Everybody is talking about cryptocurrency, and among all the different ones, about Bitcoin. This digital currency, the first of its kind and one of the most valued right now, is a very hot investment right now, thanks to its high growth, ease of use and transparency. Newcomers are looking to invest in cryptocurrency as an alternative to foreign exchange, stock trading or other investments.
However, as with all things, the cryptocurrency market is not perfect. For every benefit cyptocurrency investment has, there’s a disadvantage you can’t overlook if you want to start to invest. If you want to know more about this in order to decide if this is the right time for you to invest in Bitcoin, keep reading!
What is, exactly, Bitcoin?
Bitcoin is a cryptocurrency, that is, a decentralized set of tokens supported by a public and transparent transaction system known as a blockchain, not supported by real-life institutions or assets such as gold, but with a market value. In its deepest level, Bitcoins are just bytes of digital information and have no physical value. However, this digital currency created in 2009 has sparked an interest in traders and the general public throughout the years, with an exponential increase in its value and a great share of the digital currency market share.
Bitcoin’s price is predicted to go up in 2018
Most analysts and reports published online predict that the value of one Bitcoin will go up during 2018, following the trend set in previous years. Some sources predict a price of $50000 per Bitcoin, while others go as far as to say that the Bitcoin will surpass the 100 thousand dollars barrier. Of course, this will depend on a lot of variables such as demand, adoption by newcomers as well as government agencies and other businesses, and other cryptocurrencies’ markets.
Bitcoin is not stable
One thing to note is that Bitcoin is not a stable currency by any measure. Recently, the Bitcoin price skyrocketed to $19000 for a few days, only to fall to $12000 in less than six hours, and this kind of crash is not new at all in the Bitcoin market. Investing in cryptocurrencies, such as the Bitcoin, is a really high-risk bet that should only be taken if one considers all the ways it could possibly end on losses. Follow current bitcoin prices at coindesk.
Mass adoption will potentially improve Bitcoin
By the end of 2017, a lot of people were interested in knowing more about Bitcoin and started investing. Not only this, official agencies have been showing an interest in to incorporating Bitcoin into official instances, and there are plans by some governments to create alternative cryptocurrencies. This “popularisation” of the Bitcoin market might give the currency a broader adoption, as well as more stability in the market, making it a better choice to invest into.
In the end, investing in any crypto currency can be a risky choice, but it might also bring the investor many, many benefits during 2018! If you do buy cryptocurrency in 2018 make sure you don’t fall victim to a phishing attack by following our advice article – 5 ways to spot a phishing attack.
Be the first to write a comment.