Post
Topic
Board Economics
Re: How Bitcoin Supercycle could become reality
by
davis196
on 24/03/2024, 11:24:52 UTC
Quote
1) More people HODLing for longer periods than 4 years. I'm aware that not everybody is able to do this, but people with some savings can. And they would help the Supercycle to materialize, and profit in the end. You have to take always into account: if the Supercycle is finally there, and you sold, then you'll very likely regret it.
2) More people using BTC as a currency. This does not mean only for "payments", but also for example for remittances or for crowdfunding businesses (that's why I in generally approve the ICO model, only that of course you have to be wary about scams). This creates additional liquidity, and liquidity is helpful to mitigate crashes because it creates thicker order books. And crashes are what people fear most, and what makes them panic sell, and ultimately drives BTC down.
3) More people buying into the falling knife in bear markets. Even with the current 70-80% bear markets, buying at less than ~33% of the previous top actually always has meant that you will be able to sell for profit in less than a year, and if you have 3 years time to HODL then you have profitted always even if you bought near the top (excluding the 69-73k run).
4) More people DCAing into Bitcoin, and not only while the bull roars.

You could just use the term "mass adoption of Bitcoin" instead of writing all that text. Grin
There's room for growth of Bitcoin. The amount of Bitcoin investors/supporters around the world is still relatively small. The problem is that most noobs, who enter the world of Bitcoin are lacking experience, which means that they are vulnerable to panic selling and falling into various crypto scams.
Bitcoin remains a scarce asset with growing demand, which means that the price is destined to increase in the long term. That doesn't mean that there won't be bear markets in the future. I still convinced that many BTC investors/traders are capable of panic selling, if a big enough FUD reason occurs.