I have already made 127% on Bitcoin. Here’s why I keep buying more.

Since the first purchase Bitcoin (BTC 2.16%) As of April 24, 2020, I have achieved a return of 127% (as of this writing). This figure crushes the returns of both S&P 500 and Nasdaq Compositetwo of the most followed stock indices, in the same period.

This significant outperformance has occurred despite Bitcoin’s price falling a whopping 75% from its peak of nearly $69,000 last November. cryptocurrency the market has cracked in 2022. A massive price drop like this would surely shake the confidence of even the staunchest supporter.

But not me. I am still incredibly bullish on Bitcoin. Here’s why.

Bitcoin is not like the others

It’s probably not a surprise Ethereum (CRYPTO: ETH) seemingly getting all the hype and attention. The second most valuable cryptocurrency is touted to be a “decentralized computer” that has the potential to upgrade a wide range of industries by removing middlemen and providing users with better experiences. Time will tell if this goal becomes a reality.

Seen in this light, Bitcoin can be seen as the boring cryptocurrency that has no interesting or disruptive properties. But this, in my opinion, would be a wrong assumption.

Bitcoin was created to allow two unrelated parties to send money to each other without an intermediary, which was not possible before. And the fact that no one controls it is a profound quality. It’s really that simple, but this can have major consequences for how people store wealth and trade with others in a world that is becoming increasingly digital. Not to mention a world that is becoming more and more burdened with debt, especially as a direct result of actions taken by governments and central banks.

Even with Ethereum’s rise since its launch in 2015, Bitcoin has remained the top dog, as the current market value At USD 330 billion, it is clearly the highest in the industry. It’s been this way since day one, and I think this will still be the case a decade from now.

Unlike Ethereum, Bitcoin has no central authority that makes decisions about its direction. And this is on purpose. Vitalik Buterin, one of Ethereum’s founders, can continue to add more steps (and delay the completion of steps) to the network’s development pipeline as he sees fit. Additionally, the move to a proof-of-stake consensus system leads to even more centralization, which undermines the whole point of cryptocurrencies.

Bitcoin is more decentralized and secure blockchain network, and that’s why I like it. It is not dependent on a single person or entity to lead the direction. Moreover, Bitcoin is trying to upgrade how we look at the very concept of what money can be. It’s incredibly exciting, if you ask me.

Bitcoin’s price is set to rise

After falling 64% in 2022, there is a ton of pessimism priced into Bitcoin right now. But this could be a great buying opportunity. These huge price drops are par for the course when it comes to any digital asset. And with Bitcoin specifically, it has always bounced back from recent lows to reach new highs.

The Federal Reserve’s policy of rapidly raising interest rates this year, with the stated goal of bringing inflation under control, has no doubt prompted investors to take risk out of their portfolios. I believe that when the central bank decides to reverse its policy actions and money starts flowing back into riskier assets, Bitcoin will be among the first cryptos to arrive.

But because I intend to hold (and be a net buyer of) Bitcoin for the next 10 years (and probably longer), I don’t really pay attention to what happens in the short term. I think other investors will do the same. And for those as bullish as me, it might be as good a time as ever to load up on Bitcoin.