BTC has been one of the best performing asset classes almost every year over the past decade, and it has demonstrated some diversification benefits with outsized upside potential. It is not for everyone, however, and investors should acknowledge its history of 'cycles' and periodic 50%+ drawdowns, although, since it is near an all-time high that also means it has more than offset each major drawdown in the past.
We think for an investor that has a long timeframe and is willing to hold the asset through 50%+ declines, we would be comfortable with a starter position here. We feel that its current range can represent a good entry point, particularly if we see the markets continue to head higher into year-end.
Authors of this answer, directors, partners and/or officers of 5i Research and/or affiliated companies have a financial or other interest in FBTC.