At the beginning of 2020, the price of Bitcoin (BTC) was at US $8000, but in December 2020 or at the end of 2020, the price of Bitcoin (BTC) soared to penetrate US $20,000, and this price hike lasted until the beginning of 2021, even the price Bitcoin (BTC) has crossed US $50,000 for the first time.
“When the price of bitcoin spiked in December 2020, everyone was afraid of losing the lucrative benefits Bitcoin was giving. So there is a huge demand from institutional and retail investors around the world, this is causing a massive spike in the price of bitcoin.”
Said Shivam Thakral, CEO, BuyUcoin.
Even though in the end this fantastic increase in Bitcoin (BTC) must have decreased.
This decline had made Bitcoin (BTC) holders who bought when the price of Bitcoin (BTC) reached its highest price confused, whether they should sell or keep holding ownership of Bitcoin (BTC) or so-called Holding.
The answer, of course, depends on the risk management carried out, but for those of you who are confident and confident that if the fundamental Bitcoin (BTC) will again touch its highest number, then choosing to maintain (Holding) Bitcoin (BTC) is the right decision.
Importance of Hold Bitcoin (BTC) or Other Crypto assets.
Getting Big Profits
Of course, this is not without reason, Bitcoin (BTC) is a volatile asset and often experiences price fluctuations.
For example in 2017, where the price of Bitcoin (BTC) almost touched $20,000, and then in 2018, the price of Bitcoin (BTC) dropped dramatically in the range of $8,000 - $9,000.
The drastic price decline experienced by Bitcoin (BTC) certainly made some holders of Bitcoin (BTC) worry, but at the end of 2020, Bitcoin (BTC) showed its bright point and experienced a fantastic increase, the king of this crypto asset skyrocketed to$ 40,000 to $50,000.
If those of you who hold while Bitcoin (BTC) experience a decline in 2018, and you sell it in early 2021, then you can be sure that you will get a very large profit because of the results of your patience.
That's an example of storing your Bitcoin (BTC), the largest cryptocurrency in the world which has given a return of more than 300% by 2021.
Benefit From Price Fluctuation
This fluctuation in the price of Bitcoin (BTC) is able to make the activity of storing Bitcoin (BTC) profitable. Price fluctuation is one of the special price changes caused by the market mechanism in the form of an increase or decrease in a price itself which we can see graphically.
The price fluctuation that occurs in Bitcoin (BTC) can be caused by various factors, from sentiment, large investors, the law of supply and demand, to the regulatory media of the superpowers.
This year we can see the demand for Bitcoin (BTC) which has greatly increased, even though the total amount of Bitcoin (BTC) around the world is getting limited, the big investors and institutions have also started entrusting their assets to Bitcoin (BTC), this is what makes the price of Bitcoin (BTC) can skyrocket sharply.
In the one-year Bitcoin (BTC) chart taken on Coinmarketcap, we can see if Bitcoin stored in three months from 2 October 2020 to 1 January 2021 has a pretty good chart increase, meaning that there is a tendency for Bitcoin (BTC) to increase in price.
However, if we only store it for one month, the results will not be very visible.
On the graph, we can see an increase, although it is not significant compared to if we keep it longer, which is three months like the example above.
So if we buy Bitcoin (BTC) in 2017 and sell it in early 2021, then there is a pretty good increase over time, although several times it has had to undergo a deep correction, here is a graph of the price increase if we save Bitcoin (BTC) from in 2017 and selling it in early 2021.
In the graphic image above, it can be seen that the price of Bitcoin (BTC) skyrocketed very high, this shows that the longer we store Bitcoin (BTC), the greater the benefits we can get, due to price fluctuations, and of course the inflation that occurs at fiat currencies like the US dollar will make us more profitable.
To start saving Bitcoin (BTC) as future savings, you don't need to buy one Bitcoin (BTC) which currently costs around $56,000, you can start buying bitcoins as much as you can, and if you make purchases regularly you will be able to experience it. the advantages of holding Bitcoin (BTC).
Read more about cryptocurrencies and blockchain here @khezcute
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