Psychologically speaking, we haven’t see Bitcoin or Ethereum return to their previous trading range (+60k for BTC and +4K USD for ETH), and it could still be several weeks until they return to those prices. Buying the dip means buying and HOLDING (hodl) the coins you bought at those lower prices, expecting the prices to rebound and move up higher in the future. Don’t get impatient for the prices to return back to previous highs. Be satisfied and realize your fortunate position to be able to buy coins at such a deep discount.
We’re Bullish on Crypto
(and you should be too!)
See Glassnode for recent Bitcoin activity. The metric below shows more than 148,000 Bitcoin being moved off exchanges on May 19th, when the dump to 30k happened. Even if the panic dump on May 19th scared you, the fact of the matter is that strong “diamond hands” and big trading desks were buying bitcoin on the dump, which proves that it was a great buying opportunity. As long as bitcoin stays below 40k, it’s still a great price to buy more.
Our Market Outlook
I am still bullish on Bitcoin and crypto AND I bought the dip. Some of you may be wondering “How can you be so bullish with so much negative price action and selling?!” That’s an easy answer that which was penned in the 18th century by Baron Rothschild: “the time to buy is when there is blood in the streets.”
For many of you that have entered the crypto market earlier this year, a pull back like what we witnessed was likely very intimidating and scary. Remember that feeling of fear and keep it in your short-term memory, not to keep you paranoid, but to reinforce the importance of taking profits and being satisfied with any amount of profit, expect more volatility- but that’s a good thing. Traders need volatility in order to make profits. Lastly, let this recent pull back be a good reminder as to why it’s important to keep USD(T) or at least NZD available just in case.
“Only when the tide goes out do you discover who’s been swimming naked” -Warren Buffett.