# Bitcoin Investment Thesis... for Degens

I spend most of my time thinking on how to articulate what makes Bitcoin such a great investment strategy for the average degen. One thing that stands out to me is how little bitcoin the average DeFi wallet holds. We ran a small survey in the telegram communities we are a part of and found that 76% of respondents hold 0-10% Bitcoin (Results below).

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On the flipside, our community prefers projects under 100M mcap, with 31% having over half of their portfolio in this type of projects according to our survey. It is up for speculation what the investment thesis of this market segment is. But one could speculate that most are probably looking to optimize short term gains as these projects get repriced by their continued development. On the flipside when evaluating BTC most traders find the daily gains posted by BTC unappealing since they arent that much compared to 200-300% overnight gains seen in smaller caps.

However I think that the short term bias of this strategy fails to account for the **continued** gains BTC has achieved on larger timeframes. Bitcoin is the most liquid market on earth right now and is the only asset whose entire purpose is to preserve the wealth of the holder. 

Even in the most bearish scenario the BTC retrace wont go past 30-40% before it reclaims previous highs and carries on. This means that not only have the gains from lower market cap tokens been secured, it also means that they are increasing in value fronm exposure to the biggest crypto market.

### The Bottom Line

A balanced investment strategy accounts for both short and long term gains. While smaller market cap tokens are ideal to get capital to invest with **generational** wealth is achieved when long term strategies are implemented. Perhaps the 10% of the respondents that DO have a significant percentage of their holdings in BTC will be the outliers that outperform the rest of the market. Which group will you be in?