Hi all,
In the past weeks, I have sold some BTC, and I have my initial investment (about $5000) out. Which means that everything I have in BTC now (about $8000) is "free". That is fine, but I am thinking about what to do with the money I took out:
- Put it in a less volatile investment, as a long term safeguard
- Reinvest it in BTC as soon as the price drops (it eventually will, but when?)
In the first case, I have secured my initial investment in the long term, so I won't need to worry about it, but it also won't make much more for me.
In the second case, the potential for gains is much higher, but I still risk losing my initial investment. I don't need the money now, but I would feel sorry about it.
I plan on keeping what I have left in BTC for the long term. My question is purely about the initial investment that I took out again.
What's your opinion? Thanks!
In my opinion, bitcoin should not be viewed as a speculative asset.
There is no point in selling Bitcoin for fiat currency because Bitcoin is real money. The global financial system is currently undergoing a transformation. Central banks will create their own currency (CBDC).
What is the fate of modern fiat currencies? Given the huge external debt of many countries, fiat currencies can quickly depreciate. In this situation, replacing bitcoins (a deflationary asset) with fiat currencies (an inflationary asset) is the wrong choice.
Gold, land, real estate and Bitcoin are the assets that can be recommended for purchase. That being said, in my opinion, Bitcoin is the most undervalued asset of these four assets.