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A 10% gain has been realized by investors who started DCA in Bitcoin at the $69k ATH

As Bitcoin (BTC) continues to hang around the $28,000 psychological threshold, demonstrating strength amid the financial crisis that has toppled some of the major banks in the world, its worth to investors becomes more evident, even for those that only decided to join after its all-time high (ATH).

Indeed, people who started dollar-cost averaging (DCA) into Bitcoin at its ATH price of $69,000 on November 10, 2021, are currently recording 10% returns on their regular investment, despite the price of Bitcoin currently being 60% lower than the ATH, according to the data and charts shared by Bitcoin Magazine on March 20.

Bitcoin DCA since November 10, 2021. Source: Bitcoin Magazine

Patience pays off

Despite things not looking so well in July 2022, when these investors were at a loss of 51.91%, or in November and December 2022, when they were still down about 40%, the situation has significantly improved since then for those who have stuck with their strategy and steadily purchased the largest decentralized finance (DeFi) asset by market capitalization.

Notably, Bitcoin dollar-cost averaging refers to investing a fixed amount of USD into BTC at regular time intervals. Purchasing $10 worth of Bitcoin every week would be a typical example of DCAing. This strategy is mostly used by investors seeking to buy Bitcoin for the long term since it reduces the risk of allocating all capital at price peaks and the impact of volatility, removing mental barriers of other investment strategies.

Bitcoin price analysis

Meanwhile, the price of Bitcoin at press time stood at $27,945, which demonstrates a 0.27% drop in the last 24 hours, as the flagship cryptocurrency still retains the gains of 7.69% accumulated across the previous week and 12.85% over the past month, according to the CoinMarketCap data retrieved by Finbold on March 21.

Bitcoin 7-day price chart. Source: CoinMarketCap

At the same time, Bitcoin has added $219.86 billion to its market cap in 2023 against the backdrop of the wide-reaching crisis in the banking sector that has claimed several casualties and led to the five leading banks in the United States to lose an aggregated market capitalization of $108.92 billion during the same period, while the crypto Fear & Greed Index is at the highest level in the last 16 months.

Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.


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