Friday, December 1, 2017

Double Down on Bitcoin

Recently I was discussing Bitcoin's growth with some family members, each of whom have at least some vested interest in the cryptocurrency. It was pointed out that as of the date of the discussion, Bitcoin had doubled in value 5 times in a little over 2 years. The question was posed as to when (or if) it would double again. We each made our guesses and second guessed as well. We've yet to know who guessed best.

But I started wondering about how often Bitcoin actually has doubled. I didn't go back all the way to the first recorded price on an exchange, although that might be interesting to try. Instead I chose a date around the time I first heard of Bitcoin which was in September of 2012. I got my dates and prices from https://99bitcoins.com/price-chart-history/

On September 1st 2012, bitcoin was selling for 9.99.  By the time I actually bought some in April of 2013, it had doubled 3 times and was selling for more than $80. It continued to double 3 more times in 2013, passing $640 on Nov 18. Prices continued to rise that November, but fell off before crossing the $1280 hurdle. It took over 3 years before it doubled again on April 26, 2017. Since then it has doubled 3 more times when it crossed $10240 in November of 2017.

So that's 3 doubles between when I heard of Bitcoin and when I bought some, 3 more doubles from when I bought it through the end of that year, 3 years until it doubled again, and 3 more doubles from then until now. I've done some calculations based on my Bitcoin holdings and believe that I would be willing to cash it in if it doubles 3 more times.

Seems like something almost divine about the number 3. đŸ˜‡

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