Good Day Folks,

Bitcoin has pulled back considerably from its recent highs—perhaps presenting a compelling opportunity for a long-term allocation.

While shorter-term momentum has decelerated and retail sentiment is seemingly indifferent as of late, BTC's structural fundamentals remain intact. This corrective phase has historically offered a favorable risk-reward opportunity profile for building a foundational position.

The similarities of topping structures in chart below are undeniable. If the pattern continues to rhyme with its predecessor....it stands to reason that BTC can bottom this year within the ~$50K to ~$60K range.

To optimize entry during this period which is predicated on the above view of its price action, It's of my opinion that investors should employ a disciplined Dollar-Cost Averaging (DCA) framework. Rather than deploying capital in a single lump sum, positions sizing your total dedicated allocation into equal tranches over the next year or so with the expectation that a deeper pullback is possible. 

Whether this is the absolute bottom or not is of no value to me. What is valuable in my view is that if an investor believes a ~53% correction is the moment to commence accumulating what is arguably the scarcest asset in the world. An asset that has demonstrated outsized returns (and drawdowns for that matter) during its entire history.  

Below is a graph from Fidelity, that demonstrates the difference even a  small BTC position can yield to the classic 60/40 portfolio.  

I don't know what 's in store for Bitcoin's future, but as an investor, I do think it's time to have a look at it.  So long for now...


Mike Cautillo 

* The above should not be construed as investment advice, it is for information purposes only. The reader accepts the responsibility to perform their own due diligence and assessment of risks as it pertains to their individual situation. *