Long John wrote: I have invested in BTC and PIVX, and a little in ETH, because I was overcome by the logic that it is the future, like it or not. But I am under no illusions as to it being safer or somehow morally better than my traditional bank. I started stacking for a reason, too, but precious metals are rife with criminality. Money corrupts. Cryptomoney is not immune.
I'm glad you spread your money around John. In 5 years you'll be very happy you bought Bitcoin, and hopefully with the other 2 coins too. Now comes the hard part, and this isn't an easy task (I'm only talking about Bitcoin here).
Right now, Bitcoin is $1214. Tomorrow morning, it could be $926. You'll wake up, turn on the coffee, check your phone, and want to throw-up.....it is at this point that many people panic-sell their position.
I was very fortunate in that I made a punk profit of $900. But I'm still chasing Bitcoin to get back to my original position-size. I'm getting close, but my current cost is higher than my original cost. I'm still in cheap, but I didn't understand Bitcoin as well as I do now. I treated it like a stock. Bitcoin doesn't behave like a stock.
When this scenario happens, and it will happen, you don't sell. You buy with whatever extra funds you have available.
I'm not going to answer any questions about what I'm going to say next, you'll have to do your own research. There are a couple of clues on the Internet. This can't be proven or dis-proven, but it might start to make sense after you have watched the price of Bitcoin for a few months, and have witnessed it run up and crash a few times.
I just put on my tin-foil helmet. Here goes....
The VWAP of Bitcoin is controlled by powerful interests. This group is referred to as the "Bitcoin Illuminati". The leader is thought to be "Sir Richard", and he owns an island in the Caribbean.
He is a very smart, successful, and powerful man. The same can be said of the rest of the Bitcoin Illuminati. As a group, they own over 50% of Bitcoin. The group also contains some government officials, both foreign and domestic.
Many people believe that they are controlling, or in some way influencing the price of Bitcoin.
The Bitcoin Illuminati don't care very much about the "retail" price of Bitcoin in the short-term, but they are very interested in the VWAP, and they want a "controlled" upward price bias. They don't want the price to run-up too quickly, because it would kill the adoption of Bitcoin.
Their goal is for the mass adoption of Bitcoin, either as a currency or as an acceptable and desirable hard asset. They are strongly invested in Bitcoin, and they are going to win.
Bitcoin trades at 2 prices, the price we see is the retail price. I believe that the "dark" price is actually a few dollars higher. The "dark" prices are quoted by HFT's and Miners. If you want to buy 1000 Bitcoin, you don't go to Coin Base.
All that said, my advice is to study some price charts from 2015 until now, and see how the volatility has become greatly reduced, and the length of price crashes has also reduced.
Buy more Bitcoin when it crashes. The crashes are short-lived opportunities. Ignore the noise and controversies on Reddit. There is too much money on the table, and too many players, for Bitcoin to fail. It will succeed beyond your wildest dreams.