HODLing Bitcoin Right Now Is Easy, the Real Challenge Will Start When the Price Becomes Parabolic
Make a plan, and stick to it.
The euphoria that has spread throughout the Bitcoin world in the last few days shows how much everyone was waiting for the Bitcoin price to evolve. It has to be said that the Bitcoin price was stuck in an increasingly narrow range since the third Halving.
Before the sharp increase that took place between July 26–27, 2020, the Bitcoin price had just spent the whole month of July between $9,000 and $9,400.
Many people even ended up losing sight of Bitcoin’s long term goals by calling it boring. Seeing the Bitcoin price take almost 20% in 48 hours to go from $9,600 to $11,400 completely changed the prevailing sentiment in the market.
Sentiment in the Bitcoin world shifted to extreme greed in 48 hours
In the space of 48 hours, the market went from a sentiment of fear to one of extreme greed:
The FOMO feeling has taken over the market, and I’ve seen many people announce that Bitcoin’s Bull Run has begun.
Some were already seeing Bitcoin on its way to $15K, then headed to its historic record of $20K.
As is often the case, Bitcoin’s volatility only occurs over a short period. Now the Bitcoin price has stabilized around $11K. The famous surge to $15K expected by some doesn’t seem to be for the immediate future.
This sharp rise in Bitcoin price may have made some people believe that the worst is over.
These people accumulated a lot of Bitcoin when it dropped below $4K in March 2020, and since then they have adopted a HODLing strategy. Seeing Bitcoin exceeds $10K, then $11K, made them feel that everything they have done so far has not been in vain.
At the risk of disappointing some, you have to understand that HODLing Bitcoin has been easy so far.
Of course, if you had bought Bitcoin for $10K, being a HODLer of last resort in March 2020 required total confidence in the Bitcoin revolution. Nevertheless, it’s a pretty logical thing not to sell at a loss.
I always see people making this mistake, but this is just the beginners who let their emotions override their sense of logical reasoning.
The road to $20K is still long for Bitcoin
Bitcoin’s goals for the future are extremely high on all levels. From a purely financial point of view, I see the Bitcoin price quite capable of reaching the million-dollar mark within 20 years.
The Two Biggest Reasons Why Bitcoin Price Will Reach $1,000,000 Within 20 Years
The success of Bitcoin in the future is inevitable.
There is no certainty, but this is my profound feeling for two main reasons:
- Demand will explode, and the supply of new Bitcoins will continue to decrease.
- The continued devaluation of the U.S. dollar in the coming years.
From my point of view, we may still see a correction in Bitcoin price in the coming weeks.
A very old CME gap of $11,700 needs to be filled before a larger correction of the last CME gap that formed this weekend of $9,600. Finally, there is one last CME gap below $4K that has never been filled, and which could drive the price of Bitcoin even lower.
In 95% of the cases, these CME gaps are filled. The one around $4K could be the exception that proves the rule. However, others will be filled in my opinion.
Once the Bitcoin price correction has taken place, the Bull Run will be able to start. This won’t happen for a few weeks.
When Bitcoin’s Bull Run starts, you will face extreme emotions
When the Bull Run starts, things will speed up. Bitcoin price will reach $15K, then break its record of $20K, before reaching uncharted heights beyond $30K. We’ll be in 2021 by then.
Throughout the climb to the $100K mark for the Bitcoin price, you will experience some extremely complicated moments in terms of emotion.
Euphoria will take hold of you as it took hold of a majority of people when Bitcoin saw its price rise by 20% on July 26th and 27th, 2020. As a result of this increase, 93% of all addresses in the Bitcoin network are profiting now.
The profit is not yet very high for some, but when the Bitcoin price goes beyond $20K, the profits will start to become huge. With a profit of +100%, many will wonder :
Should I continue to HODL Bitcoin now that I have done +100%?
I have a very long term HODLing strategy for Bitcoin. When people ask me how long I will HODL Bitcoin, I always answer that: Bitcoin HODLer one day, Bitcoin HODLer forever.
This shows you that I don’t have an expected exit price. I plan to keep my Bitcoins for as long as possible. I will continue to support the Bitcoin revolution even when the price goes over $100K.
Everyone’s goals are different with Bitcoin, but everyone should define a strategy
Everyone’s goals are different. It’s not for me to judge whether a +100% is enough for you. This means that you are making the mistake of thinking of Bitcoin as just a financial investment.
In that case, perhaps you should educate yourself better to understand all the impacts of Bitcoin on the world of the future. You need to understand that Bitcoin is not a get rich quick scheme, but rather a don’t get poor slowly scheme.
Bitcoin Is Not a Get Rich Quick Scheme, It Is Here to Avoid You Get Poor Slowly Over Time
Bitcoin is your best weapon facing the current system.
Bitcoin allows you to take control of your money destiny by getting out of the current monetary and financial system which is flawed and not fixable.
If you can’t see this for Bitcoin, you will lose sight of the essential.
It’s a pity, but it’s your right. In any case, you absolutely must define a clear and precise strategy for Bitcoin now. Mine is to accumulate Bitcoin month after month, no matter what.
I then put those Bitcoins safely on a hardware wallet, and I don’t touch them anymore.
You’ll have to stick to your strategy to get the most out of Bitcoin
Once your strategy is set, the hardest thing will be to stick to it no matter what happens even when the price of Bitcoin becomes parabolic.
Your nerves will be put to the test in the face of the lure of gain. When you’re at +200%, then at +300%, and finally beyond +500% profit, you’ll need to be able to stick to your strategy.
You may think today that this will be easy, but beware, many give in to their greed sooner or later in the Bitcoin world. So never forget that greed is the worst enemy in the Bitcoin world.
Focus on the things that matter: the Bitcoin revolution.
Bitcoin is here to build a fairer and better world for everyone. It will take time, but the Bitcoin Revolution will profoundly change the world we know today when it comes to money.
The best thing you have to do is to develop your strength of character to be truly patient so that you won’t have any regrets 20 years from now.
Bitcoin price will rise sharply and now is when HODLing Bitcoin will prove to be the most difficult psychological experience ever. It’s up to you to stick to your strategy and be among those who will be rewarded the most in the end.