MicroStrategy chairman Michael Saylor shares how dollar-cost averaging on Bitcoin paid off for a patient investor who flipped his investment over twentyfold.
Bitcoin evangelist Michael Saylor often promotes dollar-cost averaging (DCA). The enthusiast encourages investors to periodically buy Bitcoin and recommends holding the asset for at least five years.
Dollar-cost averaging involves investing a fixed capital into an asset at a set interval, regardless of the condition of the market. It helps in reducing the impact of market volatility by spreading out purchases over time.
Recently, Saylor shared a success story of a user who bought Bitcoin daily with a meager investment. Meanwhile, the vicious Bitcoin buyer has turned his little daily input into millions of dollars, lauding Bitcoin’s rewarding prowess.
Investor Turns $98,640 into $2.2 million
According to Saylor’s disclosure, the smart money investor committed to buying $30 worth of Bitcoin daily. The user unrelentingly pursued this course for nine years, specifically since 2016, when Bitcoin traded under $800.
As of the time the news made the rounds, the user had spent $98,640 on the pioneering crypto asset. Meanwhile, his investments have paid off massively, as Bitcoin has surged from under $800 to a new all-time high of $108,000 and trades slightly below the $100,000 price mark.
Interestingly, the user’s Bitcoin stash is worth $2,157,090, a staggering 2,086% uptick from his total capital. Such profit trounces the return on investments from traditional assets like gold, stocks, and bonds in the same timeframe.
Saylor Says Holding Bitcoin for Five Years Can Set You Free
Meanwhile, Saylor stated that MicroStrategy is mirroring the ardent investor’s periodic buy-ins on a larger scale. Notably, the business intelligence firm has accrued 444,262 BTC ($43.6 billion) over four years, with one-third of them acquired this year.
MicroStrategy has introduced a new scheme that leverages debt instruments to acquire more Bitcoin. The 21/21 Bitcoin strategy has boosted its buying capacity while gaining traction among public companies like Metaplanet and Marathon Digital.
Furthermore, in his latest disclosure, the MicroStrategy chairman voiced Bitcoin’s life-transformational qualities. He noted that holding the premier asset for 5-15 years promises substantial returns.
Saylor encouraged enthusiasts to start dollar-cost averaging on Bitcoin, citing the user’s magnanimous returns. “The long game can set you free,” the Bitcoin evangelist noted.
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