by Cody on 2021-02-17 filed under Crypto Investing
Bitcoin just set a new all-time high price, exceeding $50k per BTC. Now what?
If you're an outsider to crypto investing, it's easy to see this and get scared away. You might think you missed your chance on Bitcoin, Ethereum, Polkadot, and other coins. (Also, check out our companion piece, Bitcoin is Falling, Now What?)
Personally, I think this is a bad idea. Bitcoin has set a multitude of all-time highs over the past 6 months. There's nothing special about the $50,000 price. That number has no special relevance or significance - it's purely psychological.
Is it too late to buy Bitcoin?
Here's a simpler way to think about investing in Bitcoin (or anything else), regardless of its price: do I expect Bitcoin to go up in price? If so, buy. If not, don't buy. You can ask that whether it's $1 per BTC or $100,000 per BTC.
Just to be clear, we expect the price of Bitcoin and other cryptocurrencies to continue going up. It's attracted a lot of investment this year, true, but the vast majority of individual and institutional investors are outsiders. When that changes, that's when the price will really go up. Would it have been better to invest in Bitcoin at $1? Sure, but you can't beat yourself up over opportunities you weren't even aware of. You can find a longer analysis of this logic at Is Crypto a Good Investment?
We will close this with an old adage that applies well here: The best time to plant a tree was 20 years ago. The second time to plant a tree is today.
Disclosure: I/we have a long position on Bitcoin. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Big Time Crypto).
Additional disclosure: Disclaimer: I am not an investment advisor, and this article is not meant to be a recommendation of the purchase or sale of cryptocurrency. Investors are advised to review all documents and press releases to see if the cryptocurrency fits their own investment qualifications.