In 2017, a blogger named ERB set a goal to retire with Bitcoin. He decided to invest 500 euros per month, every month, until he reached his target Bitcoin retirement plan goal of 1,000,000 euros.
Five years later, ERB has reached the halfway point. His Bitcoin portfolio is now worth over 200,000 euros.
In an interview with Cointelegraph ERB shared his insights on Bitcoin investing and how he was able to achieve his goal so quickly.
Start small and stack sats
ERB’s advice to new Bitcoin investors is to start small and stack sats. Sats are the smallest unit of Bitcoin, and they can be purchased for as little as a few cents.
“The most important thing is to start investing early, even if it’s just a small amount,” ERB said. “Over time, your investment will grow, and you’ll be well on your way to reaching your financial goals.”
Don’t try to time the market
One of the biggest mistakes that new investors make is trying to time the market. This is the practice of buying and selling assets based on predictions of future price movements.
“It’s impossible to time the market perfectly,” ERB said. “The best thing to do is to invest regularly and hold for the long term.”
Do your own research
Before investing in any asset, it’s important to do your own research. This means understanding the risks and potential rewards of the investment.
“Bitcoin is a volatile asset, so it’s important to understand the risks involved before investing,” ERB said. “But for those who are willing to invest for the long term, Bitcoin has the potential to generate significant returns.”
Don’t panic sell
Bitcoin is a volatile asset, and its price can fluctuate wildly. This can be scary for new investors, but it’s important to remember that volatility is a normal part of the Bitcoin market.
“If you’re investing in Bitcoin, it’s important to have a long-term investment horizon,” ERB said. “Don’t panic sell if the price goes down in the short term.”
Invest what you can afford to lose
It’s important to only invest money that you can afford to lose. Bitcoin is a volatile asset, and its price could go down significantly.
“Only invest what you can afford to lose,” ERB said. “And don’t put all of your eggs in one basket. Diversify your portfolio by investing in other assets as well.”
Is it too late to invest in Bitcoin?
Despite the recent decline in Bitcoin’s price, many experts believe that it’s not too late to invest. Bitcoin is still a relatively new asset, and it has the potential to grow significantly in the coming years.
“Bitcoin is still in its early stages of adoption,” ERB said. “As more and more people start to use Bitcoin, its price is likely to go up.”
How to create a Bitcoin retirement plan
If you’re thinking about creating a Bitcoin retirement plan, here are a few tips:
- Set a goal. How much money do you need to retire comfortably? Once you know your goal, you can start to create a plan to reach it.
- Invest regularly. One of the best ways to grow your Bitcoin portfolio is to invest regularly. You can do this by setting up a recurring buy order on a Bitcoin exchange.
- Hold for the long term. Bitcoin is a volatile asset, but it has the potential to generate significant returns over the long term. If you’re investing in Bitcoin for retirement, it’s important to have a long-term investment horizon.
- Rebalance your portfolio regularly. As your Bitcoin portfolio grows, it’s important to rebalance it regularly. This means selling some of your Bitcoin and investing in other assets, such as stocks and bonds. This will help to reduce your risk and ensure that your portfolio is meeting your investment goals.
Investing in Bitcoin can be a great way to save for retirement. However, it’s important to understand the risks involved and to have a long-term investment horizon.
If you’re thinking about creating a Bitcoin retirement plan, be sure to do your own research and to invest what you can afford to lose.