) $ 0.085942 5.92%
usd1-wlfi
USD1 (USD1) $ 1.00 0.04%
mantle
Mantle (MNT) $ 0.628224 5.57%
cosmos
Cosmos Hub (ATOM) $ 4.61 6.84%
vechain
VeChain (VET) $ 0.02391 7.37%
ethena
Ethena (ENA) $ 0.314717 10.28%
polygon-ecosystem-token
POL (ex-MATIC) (POL) $ 0.219852 6.93%
arbitrum
Arbitrum (ARB) $ 0.395561 12.29%
official-trump
Official Trump (TRUMP) $ 9.77 8.43%
gatechain-token
Gate (GT) $ 16.19 1.22%
fasttoken
Fasttoken (FTN) $ 4.46 0.27%
fetch-ai
Artificial Superintelligence Alliance (FET) $ 0.731623 5.01%
render-token
Render (RENDER) $ 3.65 9.56%
worldcoin-wld
Worldcoin (WLD) $ 1.08 19.26%
algorand
Algorand (ALGO) $ 0.213919 12.20%
bonk
Bonk (BONK) $ 0.000023 13.43%
binance-peg-weth
Binance-Peg WETH (WETH) $ 2,944.63 6.48%
sky
Sky (SKY) $ 0.083644 3.06%
filecoin
Filecoin (FIL) $ 2.57 6.10%
sei-network
Sei (SEI) $ 0.312333 19.20%
lombard-staked-btc
Lombard Staked BTC (LBTC) $ 115,354.91 3.86%
jupiter-perpetuals-liquidity-provider-token
Jupiter Perpetuals Liquidity Provider Token (JLP) $ 4.72 2.71%
binance-staked-sol
Binance Staked SOL (BNSOL) $ 172.87 4.09%
spx6900
SPX6900 (SPX) $ 1.59 5.52%
usdtb
USDtb (USDTB) $ 0.999752 0.04%
first-digital-usd
First Digital USD (FDUSD) $ 0.999032 0.00%
kucoin-shares
KuCoin (KCS) $ 11.35 1.60%
jupiter-exchange-solana
Jupiter (JUP) $ 0.481823 7.41%
kelp-dao-restaked-eth
Kelp DAO Restaked ETH (RSETH) $ 3,087.53 6.60%
rocket-pool-eth
Rocket Pool ETH (RETH) $ 3,350.32 6.38%
usdt0
USDT0 (USDT0) $ 1.00 0.07%
celestia
Celestia (TIA) $ 1.84 9.93%
fartcoin
Fartcoin (FARTCOIN) $ 1.30 17.87%
nexo
NEXO (NEXO) $ 1.26 2.22%
pudgy-penguins
Pudgy Penguins (PENGU) $ 0.019161 22.33%
injective-protocol
Injective (INJ) $ 12.05 10.55%
xdce-crowd-sale
XDC Network (XDC) $ 0.072413 5.39%
flare-networks
Flare (FLR) $ 0.016683 2.79%
virtual-protocol
Virtuals Protocol (VIRTUAL) $ 1.75 11.84%
optimism
Optimism (OP) $ 0.654084 12.25%
mantle-staked-ether
Mantle Staked Ether (METH) $ 3,147.48 6.47%
blockstack
Stacks (STX) $ 0.736942 7.59%
stakewise-v3-oseth
StakeWise Staked ETH (OSETH) $ 3,090.35 6.45%
sonic-3
Sonic (S) $ 0.337244 6.24%
polygon-bridged-usdt-polygon
Polygon Bridged USDT (Polygon) (USDT) $ 1.00 0.01%
solv-btc
Solv Protocol BTC (SOLVBTC) $ 115,514.95 4.25%
dogwifcoin
dogwifhat (WIF) $ 1.04 9.10%
binance-bridged-usdc-bnb-smart-chain
Binance Bridged USDC (BNB Smart Chain) (USDC) $ 1.00 0.01%
renzo-restaked-eth
Renzo Restaked ETH (EZETH) $ 3,097.45 6.67%
Scroll to Top