Visualizing Bitcoin Returns: It’s not that complicated to invest in BTC

Bitcoin price is down in the dumps as it continues to consolidate in a tight range. Choppy markets are irritating, especially for short-term investors.Here are a few pointers on how to alleviate your frustration and improve how you view investments.Before we proceed any further, here are some things you need to familiarize yourself withThis is NOT financial advice.The data available for Bitcoin price history is too little for the conclusions in this article to continue working.DYOR.This article builds on top of the work that has already been on done Bitcoin cycles by Benjamin Cowen of Intothecryptoverse and Akash Girimath.Based on Bitcoin cycles, this article hypothesizes that the fourth BTC cycle will last roughly 1760 days from the previous cycle’s bottom in December 2018. It also approximates that the peak of this cycle will be formed in late August 2022 at $118,000 per Bitcoin.Assuming this is true would implicate that the current slowdown or drop is but a minor hiccup and that the bull run will continue for 413 days, which will push BTC price up by 244%.BLX 1-week chartThe takeaway from the above is that Bitcoin, like any other asset, is a fractal and things tend to repeat. For example, BTC runs in cycles, a bull run, and a bear run, but what’s interesting is that the cycles are lengthening.The fractal nature becomes apparent when moving down to a lower time frame and is observed in BTC performance.Bitcoin Quarterly Returns chartFrom the above table, one can conclude that Q1 is generally the worst-performing quarter for BTC, and Q2 and Q4 show relatively higher returns. This trend held true from 2014 to 2020.In effect, investors could dollar-cost average (DCA) into BTC in Q1 and sell in Q2 or Q4.However, things seem to be changing in 2021. For the first time since…