Bitcoin News

Is Bitcoin Dying? (Spoiler: No)

If you spend long enough investing in and learning about bitcoin, you will inevitably face a period of "low price woes".

It can be a fearful and regretful time when the value of bitcoin decreases faster than you expected or to lows you might never have predicted.


It's important to remember a few things during these times.

First, you're not alone. The bitcoin Fear and Greed Index indicates many are feeling the same way right now.

Bitcoin Fear and Greed Index: Everyone is Freaking Out

Second, bitcoin is not isolated in its swift downward price movement. The current macroeconomic environment has also resulted in drastic price reductions to equities (stocks), Government-issued bonds, and property.

Third, the fundamentals of bitcoin have not changed; in fact, they continue to get stronger every day. For example, bitcoin just reached new all-time-highs in terms of Lightning Network capacity and mining hash rate. The hard work being done to improve the utility of bitcoin and to expand its user-base is still going full-steam ahead.

Finally, bitcoin has been here before - many, many times. You may remember from our April Newsletter that bitcoin has been declared dead over 400 times (each time being completely wrong).


So what can you do during a low price period?

We generally suggest users stick to their original strategy, seeing as the fundamentals of bitcoin have not changed. For most, this means continuing to dollar-cost-average (which means making small and regular purchases of bitcoin, regardless of its price).

Some bitcoiners advocate for "buying the dip". That is, making a larger purchase while the price is relatively low so they can decrease their overall buy-in price.

A funny but accurate way to look at this is: if you like eating meat and meat goes on sale, then you generally stock up on it; you don't hold off and wait for the price to rise again!

Whichever you choose to do, it's important that you continue learning about bitcoin and following the fundamental news, particularly about its recent and proposed developments, as well as how its adoption is progressing.

Stick to that approach and you'll thank yourself when the price trends back up!