One Way Ratchet

10 Things You Need To Know About Bitcoin #7: Bitcoin For The Long Term | 022

Zoom out. Short term price moments are noise. Long term appreciation is the signal.

Dan and Trent break down the importance of a long-term mindset in Bitcoin.

Bitcoin price can be volatile over the short term, but over time the volatility is to the upside
In past 13 years, Bitcoin has been by far the best performing asset class in 10 of the years, and in the other 3 it was the worst
- See chart
In previous cycles the halving has kicked off a massive bull run. Prices goes up a lot, but then corrects - each time to a much higher low. The floor keeps rising
Halving cycles. Price at halving keep rising
- See chart
Big majority of Bitcoin held by strong hands with no intention of selling. The number of liquid coins is very low. This also drives large price moves
It all gets back to time preference and long term thinking
So many people want get rich quick, to take a short cut, not a long term commitment
Bitcoin is proof of work - and what you put into learning Bitcoin you will get so much more in return
Building anything of lasting value takes time and work - always has been
Today’s song: Good Times Bad Times by Led Zeppelin