As bitcoin surging more above $17,000, is it good time to invest in it?
Bitcoin has exploded over the last few days. We are now approaching all-time highs. Meanwhile, the number two cryptocurrency, Ethereum, has been floundering. While Bitcoin is up almost 120% over the same period, Ethereum’s up about 65%. So, what gives here? Will bitcoin break down or will Ethereum break up? First, we’ll look at when to buy Ethereum. Then, we’ll be looking at when to buy Bitcoin. Lastly, we will be glancing at whether or not we will see a large Bitcoin correction, possibly down 30%?
A quick look at Bitcoin and Ethereum’s chart reveals that they both made gains over the last year, but they look quite different. As you look at these two charts, there’s something extremely interesting.
(Bitcoin chart: Previous one year)
(Ethereum chart: previous one year)
The Bitcoin chart is almost as straight as an arrow, starts bottom left and moves to the upper right, but as we shift our focus to the price of Ethereum. You see the volatility is much wider. There’s no one singular direction that Ethereum seems to be moving in. It goes up quickly, then crashes quickly. And on any given day of the month, you can see big movements in either direction.
We call this stacking satoshi. So, many people would see this as very bearish for Ethereum. But I think this couldn’t be more bullish. Here is how, at the peak of Ethereum’s value, it was sitting at about 13% of Bitcoin. It completely topped out at 18%, but only for a day. It was able to hold the 10% level for a bit. Now, this was somewhere around $1300-$1400 for Ethereum and $13,000-$14,000 for Bitcoin. Ethereum has now plunged to below 2.6 % of Bitcoin’s value.
As of today, it sits at $476 and Bitcoin is at $17,980 at press time. It’s only about 2.6% of Bitcoin’s value today. The craziest thing about this is looking at where Bitcoin and Ethereum are in USD value. The last time Bitcoin was at about $18,800, Ethereum was around $800. I think probably most people would be surprised to see that. Many probably think Ethereum was doing much better than that at that time. Not quite as far behind as you may have thought in terms of dollars. Many believe that once ETH passes $500, it could quickly zoom up to $600. I also seem to believe along those lines.
So, what’s the point here? Well, when we look at the best place to buy Ethereum, I would say that anywhere you can get it under $500, it is a heck of a buy. In the last bull run, it was approaching these numbers towards the end of the bull run. Well, now, it’s approaching these numbers at the beginning. Quite different situations now. Of course, if Bitcoin were to have another large-scale pullback, this could push that number lower, but as we’ll see in a few minutes, that may not be guaranteed. So, for Bitcoin, where do I see it is the best time to buy? For this, I’m going to give you, guys, the number at the beginning, and then we’re going to break down all of my reasoning. But any place you get into BTC before $20,000 is going to be a spot you’re extremely happy with, we would all have a merry Christmas. You gotta be happy with where you are. And right now, we are still in disbelief. No one can believe the price of Bitcoin is approaching all-time highs.
“Also In the world of cryptocurrency, we look more at an asset’s price against BTC rather than looking at strictly against the US dollar value. Ultimately, cryptocurrency is a game of trying to build up as much Bitcoin as you can. People use altcoins to achieve that. They do what is called increasing their amount of satoshis, which is the smallest piece available in Bitcoin.”
Here’s the key for those who bought Bitcoin in 2017, right at all-time highs. They aren’t feeling anywhere close to euphoric yet. They do, I’m sure, have a bit of hopium starting to rise. But these people are skeptical. They want to know beyond a shadow of a doubt that they still have a chance to not only get their money back from their original investments but many want to also make more money. That does not happen until $20K.
We will have days where Bitcoin goes up several thousands of dollars, no one even blinks. It won’t be even a big deal. There are still many all-time high buyers though who don’t want to make money. They just want their money back so they can get out of this here Ponzi scheme.
While it might, of course, not be on that exact date, these predictions are based upon the all-time historical chart, detailing all of BTC’s halving cycles. Now, there is a scenario though where we do not get that last big dip. That’s why I tell you getting BTC any time before $13K is your best move. You could set some money to the side in case of a dip, but I prefer everyone to make your research and this article is not financial advice. Be wise, be informed, and be a happy life long.
Originally published at https://cryptomang.com.
