Nick Chong · 1 day ago · 2 min read
With Bitcoin’s volatility being heavily discussed in the media, a crypto analyst pointed out that the chance of losing money on a Bitcoin investment was so slim, it could almost be considered an anomaly. He calculated that if you’ve bought Bitcoin on any random day in its history, there was a 97.5 percent chance that you’ve made a profit.
Bitcoin is not as volatile as it’s presented to be
As Bitcoin’s popularity grows, pulling even the least tech-savvy into cryptocurrencies, so does the pressure from mainstream media. Now that cryptocurrencies have grown past a small niche and Bitcoin has become a household name, traditional media outlets have all but started a campaign to slander the new asset class.
With all the relentless attacks from both investors and regulators, any data that pops up and illustrates the inaccuracy of claims like this is welcomed and celebrated by the crypto community.
CharlesTheETH, a Twitter crypto analyst and host of The Crypto Entrepreneurs podcast, shared a chart that showed that not only was Bitcoin a great investment, but the chances of losing money on it were incredibly slim.
Data shows investing in Bitcoin is almost a sure win
The chart shared on Twitter showed that there were less than 100 days, out of over 3,900, in Bitcoin’s entire history where buying and holding would have been unprofitable.
Red is a rough estimate of the number of days in Bitcoin's entire history where buying and holding would be unprofitable. Less than 100 days out of over 3,900.
The only scam I see here is the one where Satoshi scammed us all into heavy profit. pic.twitter.com/D4L8SzcNii
— Charles (@CharlesTheETH) August 27, 2019
The podcaster went on to explain just how slim the chances of losing money on Bitcoin were. In a Sept. 3 tweet, he said that if you’ve bought Bitcoin on “any random day in its history,” there was a 97.5 percent chance that you’ve turned a profit on your investment.
If you bought bitcoin on any random day in it’s history, there a 97.5% chance you’re in profit.
Bitcoin has allowed extremely stupid people (me & probably you) to make large sums of money and it makes me anxious. https://t.co/JeaotpzewL
— Charles (@CharlesTheETH) September 3, 2019
A similar chart popped up earlier in August when Bitcoin began its dramatic consolidation after its short-lived break above the $12,000 mark. Ceteris Paribus, a Twitter profile focused on cryptocurrency analysis, shared a chart from Messari Crypto showing that Bitcoin has only spent 63 days in its entire history above $12,000.
— Ceteris Paribus (@ceterispar1bus) August 7, 2019
This number reduces even further when the data is looked at in Australian dollars. A Twitter pointed out that when looking at Bitcoin’s price against AUD, it spent even fewer days above $12,000—only 38.
All of this goes on to show that short-lived price spikes and drops shouldn’t be what determines Bitcoin’s true value.