0/ If you bought $10 of Bitcoin each week for the last year, you would be up 49% currently. pic.twitter.com/EJAzSlmdj6
— Pomp 🌪 (@APompliano) November 25, 2019
The chart he published shows the trend of a hypothetical investment program of this type, with a total of $530 invested, at the rate of $10 for each of the last 53 weeks.
In total with this program would have been purchased over 9.5 million satoshi (0.09564 BTC), whose value to date would be about $790.
In other words, the investment would have produced 260 dollars of earnings, equal to 49.13% of the amount invested ($530).
To carry out these calculations he used a special online tool, dcabtc.com, which allows simulating the results of such investment programs.
Pompliano also simulated the result of a program of 10 dollars per week in the last two years, with a hypothetical gain of 27%, and a corresponding one in the last three years, with a gain of 156%.
Finally, he commented:
“Lots of fear and fatigue in the Bitcoin market recently. Those who remain disciplined and stick to a simple plan are able to ride the ups and downs without worrying”.
Similar results, in percentage, to those produced by the simulations of Pompliano are obtained for example by assuming an investment of 5 dollars a day, for the same periods, or 100 dollars a month.
In particular, if we invested 100 dollars a month in the last 12 months, we could have obtained a return of 54.82%, with 1,200 dollars invested in a year, and 657 dollars earned.
The interesting thing is that such simulations suggest that this method would have achieved a return in the long run, even including 2018, the year of the last bear market.
Indeed, when simulating only 2018, the result is a loss, but when combining 2018 and 2019, the result remains positive.
For example, investing 100 dollars a month, starting from November 2017 until October 2019, the result would still be positive, with a gain of 27.58%, or $2,400 invested and $661 earned.
For this reason, Pompliano writes that those who “remain disciplined” are able to “ride the ups and downs“.