When Bitcoin was at its’ high point, I began to conduct my research to see what the craze was all about. At this time, I thought, it was already too late to ride the wave. My thought was, can there by any long-term holding benefit? I created a Coinbase account and linked my bank account - I was ready. My plan was to purchase a very small amount to hold for a few months - just to learn more about cryptocurrency trading and the Coinbase application.
I downloaded the application on my iPhone 7 and went to make the first trade. I sat there on my couch - frozen. I knew how to make the purchase; however, I couldn’t get my head around purchasing Bitcoin as an “investment.” I understood the typical trading of company shares; do your research and buy shares in companies that you think will beat earnings, grow, and become more valuable in the future. When it came to Bitcoin, it felt just as it is - an attempt to profit from currency exchange. Even after conducting hours of research, I felt like it was a coin-flip. Heads, Bitcoin will be more valuable next year, and tails, Bitcoin will lose value. It felt just like gambling.
I couldn’t make the purchase. The account balance of my Coinbase account is still $0. What did I learn from this experience? Was it a waist of time? I learned that, even with investing, trust your gut feeling. If it doesn’t feel right or it looks like easy money, then you probably shouldn’t pursue the investment. Be street-smart. In the end, I had spent four hours researching cryptocurrency and 30 minutes to download, link, and play with the Coinbase application. A total of 4.5 hours in researching an investment; this was worth every second.