Yes, that is right, it's really stinky out there, but that also means it's likely the best time to buy!

For this post I will talk mostly about bitcoin, but you could probably apply the same logic to any of the top 30 cryptocurrencies.

Did you know that bitcoin has died 937 times already?

Ok, that is mostly hyperbole, but you get my point, right?

The price has tanked from all time highs many times only to come roaring back and go on to make new highs. In fact it has happened every single time.

More of the same?

This big price drop isn't something that is all that unusual, in fact if we pull some data from just the past 2 years alone we might be able to find some pretty similar price action.

Looking back at the past 2 years (since 2016), we can see that bitcoin has had 5 similar drops and then subsequent recoveries.

Let that sink in a bit, bitcoin has had something similar to this happen 5 times just in the past 2 years.

In each case bitcoin dropped by 50% (or more) from it's recent high and then rallied within the next 3 months.

Specifically, if you look at the data, bitcoin rallied 150% from those lows over the coming 84 days (on average).

(Source: https://www.cnbc.com/2018/02/02/as-bitcoin-gets-cut-in-half-and-continues-to-dive-wall-streets-tom-lee-remains-bullish.html)

Which means...

The price has more than doubled after being cut in half from recent highs, and it has done so in less than 3 months time frame.

That's great, but what does that imply will happen this time?

If, and this is a big if, because we can't know for sure...

But, if we apply that same price action to the current situation we could see bitcoin trading back up near $20k by the beginning of May!

There is no guarantee that will happen again this time, but given the recent history of bitcoin after it has had drops like this, the risk vs. reward seems to make sense starting to put money to work here.

Now that we have that cleared up and we are in, we just have to close our eyes till May!

Image Source:

http://realhomestaging.com/odour-removal/