Is it time to sell bitcoins?

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Bitcoin started at $ 8,000 in 2020. In December 2020, the price of Bitcoin rose again and exceeded $ 20,000. The surge continued until this month when the price of Bitcoin topped $ 40,000 for the first time. In the past 24 hours, Bitcoin has hit the lows of $ 32,636. “When Bitcoin price spiked in December 2020 everyone was afraid of missing out on Bitcoin’s lucrative returns. Hence, there was tremendous demand from institutional and retail investors around the world, resulting in a massive spike in the price of Bitcoin,” says Shivam Thakral, CEO of BuyUcoin.

“The recent decline from an all-time high of $ 42,000 is more than expected and should simply be viewed as a price correction. This is a healthy pullback that offers long-term price sustainability for Bitcoin,” Thakral added.

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The largest cryptocurrency in the world achieved a return of more than 300% in 2020. It attracted many private and institutional investors. However, this correction eased sentiment and investors wondered whether this price correction should be understood as a trend reversal from here. Given the drop in prices, should you sell bitcoins?

ZebPay CEO Rahul Pagidipati has predicted that Bitcoin will hit 1 crore by 2030, and according to him, this is a conservative estimate. “Bitcoin is designed to be inflation-proof. It has a fixed supply and no central bank or other institution can print more bitcoins as they can dollars or rupees. Although it is currently volatile because it is new, Bitcoin will prove to be more inflation-resistant than even gold, “he says.

Experts are asking to hold the bitcoins for a longer period in order to get good returns.

“You must follow the basic principles of investing for a successful Bitcoin trade. Investors who have stayed in Bitcoin for 2-3 years have made significant profits on their investments, and there is data to prove it. Until and as long as you do Having no urgent costs Before you, it is advisable to hold Bitcoin for the long term in order to get maximum value from your investment portfolio, “says Thakral.

Experts believe the crypto industry will stay here and continue to grow. They expect greater retail demand in the coming years. Institutions are expected to position Bitcoin as one of the most important fixed assets in user portfolios.

“In the recent past we have seen many payment rails / gateways such as PayPal, Square incorporate cryptocurrencies into their services. The main bait is the sheer demand that is being seen in the crypto industry. NBFC entities such as insurance giants like Massmutal have now done so JP Morgan Chase suggests that Bitcoin’s popularity could match that of more traditional commodities like gold, according to a research note shared with its clients, “said Sumit Gupta, CEO and Co-Founder, CoinDCX.

To protect yourself from volatility, experts suggest investing a small amount consistently in a mutual fund like SIP.

“The best way to protect yourself from volatility is to invest a small amount consistently – what we call the average of the cost of rupees – so that the average price you invest is the best possible price you get over the course of the year Time to think of it like a Bitcoin SIP.

The proof is in the numbers: Despite the slumps, you had a 99.9% chance of winning if you held Bitcoin for more than three and a half years in a period up to now. Past performance doesn’t predict the future, of course, but there’s no long-term trend like this in any asset class, ”said Vikram Rangala, CMO of ZebPay.

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