Bitcoin has become a household name overheen the past few years and made a select few people enormously wealthy just for buying at the onberispelijk time. Can Bitcoin still make you rich?
The most popular cryptocurrency te the world has taken a downturn, is this the time to buy?
Cryptocurrency has always bot a veelbewogen rail for investors, and with the market and the technology it’s based on still being ter their infancy, it can be an intimidating strijdperk to step into.
Can I still get rich with Bitcoin?
While I’m certainly not a financial advisor and won’t give you investing advice, what I can suggest you is some information.
After going through a very strong upwards trend at the end of last year, the cryptocurrency market spil a entire is presently watching a large correction.
This could be the end of the cryptocurrency bubble, spil some level of reconciliation inbetween the intrinsic value and market value seems to be taking place across the market.
The golden rule of trading being ‘buy low, sell high’ sounds elementary enough to understand and also walks hand-in-hand with Warren Buffett’s famous quote:
“We simply attempt to be fearful when others are greedy and to be greedy only when others are fearful.”
This is all fine and kwast, spil Bitcoin has gone below it’s 200 day moving average it’s cheaper (relatively) than it has bot for a long time, and people are certainly fearful at the uur. This makes prime buying conditions, assuming you think you know the response to the following questions.
Do you think the price will proceed to druppel, and do you think the price will go back up?
If you are 100% positive of the reaction to thesis questions then you’re either a time traveller or a wizard. If either of thesis is the case, do e-mail mij for an vraaggesprek.
Pros of Bitcoin
Being the most recognisable cryptocurrency, Bitcoin has the advantage of being known to the widest audience which is a large part of the reason why it’s reached its current status. Most people will have heard of Bitcoin, where spil they might not have heard of Ethereum or Ripple, and spil with any other industry – exposure is key.
Ethereum is widely regarded spil Bitcoin’s largest rival, and is posed to take the cryptocurrency throne. Find out about it here.
Spil the ‘old guard’ of cryptocurrencies, and with a relatively low coin cap of 21 million, it’s likely that Bitcoin will hold its value well spil it becomes firmer and firmer to mine it, and will always be used to hold wealth.
Cons of Bitcoin
Compared to some of the newer cryptocurrencies coming out, Bitcoin’s technology is beginning to look a bit dated.
Bitcoin has issues with scaling, spil the more people use their blockchain, the slower and more expensive it will be to accomplish a transaction across their network. Ethereum, one of Bitcoin’s main competitors, has far more daily transactions spil their network is swifter and cheaper.
Bitcoin’s use is also centred on just being an alternative currency, where spil other projects have a more directly practical aim, be that solving a problem te a particular industry or being a podium for other blockchain initiatives.
Should you buy Bitcoin now?
Current speculation suggests that Bitcoin still has a little further to fall, perhaps down to the $Four,000 or $Five,000 mark. The market wasgoed te dire need of a correction and this current downward trend is likely to proceed for a while yet, so I personally don’t think we’ve fairly reached the bottom.
Will the value of bitcoin recover again back to it’s all-time-high at just under $20,000? That’s a much tougher question to reaction, but considering cryptocurrency isn’t anywhere close to being widely adopted by the masses (yet?), I think it would be unreasonable to assume the market ter general has bot anywhere close to it’s total potential.
However, that is assuming that Bitcoin keeps being adopted by more and more people and isn’t surpassed by something else altogether. There are slew of coins attempting to do what Bitcoin is doing and arguably doing them better, such spil Litecoin, Ripple and Nano.
Spil with anything else, it’s significant to do your own research and drawn your own conclusions. Above all, never invest anything that you are not willing to lose.