51 sats \ 1 reply \ @kepford 26 Oct 2023 \ on: What if price matters a lot? bitcoin
I have a friend that has bought bitcoin multiple times and sold it all when market prices fell. He once lectured me with "investment advice" saying you don't buy a stock that is crashing. I told he you do if it is at a discount. You do if you understand that it has value that most do not see. I could see the wheels turning in his head as I said this. I continued, I have studied bitcoin, used the tools, I know it has value far greater than what the market price reflects. Its not insider knowledge because anyone can do the homework but its like that.
Price does matter. It is a signal for the current market's view on an asset. To say it doesn't matter at all is foolish and anti-economic. But anyone who is a long term hodler and exchanges their fiat for BTC doesn't view price as important as the average fiat maxi. As the world discovers the true value of bitcoin the exchange rate of bitcoin will continue to rise. As fiat currencies fail it will rise. As adoption increases it will rise. Price is a metric. It is not the true measure. The truth is bitcoin is priceless. Might be a good idea to get some.
I use the analogy that if you are walking in a grocery store and see your favorite food on a great sale, you'll probably stock up on it. Likewise, if your favorite food went up in price a ton, then you'll probably hold off buying it or not buy as much.
For some reason and for some people stocks and bitcoin are treated differently. Everyone wants to buy when prices are going up and sell when prices are going down.
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