In any given year, the vast majority of gains in Bitcoin price come in just the ten biggest trading days, according to this rule. During the last bull market of 2017, price rose an incredible 1,136% in those ten days. But even during the bear market of 2018, the best ten days saw an overall gain of 66%.
Fundstrat co-founder Thomas Lee tweeted a timely reminder against panic-selling on Sept. 28, reminding that the majority of Bitcoin (BTC) gains come in the ten best trading days of the year. In fact, excluding these ten best days, BTC is down 25% per year.
However, exclusion of these days tells a very different story. In most years since 2013, those 355/6 days have seen mainly quite considerable losses.
Fundstrat’s ‘rule of 10 best days’
Whilst 2017 did see gains of impressive 232%, 2018 suffered a loss of 140%. Similarly, 2013 and 2014 have seen losses of 199% and 133% respectively.
In fact, since 2013, excluding those ten best days, Bitcoin has seen annual losses averaging 25%.
“Are u that good at trading?”
Lee cautions against making emotional trading decisions by asking “Are u that good at trading?”
The implication that holding is a better strategy than trading is clear. However, Lee also alludes to thoughts that crypto winter may be back, suggesting that even in bull markets, there will be a large number of heavy loss days.
Bitcoin is currently hovering around the $8000 mark. This represents an approximate 110% gain for the year to date.
As Cointelegraph reported on Sept. 20, Tom Lee said that Bitcoin and cryptocurrency will gain trust from the launch of institutional trading platform Bakkt.
Unconfirmed: Bithumb Acquisition Deal Might Be ‘Off’
Overseas investors are reportedly likely to step in to acquire South Korean crypto exchange Bithumb due to alleged difficulties with payments in its existing acquisition deal.
As Cointelegrap reported previously, BK Global Consortium, a firm headed by one of South Korea’s leading plastic surgeons, closed a deal in Oct. 2018 to acquire 50% plus one share of BTC Holding Co. – the largest investor in Bithumb’s operator – for 400 billion won ($352 million).
However, a fresh report from local news agency Yonhap on Sept. 30 suggests that BK Global is now expected to default on payments for the deal, having struggled with even the initial down payment of $100 million.
Business will continue as normal, deal or no deal, says Bithumb
According to the report, when the acquisition deadline loomed this April, BK Global opted to increase its stake in BTC Holding to 70% in lieu of paying its outstanding balance.
To this day, the payment has reportedly been postponed, further stoking suspicions about the company’s ability to provide the funds.
BK Global reportedly planned to conduct a token offering to raise capital for the acquisition, yet allegedly scrapped the plan due to the cryptocurrency market downturn.
Per the report, official Bithumb representatives have underscored that any ostensible difficulties with the deal will not affect shareholders, given the exchange continues to operate stably. They emphasized that business will continue as normal even if the acquisition deal falls through.
Chinese and American investors’ interest piqued
With doubts in regard the existing deal’s viability, unnamed Chinese and American investors are now considering acquiring Bithumb, the report claims.
Should BK Global default on the payments and terminate the deal, there is thought to be a high possibility that there will be a legal dispute over the $100 million down payment.
Bithumb is currently the world’s 43rd largest exchange by reported daily traded volume, according to CoinMarketCap.
This summer, the exchange announced the formation of a new committee that will determine which cryptocurrencies are eligible for trading on its platform.
