How Is buy and hold the best strategy while investing in Bitcoin? \ stacker news ~bitcoin

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How Is buy and hold the best strategy while investing in Bitcoin?

1326 sats \ 31 comments \ @TheMorningStar 27 Aug bitcoin_beginners

Dear Stackers!

Before moving further with question on 'buy and hold approach' for bitcoin, let me clarify that I'm not a veteran in Bitcoin or in any other investment. I'm a bit confused so, I'm just putting my views. Take me as someone who is lost in desert without water and needs to find an oasis asap, lest it's too late!

I've been investing in Bitcoin only from January this year. So far, I'm only buying and holding. I made seven purchases through Binance P2P which I see is the best and only source for Indians, as far as I know.

I purchase as soon as I've around 10k Indin Rupees in my account. I'm not doing any permanent job so my income is neither stable nor regular. However, since January, I could buy a little less than a million Sats.

My Sats are currently sitting on a profit of around 20% in fiat terms, which I think is great in comparison to someone investing elsewhere.

But could this not be even bigger, had I sold the sats when the dollar price of Bitcoin touched +70k? It did not happen only for once but it had already happened twice. I don't say that I'd be out of Bitcoin after selling. In fact I'd buy if the dollar price of Bitcoin falls again.

But when I listen to a maxi bitcoiner, he would never suggest you selling even if it's going to be bought again.

In short, I've been listening both 'buy and hold' and 'buy , hold then sell' approaches.

I can't understand the philosophy behind 'buy and hold forever' so, I'm putting it here in ~bitcoin_beginners.

So, kindly enlighten me on the subject of 'only buy and hold' for Bitcoin.

Thanks !!

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139 sats \ 0 replies \ @Satosora 27 Aug

Trying to buy bitcoin, sell it at its hight, and buy it at its low is very hard. For the people that do, eventually the market catches them.

223 sats \ 2 replies \ @Undisciplined 27 Aug

Many of us are not thinking of this as an investment, in the sense of anticipating great fiat gains in the future. Rather, we're anticipating a monetary revolution and saving in bitcoin to prepare for it.

Many of us also take this further, wanting to help a global bitcoin monetary standard come about. To that end, we are trying to make bitcoin central to our financial lives, so we don't want to exchange it for fiat unless we absolutely have to.

If you do want to think about it as a more standard investment, there are plenty of reasons to stick with a simple buy and hold strategy, rather than trying to time the market. When people stick to simple rules, they're less likely chase gains, which can lead to huge losses. Also, depending on your jurisdiction, buying and selling might lead to capital gains taxes that can wipe out a large share of your gains.

65 sats \ 1 reply \ @TheMorningStar OP 28 Aug

Thank you so much!

So, because Bitcoin is Revolution. Wouldn't it be great, I can increase my stack as early as possible.

Haven't you ever done buy, sell then rebuy or you just kept it simply buy buy?

Asking to know about your experience.

180 sats \ 0 replies \ @Undisciplined 28 Aug

I've never sold.

109 sats \ 7 replies \ @siggy47 27 Aug

What @Undisciplined said. Remember too that you are looking at anecdotal evidence from a short time period, and you are also assuming you would have perfectly timed those sells and buys. Don't forget the emotional factor. Who's to say at 49k you wouldn't think, man, wouldn't it be great to buy at 45k. Next thing you know it's at 58. I learned these lessons when I used to play the stock market. Next, you'll be tempted to use leverage to increase the size of your bag. Then you could get liquidated with a sudden move. It's your choice. Just consider everything beforehand.

343 sats \ 6 replies \ @TheMorningStar OP 28 Aug

Thank you sir!

I don't believe in leverage at all. I'll never fill my bags with that.

Yes, there's risk of selling at any point of rice. Bitcoin jumps too fast and slides back too fast as well. I've learnt that trading is not for emotional people.

Because I'm very new. Can you please suggest what and how should I increase my stack in time before Bitcoin becomes standard.

27 sats \ 5 replies \ @siggy47 28 Aug

I am trying to figure that out too! I'm no expert. I do dca, and I have seen that work well for me. Buy the same amount regularly on a certain time frame-daily, weekly, monthly. Keep it small. That helped me during the 2022 bear market.

88 sats \ 4 replies \ @Coinsreporter 28 Aug

While doing DCA, my strategy has been to navigate through the volatility. I always divide my funds in two. One is for regular buys and one for when the prices fall lower. For example, I would buy on 1st of every month with half of my funds on whatever price is there. I'll buy with rest of the amount when prices are lower in the month.

Sometimes, if they don't fall below the first buy price, I hold my funds to buy in the following month, lower than the first buy of that month.

I've been lucky to always work this strategy in my favour. To talk about last four months, I held half of mu funds because I didn't get the lower price. I fortunately got in at 51 k this month.

17 sats \ 3 replies \ @siggy47 28 Aug

Yes. I will scrounge around for some fiat during dumps too. Otherwise I just dca.

77 sats \ 2 replies \ @Coinsreporter 28 Aug

I don't need to scrounged around as I always put aside half of my total funds for the dumps. This has really worked. I highly recommend you to try it.

11 sats \ 1 reply \ @siggy47 28 Aug

Good idea

77 sats \ 0 replies \ @Coinsreporter 28 Aug

Try it! It's worked for me. This month is a great example. Since March I've been buying with half of my buying funds on 1st. Half being put aside in hope that I could get lower prices than that. But not happened in April, May, June and July. The patience is the key. August saw a major dump and at 51k, I went all in. I got nearly 50% more sats than I could have had without this strategy.

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33 sats \ 0 replies \ @Athena 28 Aug

Holding Bitcoin is the only strategy I follow. And that's what I would advise everyone to do.

40 sats \ 1 reply \ @BitcoinAbhi 28 Aug

I don't believe in trading of Bitcoin. I am holding it for future.

0 sats \ 0 replies \ @TheMorningStar OP 28 Aug

What are you gonna do with them in future?

34 sats \ 1 reply \ @SatsMate 28 Aug

The primary reason to buy and hold forever is it is incredibly tricky to time the local tops and local bottoms. Many try, and very very few actually can do that (maybe with a stroke of luck, or through deep technical trading skills).

Nevertheless, Bitcoin tends to move in degrees of magnitude. It could be 58K at one moment and 90K in a couple days. Nobody knows where the fiat price is headed short term, but what we do know is over longer epochs of time (halvings) it tends to move up to higher highs and higher lows. Zoom out and focus on the big picture!

0 sats \ 0 replies \ @TheMorningStar OP 28 Aug

Yes, till now. I've zoomed out and focused on the big picture only.

It's just that over the time I've seen Bitcoin fluctuate and I thought of getting more stack earlier.

33 sats \ 1 reply \ @mdominicorobin24 28 Aug

Buy and hold simply shows that you are perfectly patient. Even if Bitcoin would come out as a dud or fluke it is rewarding that you can exhibit your patient against that eager beavers out there. However, I am sure that it is not a dud or a fluke. We are holding, simply because of the parallelism of what Mark Zuckerberg did with regards to his CONVID 19 confession. It is expected that they the elites will finally confess their true feelings and reveal that they were indeed jealous of us the HODLERS. We are the king of the world.

57 sats \ 0 replies \ @TheMorningStar OP 28 Aug

Superb!

I have no confusion now! Thanks! All clear now! Who doesn't want to be the king!

Hold Bitcoin and be the King!!

23 sats \ 1 reply \ @zapsammy 28 Aug

do not gamble with your lifeline, with your ticket to salvation.

generate delta (increase ur income or lower ur expenses, or both).
stack whatever you can afford to forget about for a few years.
learn to spend bitcoin in an efficient, private, and affordable manner via lightning.
as you become more comfortable spending some sats, you will be able to dump a lot more fiat for sats. keep a close eye on the budget.
educate others. ur and their bitcoin will power the tribes of the future.

stay humble, stack sats!

0 sats \ 0 replies \ @TheMorningStar OP 28 Aug

Thank you, sir! I'll keep in mind!

23 sats \ 1 reply \ @jgbtc 28 Aug

Just think of it as long term storage for wealth. Like a savings account you won't touch for 10 years. You can keep a little available in lightning for spending too.

0 sats \ 0 replies \ @TheMorningStar OP 28 Aug

Thank you so much!

23 sats \ 1 reply \ @sudonaka 28 Aug

https://m.stacker.news/48541

0 sats \ 0 replies \ @TheMorningStar OP 28 Aug

Superb!!

23 sats \ 1 reply \ @nostrman 28 Aug

This specific strategy of a lifetime is perfect for Bitcoin Maximalists simply because they are not holding stocks and they are not interested in less than ten percent gains. Bitcoin on the other hand is ultra volatile and can go beyond 50% of returns in a few short weeks.

0 sats \ 0 replies \ @TheMorningStar OP 28 Aug

But maximalists don't sell whether the price go down or up. So, I think uoure totally wrong about this. Please read the first and second comment and learn about maxi Bitcoin mindset.

13 sats \ 0 replies \ @BTCLNAT 28 Aug

Dear. First, I must admit that I am not a veteran of Bitcoin either.

On the one hand I heard someone say "Bitcoin is not trading" which means that it is not the main objective to trade with Bitcoin, which does not mean that it cannot be done. In reality, Bitcoin is an asset of the future, since when the corresponding 21 million have been mined, there will be no more, only 21 million and whoever owns Bitcoin will have a strong asset.

Of course, the goal is to save Bitcoin for the future, but price fluctuation sometimes helps us obtain greater liquidity and then a greater amount of Bitcoin. So saving the largest amount is the future goal, but taking advantage of price volatility at a given time is also smart.

0 sats \ 0 replies \ @criptopanas 30 Aug

Some comments about your post.

Binance is not the only place for buying. You need to learn about Robosats, LnP2Pbot, Bisq, Mostro and HodlHodl.
Do not worry about your profit on FIAT term, just try to focus on stacking more sats.
Trying to time the market and sell your SATS when the price is high and buy again when the price is low is very hard, most people end up doing the opposite, buying high and selling low. IMO, the best option to save in bitcoin is to do DCA, just buy every week or month and try to not look the price, just buy & hold for a cycle ( 4 years at least), then, decide if you want to get out some cash to buy X item or just wait longer to buy a bigger asset...
Long term is the key.

So, just buy & hold.

0 sats \ 0 replies \ @Carresan 28 Aug

The more I read and learn bout bitcoin, the more I realise I need to buy and hold it.

Fair enough, you may spend some sats in LN.

Though only looking 5-10 years ago , you can realise where bitcoin will be in 5,10 or 20 years later.

Stay humble, stack sats.

0 sats \ 0 replies \ @Bell_curve 28 Aug

Bitcoin price tends to ebb and flow with the halving cycle

Most bitcoin volatility happens once a month but it’s hard to predict when exactly

ETF is a new variable that doesn’t have any history