In 2009, when the digital asset was created and released to the world, not many people saw it as a serious investment opportunity, just more of a fad. Of course, back then bitcoin was going for mere pennies compared to now. Over the next few years, many people so owning bitcoin as a fun thing to own with one person buying two pizzas for 10,000 bitcoins back in the early days of the asset's life.
One person on the popular social media network Reddit has confessed to using almost 57 bitcoins to pay for peanuts back in 2012, which seems farcical now.
So it probably came as a surprise to these users when bitcoin hit $20,000 in 2017. Funnily enough, though the same person who bought peanuts with 57 bitcoins in 2012 recently logged into his USB hard drive (which he luckily backed up his details on), and found that he had two BTC left to his name. Looking at the price of BTC today, that’s almost $20,000 in itself.
Of course, if he had kept all of his BTC originally and didn’t buy the cursed peanuts, he could have potentially more than half $1 million in his bank account right now.
So what is the point of this? Why am I telling you this?
I suppose the question of whether you should hold or sell when it comes to bitcoin is an age old query. Is it worth holding your assets or selling them off and profiting on what you can as of now. Of course it all depends on the investor in question but, there has been a lot of debate recently as to whether buying and holding is better than actively using BTC and other crypto assets.
Looking outside of regular investors and into the institutional world, there have been big companies such as Grayscale who have been aggressively buying bitcoin in recent times.
Before we go finish, it’s worth saying that we aren’t financial investors and this isn’t financial advice. Please do your own research before putting your money in a cryptocurrency and always remember to trade safe!
It will be interesting to see how this situation plays out.
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Disclaimer. This analysis and forecast are the personal opinions of the author that are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by Cryptosavvy.co.uk. Readers should do their own research before investing funds.