Bitcoin at $20K – A Nightmare for Speculators, a Dream for Bitcoiners.
More and more Bitcoiners are taking advantage of the Bear Market to achieve their goals of owning at least 1 BTC through their DCA strategy.
After 9 weeks of red weekly candles, the price of Bitcoin has stabilized around $20K for about 10 days now. Extreme fear remains in the market, but seeing the price of Bitcoin moving sideways below the $21.6K resistance is allowing some investors to calm their emotions a bit:
However, there is nothing to say that these investors will not give in to fear again if the price of Bitcoin were to fall further. For anything is possible in the future. The price of Bitcoin could fall much lower, or it could continue to move sideways until the macroeconomic environment becomes more conducive to a reversal.
If we stick to the 7 phases of a Bitcoin Bear Market, we are still in phases 4 and 5 as I told you a few days ago:
While speculators see this as their worst nightmare, it is interesting to compare this with the attitude of Bitcoiners who see this as their greatest dream.
It might surprise the general public, but Bitcoiners see this $20K Bitcoin price as a great thing for their future. Why? Simply because they have fundamental confidence in the Bitcoin revolution. They don't think in U.S. dollars but in BTC. So the only number that matters to them is the balance in BTC on their wallet.
The more you have, the better for your future. With Bitcoin at $20K, Bitcoiners can accumulate more BTC at a discount when you think about ATH at $69K in November 2021. I'm reading more and more posts on social networks of people finally reaching their goals with Bitcoin.
It could be reaching 0.1 BTC or 1 BTC. Whatever their goals are, these Bitcoiners are being rewarded for their faith in the Bitcoin revolution and their patience, because it's thanks to the implementation of a DCA strategy for months and months that many of them reach these goals.
Once they reach 1 BTC, do you know what they say? I now want to own 1.1 BTC, and so on ... Because when you understand the reason for Bitcoin, you always want more to secure the fruits of your labor from an unfair system that will eventually collapse.
Bitcoin is a unit of wealth independent of governments and central bankers. Fiat currencies are units of debt oppositely. The nuance is essential to understand. Once you understand this, you will finally see why Bitcoin is a species apart.
On the opposite end of the spectrum, you have speculators who spend their time stressfully tracking the price of Bitcoin daily. They keep refreshing their web browser or their Bitcoin price tracking applications. They hesitate, doubt, and don't know what to do. They devise impossible strategies to try to earn a few extra American dollars.
Yet the simplest thing they could do would be to try to understand the Bitcoin revolution and then take the long view: the only view that makes sense with Bitcoin. But they can't. Some will buy at $20K and then start to doubt if the price of Bitcoin drops below $17.7K as it has recently. They may sell at a loss or go elsewhere in disgust with a market that favors HODLers over speculators.
Bitcoin is unique in that it is accessible to everyone. There are no hacks with Bitcoin. If you understand why Bitcoin is so important, then you should be among those who will benefit the most. It's all about knowledge, which then leads to trust and finally to patience. It all starts with education, as I often explain to you.
Educate yourself about Bitcoin and the economy, and then you'll see why you have no reason to have nightmares about $20K Bitcoin. Instead, you should see it as an opportunity to accumulate more.
It's up to you to decide which side you want to be on.
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