Investors Began DCA In Bitcoin At $69k ATH Is Now Up 10%
As Bitcoin (BTC) continues to hover around the psychological threshold of $28,000, demonstrating strength amid the financial crisis that has brought down some of the world’s major banks, its value to investors is becoming clearer, even to those who first decided to join after its all-time high (ATH).
In fact, people who started dollar cost averaging (DCA) in Bitcoin at the ATH price of $69,000 on November 10, 2021 are currently recording a 10% return on their regular investment, despite the fact that the price of Bitcoin is currently 60% lower than ATH , according to the data and charts shared of Bitcoin Magazine on March 20.
Patience pays off
Despite things not looking so good in July 2022, when these investors had a 51.91% loss, or in November and December 2022, when they were still down approx. 40%, the situation has improved significantly since then for those who have stuck to it. their strategy and steadily acquired the largest decentralized finance (DeFi) asset by market cap.
Specifically, Bitcoin dollar cost averaging refers to investing a fixed amount of USD in BTC at regular time intervals. Buying $10 worth of Bitcoin every week would be a typical example of DCAing. This strategy is mostly used by investors who want to buy Bitcoin for the long term since it reduces the risk of allocating all capital at price peaks and the impact of volatility, removing mental barriers to other investment strategies.
Bitcoin price analysis
Meanwhile, the price of Bitcoin at press time was $27,945, showing a fall of 0.27% in the last 24 hours, as the flagship cryptocurrency still retains the gains of 7.69% accumulated over the previous week and 12.85% the last month, according to CoinMarketCap data obtained by Finbold on March 21.
At the same time, Bitcoin has added $219.86 billion to its market capitalization by 2023 on the back of the far-reaching crisis in the banking sector that has claimed several losses and led to the five leading banks in the United States losing a combined market capitalization of $108.92 billion in the same period, while the crypto Fear & Greed Index is at its highest level in the last 16 months.
Disclaimer: The content of this page should not be considered investment advice. Investment is speculative. When you invest, your capital is at risk.
