Should You Buy Bitcoin While It's Under $100,000?

Bitcoin more than doubled in 2024 and traded around $92,000 at year-end after a post‑election surge driven by hopes of friendlier regulation, though it has recently pulled back; its history of repeated deep drawdowns followed by recoveries underscores persistent volatility. Bulls point to Bitcoin’s fixed 21 million supply (more than 19.8 million already mined), greater portability and divisibility versus gold, and argue that if it ever matched gold’s roughly $17.7 trillion market capitalization it could imply a price near $900,000 per coin — a thesis that makes sub‑$100,000 levels attractive to risk‑tolerant investors, but the asset generates no cash flows and remains inherently speculative and hard to value with traditional metrics.

Analysis

Bitcoin more than doubled in 2024 and traded around $92,000 on the last day of the year, roughly 15% below its all-time high; the most recent pullback follows a post-election surge that the article attributes to investor hopes for a friendlier regulatory stance. The asset's price history shows repeated deep drawdowns — the article notes more than a 50% decline on half a dozen occasions and many drops exceeding a third — underscoring persistent volatility that makes buy-the-dip opportunities high-risk. Bulls emphasize Bitcoin's digital scarcity — a fixed 21 million supply with over 19.8 million coins already mined — along with greater portability and divisibility versus gold, and the piece cites a back-of-the-envelope comparison that matching gold's ~$17.7 trillion market cap would imply a Bitcoin price near $900,000. Valuation remains subjective because Bitcoin generates no revenue, earnings, or cash flow and therefore cannot be priced with traditional metrics; the article also flags divergent investment approaches from equity-focused services (Stock Advisor's top-10 stocks) versus crypto advocates, highlighting choice trade-offs between speculative upside and conventional equity returns.

Key Decisions for Investors

• Size any Bitcoin exposure conservatively and consider dollar-cost averaging rather than a lump-sum purchase given the asset's history of multiple >50% drawdowns and valuation uncertainty
• Monitor regulatory developments closely — the article links the late-2024 rally to post-election regulatory hopes — and employ explicit risk management (stop-losses or hedges) to protect against sudden policy or sentiment reversals
• If seeking less speculative sources of upside, allocate a portion of risk capital to analyst-recommended equities (the Stock Advisor top-10 framework referenced) rather than concentrating solely in BTC, because Bitcoin produces no cash flows and is hard to value with traditional metrics