The prices of cryptocurrencies have fallen in value in 2022 with many of the top coins down more than 50% from all-time highs. Here’s a look at how buying the dip in the top two cryptocurrencies one month ago would have performed for an investor.
Bitcoin and Ethereum both fell after several cryptocurrency exchanges faced liquidity problems and fear hit the sector. A crypto winter bear market has been underway for several months, with a rebound that started over the last few days showing signs of life for the sector.
Both Bitcoin and Ethereum hit their 52-week lows on June 18.
Over the last 52 weeks, Bitcoin has traded between $17,708.62 and $68,789.63, with highs in November 2021.
Over the last 52 weeks, Ethereum has traded between $896.11 to $4,891.70, with highs in November 2021.
Investing $1,000 In BTC, ETH: If an investor was able to time the drop and buy the dip in both Bitcoin and Ethereum, they have generated a positive one-month return.
A $1,000 investment in Bitcoin at the low on June 18, 2022, could have purchased 0.0565 BTC. The $1,000 investment would be worth $1,220.96 today based on a price of $21,609.94 for Bitcoin at the time of writing.
A $1,000 investment in Ethereum at the low on June 18, 2022, could have purchased 1.1159 ETH. The $1,000 investment would be worth $1,651.61 based on a price of $1,480.07 for Ethereum at the time of writing.
The Bitcoin investment would be up 22.1% in one month and the Ethereum investment would be up 65.2%. The total $2,000 investment would be up 43.6% in exactly one month’s time.
Whether this is a short-term increase in cryptocurrency prices or the start of another rally remains to be seen.
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