Investors have a few unanswered questions as the crypto market is experiencing some relief after the most recent crash. One of these questions revolves around Bitcoin (BTC) and whether they should hold on to their holdings.
BTC is one of the most established assets in the crypto market. This is why so many people no longer view Bitcoin as a get-rich-quick investment, but as an asset class considered worthy of holding.
Many well-known blue-chip companies seem to agree with this as they themselves hold BTC on their balance sheets despite the volatility. Some of these companies include MicroStrategy, Tesla, and Block Inc.
By August 2021, companies alone held 1.6 billion BTC, which amounts to about 8% of the total supply. MicroStrategy is the biggest BTC holder with about $2.8 billion worth of BTC in its holdings. This could serve as proof that these companies trust in the long-term benefits of holding on to their BTC.
Countries have also started seeing the light when it comes to BTC. At the moment, the largest bitcoin nation is El Salvador which holds about 2,301 BTC in its treasury.
Crypto whales are also holding on to their BTC. About 4,919 wallets hold BTC with a value of $10.000,000 or more.
Although there are some who are a bit more skeptical about a bullish future for BTC, an upward trend is more likely when considering BTC price fluctuations over time. The increase in BTC adoption and the number of BTC holders are a testament to the high expectations for the future of BTC.
Some optimistic BTC fans believe BTC could climb as high as $1 million; on the other hand, more conservative projections see BTC reach $179,280 by 2025.
Source: https://coinquora.com/why-holding-on-to-your-bitcoin-is-great-in-the-long-term/