Bitcoin Strategy Suggested By MARA CEO For Retail Investors

According to Cointelegraph, Fred Thiel, CEO of Bitcoin mining firm MARA Holdings, has advocated for a long-term investment strategy in Bitcoin for retail investors. In a recent interview with FOX Business on January 2, Thiel emphasized Bitcoin's robust price performance over the years, noting that its price has only decreased three times in the past 14 years. He suggested that retail investors adopt an 'invest-and-forget' approach, recommending that individuals, including his own children, allocate a small amount of their funds to Bitcoin monthly and then leave it to grow over time. Thiel highlighted that Bitcoin typically appreciates between 29% and 50% annually. Despite Bitcoin's potential for growth, Thiel acknowledged its inherent risks, pointing out that it remains a volatile asset compared to traditional financial instruments. This volatility might pose challenges for some investors considering the invest-and-forget strategy. Thiel also identified several factors that could drive Bitcoin's price higher by 2025, such as the possibility of the United States establishing a Bitcoin reserve, increased institutional adoption through spot Bitcoin exchange-traded funds, and a more favorable regulatory environment under the anticipated Trump Administration. Thiel's remarks coincide with a poll conducted by Michael Saylor, a prominent Bitcoin advocate and executive chairman of MicroStrategy, which revealed that 77.7% of the 65,164 respondents plan to increase their Bitcoin holdings by 2025. This outcome is not unexpected, given that a significant portion of Saylor's 3.9 million followers on X are Bitcoin supporters. MARA Holdings itself is committed to a long-term Bitcoin strategy. In July, the company revised its treasury policy to retain all Bitcoin it mines and utilize various capital market instruments to enhance its Bitcoin reserves, mirroring MicroStrategy's approach. Currently, MARA holds the second-largest Bitcoin reserves among publicly listed companies, with 44,394 Bitcoin valued at approximately $4.3 billion at current market prices, second only to MicroStrategy's 446,400 Bitcoin. This represents a significant increase from the 15,174 Bitcoin MARA held at the beginning of the previous year, marking a 192.5% growth. The value of MARA's Bitcoin holdings has also surged due to Bitcoin's nearly 120% appreciation over the year.