Bitcoin has always been a hot topic for discussion as we know it now. Some segments have been brainstorming about the fate of this blockchain technology and, particularly, the future of cryptocurrencies. But this investment opportunity has gained immense popularity among the millennials and Gen Z, who wants to reap the premium benefits of high return through these deals.
Many cryptocurrencies have evolved, yet Bitcoin’s stakes are high. But the question that haunts every Bitcoin patron is whether it will sustain in the future or it will just fuse out? Looking at the recent statistics, Bitcoin prices have plummeted only once in 2014 in the last decade, making the investment still risky. But it is still better than the Ponzi schemes that many scamsters used to do digital frauds. You can learn about these scams on the federal trade commission website. So, is investing in Bitcoin still a mature decision, or should the census move towards more tangible assets?
Before we head down to answer the above question, let’s understand the basics first.
What are Bitcoin and cryptocurrency?
Bitcoin is a form of cryptocurrency, or you may say a subset. As Analytics Insight’s report brief, a cryptocurrency is a digital token available on Blockchain. Blockchain is a decentralized ledger as no particular authority is established.
Satoshi Nakamoto founded Bitcoin in 2008 with the objective of peer-to-peer cash exchange without actually engaging in cash. The Blockchain helped the peers track their bitcoin activity throughout the system. Although the idea was discarded at first, the growth of Bitcoin and the cryptocurrency market shows investors’ interest in using them.
Bitcoin crash and regulations
2021 saw the rise of the cryptocurrency market despite the slowdown during the pandemic. Bitcoin has seen an amazing spurt of 70% among all the digital currencies, leading the crypto market to a whopping $2 trillion valuation.
The latest scrutiny and the price fluctuations of the cryptocurrencies have led many experts to believe that it is nearly time for the great crash they expected in 2014. But as the crypto companies started going public, they had to face the harsh reality of regulations from the authorities. So, does this information make investing in cryptocurrency, Bitcoin per se, less lucrative?
As of now, the regulations are not so harsh on the growth of Bitcoin. But one may expect pitfalls on their way, which is completely natural for any investment. While we will discuss more the promising gains that one may derive from investing in Bitcoin, you can look at the smart investment plan to ensure that you don’t burn yourself out in the game.
Bitcoin – promising gains or gimmick
The cryptocurrency market is growing, and even though there are many competitors, Bitcoin has sustained its position on top of being the numero uno in the race. That sure does mean something, isn’t it? So, let’s look at the following facts to help you understand the clear picture of the future:
- Despite competition and economic slowdown, growth is always on the upper side for Bitcoin. In March 2017, Bitcoin was priced at a mere $980 per unit that rose to $20,000 in December. The stock price clocked in at $64,000 in April 2021. Now, this is a clear indication that the market will be bullish.
- The stocks of Bitcoin are marked to be highly volatile. This indicates that while you may suffer huge losses, you can also receive huge profits from the initial investment. Thus, Bitcoin falls under high-risk, high return stocks.
- Investors and portfolio analysts worldwide have claimed that Bitcoin will still be gaining value in the long run and are estimating prices near to $500,000 by 2025.
You can understand the growth of this market and estimates of the Bitcoin stakes in the forthcoming years. However, if you still feel that this may not be the right time to invest in Bitcoin or explore other cryptocurrencies, you can select the like the Bitcoin Digital software. The app is user-friendly with many functional features to easily look, buy, or sell Bitcoins. Many investors and traders also use this app to get information or invest in popular cryptocurrencies.