Bitcoin is definitely a great investment option, and here is why:
- It’s the first, most popular and still most important cryptocurrency.
- Bitcoin’s market share is almost 50%. Considering that there are over 1000 coins out there, half of the market is an impressive figure.
- 99% of the coin ATMs out there deal with Bitcoin, most of which operate exclusively with it.
- Merchants accepting digital currencies operate with Bitcoin in most of the cases.
- Bitcoin and Ethereum are intermediate coins whenever new ICOs start.
So, if you plan to invest in a solid coin, Bitcoin should be among the first choices.
But, is it late to invest in Bitcoin since its price has recently reached new records?
Yes and now. It may be late to invest in Bitcoin if you expect returns measured in hundreds of percentage points. However, BTC has the strongest fundamentals, which makes it a good investment option.
Professional stock investors consider 20-30% an amazing return, and Bitcoin can generate more than that. I know that most of the beginners want to double their investment on a daily basis, but this is not how professional investing works. Buy and hold strategy can work perfectly well with Bitcoin, but be patient and look for large timeframes rather than day trading. In fact, day trading and intra-day trading is very risky with Bitcoin! It’s one of the most volatile assets – don’t spend your money on such activities.
Besides investing for profits, Bitcoin is a great tool for getting used to the future money. I think the world is slowly moving from fiat money to digital money, and you may become part of this shift by investing in Bitcoin.
Here are some tips for investing in Bitcoin:
- Buy Bitcoin only from reputable exchanges, such as Coinbase, Kraken, Gemini, CEX IO, Bitstamp, and so on.
- Never keep your crypto funds with the exchange! After buying with a broker like Coinbase, you should immediately move your Bitcoin to a hardware wallet or a paper wallet.
Here is how a hardware wallet may look like:
- Don’t invest more than you are able to lose!
My personal advice is to not invest in Bitcoin whenever it updates its record – just wait for a slight drop and then make your move.
As for the return, Bitcoin can reach $10,000 in 2018 according to most of the forecasts.
Spallanzani, chief macro strategist at GFI Group, also predicts a sizeable fall to as low as $3,000 unless it manages to break the $4,500 level it tested last week. But then it should rebound and climb to as high as $10,000 in 2018, he said.
Hope this helps!