Just a little over two weeks ago I bought a fifth of Bitcoin. It was right before the media storm around it began. For weeks in the fall, a couple friends and I discussed Bitcoin and other crypto currencies. Nothing serious though, just more or less us trying to figure out exactly what it was and the role it would play in the future. None of us saw it as a pressing opportunity, we decided to eventually take a class on the topic in 2018.
Then all of sudden it seemed like every where I looked, Bitcoin was popping in my new face. Its like when you first buy a new car you rarely see it on the streets prior but, once you get it you see it everywhere. So I took a second look at Bitcoin. I spent half a day reading up on it and following its trends. At the end, I honestly didn't know and don't know still if Bitcoin will be around for a long period but what I did recognize in the last few months everytime a milestone was placed in front of Bitcoin it was smashed. First it was $1k, next $5k, then $6k. I just had good feeling on hype alone it would get to the $10k mark. And when it got there like I was predicting, I wanted to be able cash in on that hunch of mine. If this was three years ago it would have took weeks for me to convince myself to do it but over the last couple years of following my instincts and seeing the payoffs in real estate, career jumps, my wife's business takeoff and other opportunities it only took a few seconds for me to make the decision and follow my instincts. I downloaded the Coinbase app and bought a fifth of Bitcoin, one Ethereum and one Litecoin. From there I was on Bitcoin watch twice an hour for the next two weeks, ready to enjoy the ride.
The Bitcoin rollercoaster began, and like any coaster it climbed first, stopping right before $10k before dropping dramatically $2k within hours. Media haters started to lineup and I thought damn maybe I was wrong, I second guessed myself a little but I didn't panic I still believed I was right so I held tough. Couple days went by quietly Bitcoin got back to the break even mark for me and I was content, then all of sudden it popped 12k and then 13k. I woke up the next morning it cracked 15k and went on to 16, 17, and 18. I was feeling like the man! I was doing victory laps with my friends, for every thousand it went up I made $200. I text wifey "Christmas on Bitcoin". And then just as soon as I sent the text it came tumbling down back to 15k, I was still up but I saw a stack in profits wiped away in what felt like seconds. I was sitting in my boss' office watching it go down about to piss on myself.
At the end, everything settled and the price floated around 15k for a couple days. I reflected on my goal initially being to cash out when it hit 10k so I decided it was time to make an exit plan. My plan was the same as the initial: trust my gut, don't be trigger shy, do your research, and at the end stick to the plan. After researching, I discovered Futures would be offered on Bitcoin soon, this bought more unpredictability to the situation, and put in play another scenario of institutions now shorting the stock or betting on its downfall. So I decided I couldn't handle more unpredictability and more risk so I would sell before it went below 14k. And that's just what I did i sold at 15k. If it does crash again I'll hop back in when it hits a new low. My ride with Bitcoin was fun and stressful... it gave me a new experience to learn from and it reemphasized the lesson of trusting your instincts.