Since Bitcoin has seen such tremendous price gains in recent years, people keep thinking that it’s too late to get in. Now an anonymous blogger by the name of Bitster Money Mustache (we’ll abbreviate it BMM) has published an analysis which shows that most of the investors who assumed this were wrong. BMM got into Bitcoin 2 months before the all-time high towards the end of 2017 and has been buying the cryptocurrency in tranches since then.
He asked himself what it would be like if he had started earlier with his strategy. For the analysis, he traveled back 4 years before his entry point, to the then all-time high in September 2013, and simulated his strategy with the exchange rates at the time. Result: contrary to his expectations, his profit would not be significantly better. BMM’s strategy is simple. He’s been buying Bitcoin worth € 500 a month since he joined. He has now simultaneously converted this to September 2013 to July 2016. So a total of 35 months that have also passed since October 2017. During this period he would have bought around 62 Bitcoin with his strategy. These would have been worth around € 36,000 in July 2016.