When To Buy Bitcoin?
People always want to know when they should buy Bitcoin. The simple answer is: The best time to buy Bitcoin was yesterday! The next best time is right now!
In all seriousness there is no perfect time to buy Bitcoin and the truth is nobody knows what the price is going to do next. Yes, the price will go up over time but as soon as you purchase some Bitcoin you could see the price drop immediately!
This is Known as the Bitcoin Roller Coaster!
It can be mentally draining if you’re not prepared for it. Especially, if you’ve put in more money than you can afford in the hopes of getting instantly rich! This is not what Bitcoin is about, regardless of what many of the Bitcoin scams will tell you!
The safest way is to not buy all your Bitcoin in one go. Do it over a period of days, weeks or even months. If you go all in straight away you may end up regretting if the price starts to fall.
Nobody can tell you when to buy Bitcoin. It’s a decision you need to make on your own. Just don’t expect to get rich overnight.
When Not to Buy Bitcoin
This is a lot easier to answer! Are you hearing about Bitcoin on the news? Is it at a new all time high? This is when you shouldn’t be buying Bitcoin.
For some strange reason most people are happy buying into something when it’s making new all time highs. This is not the right approach. You need to wait for it to come back down.
Do you have FOMO? FOMO is ‘The Fear of Missing Out’. It’s easy to feel like the price is going up and you have to buy immediately!!
Don’t do it. You are suffering from FOMO. It’s not easy to make rational decisons when you’re suffering from FOMO!
On the chart above the yellow line is the price of Bitcoin over the last 10 years. The dotted lines are the 100 and 200 day moving averages. This means they are averages of the price over the last 100 or 200 days.
If you are thinking of investing for the long term. You shouldn’t be buying when the price has moved a long way from the 200 day moving average. (Marked by the arrows).
If the price is near of under the 200 day moving average then it’s probably a good time to buy.
You should probably treat this as more of when not to buy indicator.
This is just a rough guide. Nobody knows what the price will do next with 100% certainty. Don’t believe anyone that tells you otherwise!
If looking at charts interests you then I suggest you check out Willy Woos website. He’s got a lot of data there to analyse.
Remember this is not finacial advice!! Like I said nobody can tell you when to buy Bitcoin. It’s a descion you need to make yourself. Just be prepared for up and downs..
Treat it as a long term investment. That way the short term price movements will won’t bother you too much! And most importantly, keep hodling!!