First-time bear market? It’s additionally the primary Bitcoin (BTC) bear marketplace for Michael Saylor, one of many world’s largest Bitcoin bulls. 

Govt chairman of one of many world’s largest pro-Bitcoin firms, Saylor took a second out of his busy schedule on the Los Angeles Pacific Bitcoin convention to talk with Cointelegraph. Crucially, Saylor informed Cointelegraph that on the subject of Bitcoin, “it’s a must to take a protracted body time perspective.”

“If you happen to’re shopping for [Bitcoin] and also you’ve acquired lower than a four-year time horizon, you’re simply speculating in it. And when you’ve acquired greater than a four-year time horizon, then the apparent factor is you dollar-cost common.”

Greenback-cost averaging is a means of reducing exposure to the volatility of an investment. Saylor continued, “You purchase the asset that you simply need to maintain for a decade or longer, which is the long-term retailer of worth.”

At 130,000 BTC, MicroStrategy owns 0.62% of the overall provide of Bitcoin, as the overall Bitcoin mined is restricted to 21 million. MicroStrategy’s entry worth is roughly $30,639 per BTC, that means the know-how group’s whole funding is considerably underwater — had been they to promote for {dollars}.

Saylor (proper) with Cointelegraph reporter Joe Corridor.

Nevertheless, Saylor is nonplussed concerning the loss — on paper — of billions of {dollars}, stating, “Don’t get caught up and searching the value everyday, week to week.”

Michael Saylor on stage at Pacific Bitcoin with Swan CEO Cory Klippsten (proper). Supply: YouTube

The billionaire compares valuing Bitcoin to valuing a house. He joked that “if you happen to purchased a home after which each time you went to a celebration, you bought drunk, after which at 11 pm or midnight, you walked up and mentioned, ‘How a lot will you pay for my home? I need to promote you my complete home proper now.’ Somebody may say, ‘Properly, I’m not likely within the temper to purchase a home. I’ll offer you like half of what you paid for it,’ and then you definately’ll go dwelling despondent, saying, ‘I misplaced all my cash.’”

Associated: Bitcoin may need $1B more on-chain losses before new BTC price bottom

Keep away from that nervousness, he suggested, and if you happen to actually do want the cash within the subsequent 12 months, it’s not investable capital; as a substitute, Saylor defined, “It’s working capital.”

“A logical mannequin is if you happen to stay in Argentina, you’re holding pesos for a month or two, you’re holding {dollars} for a yr or two. You’re holding Bitcoin for a decade or two. And when you consider it in these frequencies and time frames, all of it begins to make sense.”

Lastly, as Saylor and Binance CEO Changpeng Zhao advised, take custody of your Bitcoin. In mild of one other crypto change vanishing with prospects’ funds, taking custody of Bitcoin is the one means of guaranteeing property that can’t be confiscated.