How Bitcoin Whales Buy Bitcoin and other Cryptocurrencies

Tom Handy
Photo by Todd Cravens on Unsplash

This is what these HODLers do to increase their wealth.

The Bitcoin Whales are getting richer, and they do it right before your eyes. They have money, but they don’t let their emotions get the best of them.

The Whales are like wealthy investor Warren Buffett. You could say they copied his playbook.

Buffett is sitting on $149.2 billion, according to Bloomberg.

The billionaire is waiting for the right time to spend his money on the best investment he can find.

Bitcoin Whales do something very similar. They have money to spend, but they wait for the perfect opportunity.

Cryptopolitan wrote:

“On Monday, the whale increased its holding by 2,702 BTC when the price was around $50.6k, making up a total cost of over $136 million.”

Whales Add 67k Bitcoin

“Opportunities come infrequently. When it rains gold, put out the bucket, not the thimble.”
Warren Buffett

After the market crash, over three days, Bitcoin addresses holding between 100 to 10,000 BTC accumulated up to 67,000 BTC. With Bitcoin trading at $51,411, these cryptocurrencies are worth over $3.3 billion.

When the Bitcoin market dropped in price, some Whales added to their position by buying more Bitcoin.

It is not a hard playbook to follow. The thing that may hold most people back is they let their emotions control their actions rather than their brain. Investing when the Bitcoin market is down, requires a lot of patience as well as discipline.

3 Ways You Can Copy the Whales

“Widespread fear is your friend as an investor because it serves up bargain purchases.”
Warren Buffett

If you want to copy what the Whales do, follow these three tips.

1. Have a game plan.

Create your game plan and follow it when Bitcoin meets your price point. When Bitcoin falls to that price, then buy this cryptocurrency.

2. Be disciplined.

Stick to your plan and don’t deviate from it. Follow your plan and don’t break the rules you set up.

3. Let your brain and not your emotions do the work.

Your emotions can cause you to chase Bitcoin when it reaches a new high. You may want to take a step back and let your brain think a bit.

When there is a Bitcoin crash or a dip, this is the best time you can add more Bitcoin to your portfolio. Your investment is most likely to increase over time.

There is one more option you can try

“If you like spending six to eight hours per week working on investments, do it. If you don’t, then dollar-cost average.”
Warren Buffett

If you don’t have the patience to wait for the Bitcoin dips, the next best plan is to buy using dollar-cost average.

Buy your Bitcoin on a routine basis. This may be every week, every month, every quarter, or whatever time works best for you.

Final thoughts

When you open your portfolio app or check the prices constantly, this could add more pressure and get your emotions involved. Your emotions can cause you to sell too early or buy when Bitcoin has reached a new high.

Granted you may make mistakes when you buy. Just be sure to take time to learn from your mistakes. Hopefully, the next time you will use your mistakes and spend more time thinking before you decide to buy.

Do you have a game plan when you buy Bitcoin?

This is original content from NewsBreak’s Creator Program. Join today to publish and share your own content.

Comments / 2

Published by

Sharing information about Texas, politics, and the movers and shakers you need to know.

El Paso, TX

More from Tom Handy

Comments / 0