When Bitcoin was first introduced as a digital currency, very few people knew it would grow in value as it has over the years. In the last three years, speculators have been making a killing out of the coin’s volatility. The lucky few have made quite a killing since 2017 when it hit its all-time high. However, with any gamble, there are those, too, that have made serious losses, especially the panic sellers. While it is not as easy to tell the direction that the coin will it take, buying bitcoin seems to be still lucrative despite what the naysayers are saying about it. Here is why.
Bitcoin is still not regulated by any financial institution or government. This ideally means that its movement is purely dependent on digital currency market trends. You still have the freedom to analyze the trends and decide if to buy and hold, then sell later. Being free from regulations means that you can trade bitcoins and make an untaxed profit.
Unlike other coins, bitcoin’s market capitalization is still ridiculously high. Its capitalization stands at around $130 billion, more than twice its closest rival Ethereum. These figures are an indication that there is still a lot of money to be made with this coin. There are about 17 million of these coins in circulation and more people are mining more. With technology still advancing, many people in this industry have hopes that bitcoin will get more uses than it has now, thus helping it grow in value.
Hype About Bitcoin
There is still a lot of hype about bitcoin despite losing its value by more than 50% in approximately two years. At the end of 2017, the coin was trading at $19,000. Its current price is around $8,100 and has in the last few months gone as low as $3,000. There is still a lot of talk about the coin and its future. Speculators claim that the coin’s value could hit the $100,000 mark. It is this continued hype that is keeping the coin relevant and a good one to buy.
Accepted by Large Institutions
Various established institutions have taken up bitcoin as their means of payment. Companies such as Microsoft and Newegg are among the big companies accepting bitcoins. There are governments as well as banks that are also allowing trading to take place using bitcoins. The coin is slowly, but steadily gaining universal acceptance. Though many banks are still perceiving the coin as a threat, its expansive use is pushing its value upwards. You might just be in the next lot that will profit from the high value of bitcoin soon.
New Ponzi Schemes
Ponzi schemes are not the best way to go when investing, but if you have your timing well, you might just score big on them. There are still a lot of new ones emerging claiming to pay out attractive bonuses on bitcoins. If you can identify some of them at their initial stages, you can still benefit from buying and investing bitcoins in them before they go under. Just be careful and do thorough research first.