- Two Minute Crypto – Assumptions
- Two Minute Crypto – Wild Thoughts 2
- Two Minute Crypto – Planning for the Next Bull Run
- Two Minute Crypto – Retail Investors Part 1
- Two Minute Crypto – Retail Crypto Investors Part Two
- Two Minute Crypto – The End of Big Government
- Two Minute Crypto – 2019 The Year of the First Killer Decentralized Application
- Two Minute Crypto – Investing in Crypto in 2019
- Two Minute Crypto – A One Thousand Dollar Bitcoin?
- The Sunday Recap -Down the Rabbit Hole 13
- Two Minute Crypto – On Expertise
- Two Minute Crypto – Key Concepts Part 1
- So You Bought Bitcoin at the All-Time High…
- The Sunday Recap – Down the Rabbit Hole 16
- Are You a Day Trader?
Please click the link to listen to the 22nd episode of my weekly crypto podcast ‘Two Minute Crypto.’ These are intended to be short, single-topic ramblings on some aspect of the cryptosphere. Comments and critiques welcome. Please consider dropping a like and or a review on iTunes or Podbean if you enjoy the podcast.
Two Minute Crypto – Investing in Crypto in 2019
Welcome to Two Minute Crypto. So here we stand peering into the mist of 2019. Will the crypto market go up – no idea. Will it tank? Your guess is as good as mine and likely better. Faced with opaque price action couched in the context of an established bear market can we continue to invest in crypto?
First, we have a number of binary questions to answer. Do you believe in the long-term viability of crypto and blockchain? No. Your work is done. Yes. Next question.
Do you accept that as things stand the overall market is unknown and unknowable but with an undeniably bearish tinge? No – good luck learning the hard way. Yes – I have a solution for you.
In good conscience, within a bear market context, the simplest approach is to dollar cost average into a small number of hand-picked projects accepting the likelihood of temporary value depreciation but also embracing the opportunity an extended suppressed market offers. For myself, dollar cost averaging equates to regular buy orders of 5 projects every 2 to 4 weeks. It’s not an entirely passive process as I only buy within a range above or below which I pause and reassess my investment thesis. Regular, small investments allow you to ride out extended bear markets and, of course, generally pay handsomely on the other side.
I intend to continue on this course until I believe I have identified a firm change of trend. The simple rule I’ve decided on to guide myself in seeing this shift in trend is an open and close of Bitcoin above 10k on the weekly chart. Accompanied by daily trading volume in excess of 10 billion dollars for 2 to 3 consecutive weeks. I won’t be looking to the mainstream media for confirmation nor will I be seeking out random YouTubers to confirm my bias. If, and when, these conditions start to emerge, at that point I’ll expend more energy on assessing the current trend and how best to exploit it. Once convinced, I will start investing more substantial amounts of fiat into crypto.
This relative certainty of approach offers the freedom to continue learning the ropes of crypto with much less focus and concern on short-term price action.
Thanks for listening.