Non, Je Ne Regrette Rien – the fall and rise and fall of Bitcoin

Non, Je Ne Regrette Rien – the fall and rise and fall of Bitcoin

bitcoin

Should we regret a profit we didn’t make?

Is it a loss, or just a missed opportunity?

I’m going with the latter. I chickened out and self by (tiny) Bitcoin holding at £16k. Last month it hit £31k.

Still, I could have sold when it bottomed out at £11k; that would have been annoying.

Bitcoin continues to intrigue me. As a means of exchange, I suspect crypto will take off eventually, but Bitcoin probably isn’t the right form for that (not least due the value of each denomination; imaging pricing something as 0.0000023 of anything…).

However, as a store of value, it makes sense. Some (well, the financial press, who love a good label!) are calling it gold 2.0; ie a safe way to store wealth, and hedge against inflation.

Indeed some fund managers, sat on heaps of cash and nervous about the stock market’s heady heights, are now investing. This, to some at least, gives Bitcoin some legitimacy.

Me? Well I’ve bought some more, albeit only a few £hundred (0.03012625!), and am using the massive fluctuations in price to increase my holding.

You need to be careful doing this, aside from the lack if guarantee that the price will go back up, Coinbase, which I use, charge around 3% buy and sell fees, so you need at least a 6% swing just to finish where you started. This why professional traders (and some amateurs) use leverage (debt) to expand this gap. Too risk for me, since it also increased your losses should you get it wrong. Is that why ever 70% of amateurs lose money?!

As it stands I probably won’t buy any more, but it feels right to have a small punt.

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