How much could be the risk of investing in Bitcoin in 2020?
Pretty small, there is really only a real risk to buy Bitcoin in the first year after it has gone up by 10,000%. Let’s look at the previous behaviour of Bitcoin. 2014: 80% loss from $1,000 to $200 in the year after the 10,000% gain . 2015: 100% gain from $200 to $400 in the 2nd year after the 10,000% gain 2016: 100% gain from $400 to $800 in the 3rd year after the 10,000% gain 2017: 2,500% gain from $800 to $20,000 in the 4th year after the 10,000% gain 2018: 80% loss from $20,000 to $3,000 in the year after the 10,000% gain. 2019: 100% gain from $3,000 to $6,000 in the 2nd year after the 10,000% gain. 2020: 100% gain from $6,000 to $12,000 in the 3rd year after the 10,000% gain. 2020: 2,500% gain from $12,000 to $300,000 in the 4th year after the 10,000% gain. It’s always a very, very similar cycle. This shows that the risk is always the highest directly after the 10,000% gain (duh), but every year after that Bitcoin shows constant gains. This gives us the following risks/upsides after the 10,000% gain 1st year 80% loss from $20,000 to $3,000 2nd year 100% gain from $3,000 to $6,000 3rd year 100% gain from $6,000 to $12,000 4th year 2,500% gain from $12,000 to $300,000. We are now 2.2 years after the 10,000% gain and 0.2 years into the 3rd year. However, since the market is more mature a 2,500% gain is less likely, but rather a 1,500% gain.
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