So I have modified my strategy as I am in this for the long haul. The more I learn the more I love crypto currencies and the effect they will have in our lifetime. Now like most of you I do not make a living off trading. I make a living working; and I invest not only to make money but to preserve the money I made. Wealth preservation. Now some, if not most of you, are new to investing and want to be the next Paul Tudor Jones, Nicholas Darvas or Ed Seykota. Three of the most successful traders ever. Their returns undeniably defy even the best traders in history. But just like poker you MUST know your place at the table and mine is not with the large stack. Many of my techniques are derived from all three of these guys, but in the long haul I'm an investor 1st!
So what is my new strategy. If you can look at a chart from 10 feet away and see the trend, that's how you want to be positioned. Clearly from the graph this is not a , this is not a flag, it's a full blown upward channel with an almost parallel top and bottom resistance support line. Even using faint lines it's clear this trend is up. But even though it has continued to defy a MAJOR correction it does correct often enough for us to jump in and add to our position.
Over 30 years of investing I started investing in one stock every month like clockwork, and as my income grew I started adding to more where I am up to 5 stocks every other week. I buy regardless of price knowing I am cost averaging for the long term. So this is my new strategy with Bitcoin'. I plan on adding a specific amount every week with a caveat! For example if I budget for $200 per week I will take $100 of that and put it aside in my USD wallet to add on any dip. This is the same strategy I use for stocks as cash is always king during corrections. This is a long term strategy period!
Now how do I get 250k and to be fair this is a very long term projection over decades. There is about 1.25 oz of gold' ($1625) in the world per person. There will eventually be about 0.0028 bitcoins per person in the world as well. Now like there are alt coins there are other precious metals like platinum', silver'. But bitcoin' is the gold' standard in cryptos. The numbers are staggering to say the least. So if each 0.0028 bitcoins is worth $1625 then that would mean the cost of 1 bitcoin' is 580k. Now keep in mind there are more alts then alt metals but like gold it's the standard. So let's take 580k and divide by 3 to be fair (as I assume there will be 8-9 other alts that will be similar to silver and platinum ). There is your 200k. So why am I worried about buying at 8k or 9k? I want to accumulate now for the long haul. Once large firms come in the price will go up as a storage of wealth as even though they criticize it on CNBC and other news outlets they are in the background accumulating. Bottom line there is not enough to go around and just like gold and silver I want to accumulate over a period of years.