Another month goes by at the fiat mine, another salary hits the bank account, another set of sats added to the stack! As per usual I peel off 500€ of my monthly salary/budget and market buy bitcoin with it. Septembers effective price for me (fees taken into account) was ~ 20200 €/BTC which means I got another ~.024 BTC added to the stack that stands at roughly 4.15 BTC at the moment. Slowly but surely grinding towards the next point one. Four twenty, here I come.
Bear market barts all around. Bitcoin pumps, bitcoin dumps. It’s the ‘retail rekt cycle’ again (or still) – so many leveraged longs you just have to have a crash for hyperliquidations. But after the crash it’s a tempting opportunity to go leveraged long so it builds up again. And then crashes again. And then builds up again..
It will end when enough people have lost enough bitcoin so they won’t be willing to gamble on leverage again. They will then focus on holding what they have left, and stacking with income they have coming. Slowly but surely. Patience is key. Plus endurance.
An unforeseen energy crisis is upon us and the media has already blamed bitcoin for boiling the oceans and using all of the worlds energy by 2020. So far they have been kinda random news articles but it feels like the momentum will soon be for an organized effort. The media telling people to have cold showers in order to save energy, climate lunatics on media every day, Etheerium going full virtue signaling mode… – if there’s ever going to be an ‘attack’ against ‘bitcoins energy use’ its gonna happen now. But all its going to accomplish is sway a few fools away, delay the inevitable, lengthen our stacking season, build our stoic character, and in the end – make the eventual victory that much sweeter. So, sit on tight and enjoy the ride.
Let’s take a look at the charts:
Reaching a new ATH in sats, again (recurring monthly celebration)! The orange line taking a break from ‘flattening the curve’ phase. There’s always this silver lining in bitcoin crashes – accumulation velocity increases. If you are early in your stacking or only just thinking about starting to stack bitcoin – this is the time when future riches are made. Seize the day with these low prices and focus on mining that fiat for stacking. Keep at it, month after month. Nobody knows how long its gonna last. But when its over – you can be sure you’re feeling regrets for not doing more when you could have.
The bars represent every bitcoin purchase I’ve ever made, starting from October 2017, 60 in total. The best buys from 2018 – 2019 give me gains of +500 – 600% per purchase atm. I’m at a loss with nearly every purchase since 1.1.2021 meaning it would have been ‘better’ to stack them monthly 500€ on a bank account during the last 20 months. But this is nothing new, it’s always like this in bitcoin. You are not gonna get a linear growth line to your net worth. Bitcoin is going to test you, sooner or later. Everyone will be underwater at some point during their journey.
I have compared saving in bitcoin to going to the gym. You go to the gym to grow your muscles. At first, you are only spending time and getting pain, no noticeable growth. But you keep on going, and after some time you will see the results. Likewise in bitcoin – you start to stack sats regularly. Bitcoin will crash and on paper you are down -80%. But you keep on buying, month after month. After a while, bitcoin pumps and there is a noticeable growth in you net worth.
The orange line shows the performance of my bitcoin savings strategy over time. The blue line is the imaginary performance of someone who bought S&P instead of bitcoin with otherwise similar plan. I made this chart because I used to be very much into the early retirement (FIRE) stuff. These people are buying the S&P as much as they can, month after month, relying on the historical 7% annual increase to go on forever. They aim to grow their stack to a point where this 7% (or less) is enough for them to live comfortably. Learning about that and then getting into bitcoin, I thought like I found some cheat codes for growing a retirement stack. Surely bitcoin was gonna give me more than 7% annually for the foreseeable. And surely enough, my strategy has currently given me +160% for the money put in, whereas the S&P strategy would have given me a measly +24% atm. A huge difference even at the bottom of a bitcoin bear market. During the next bull market, the bitcoin strategy is going to slaughter the S&P strategy leaving Mr. Money Mustache in disbelief.
That’s all for now! Take care and keep on stacking. See ya next month!
Ps. If you’re gonna buy Bitcoin from somewhere avoid the shitcoin casinos and buy from a toxic maxi, for example Swan or Bull Bitcoin.
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