The leading cryptocurrency has opened the door to a market that today is consolidated as one of the most profitable investments of the last decades. Although there are already more than 1900 cryptocurrencies, Bitcoin continues to strengthen its leadership. The bitcoin aims to become the “digital money of the future” and aims to make its adoption massive. Since its appearance in 2009, the evolution of bitcoin has been transcendental. In this article, you will find the main reasons to invest in bitcoin before it is late.
1. Domain: Bitcoin leads the market
No need to worry. The bitcoin continues to have a significantly higher share than the rest of the cryptocurrency market. Contrary to what was thought after the appearance of the altcoins, the bitcoin managed to regain market dominance last year. While in January the BTC only capitalized 33% of the global market, today it rises by more than 52%. It also manages to accumulate more than 100 billion dollars in capitalization.
Considering that almost 1900 digital currencies compete in this market, it is clear that bitcoin is the most consolidated and accepted option. This domain becomes clear when investing in bitcoin using a broker, exchange, or online service; Bitcoin is always the first (and sometimes the only) cryptocurrency we will find.
2. Bitcoin price: Unique opportunity
Bitcoin has provided invaluable wealth to early investors. Its price has climbed unlikely with just eight years in circulation. Despite being an extremely volatile investment instrument, we recommend seeing the “large picture.” Yes, the bitcoin can go down and up very quickly, but in the long term, its revaluation is like no other.
Bitcoin begins its adventure on May 2010, when an enthusiast offered to pay two pizzas using his BTC. It would be the first payment recorded in the history of the BTC. So here comes the surprising thing, the user paid 10,000 BTC for the two pizzas (ten thousand bitcoins). Today this amounts to 70 million dollars!
3. Bitcoin starts trading in large financial markets
Another reason for the high weight to invest in bitcoin is its adoption in large financial markets. Bitcoin had already explored the terrain of CFDs (contracts for difference) with great success. However, it was not until the end of 2017 that bitcoin managed to sneak into even bigger financial markets.
As we reviewed, the bitcoin began trading on the CME Group futures market in December 2017. It represents an even more massive injection of money for this cryptocurrency. It has aroused the interest of other similar markets, such as Rofex (Argentina). The arrival of bitcoin in increasingly large financial markets is a significant milestone that helps consolidate this currency much more. The proposals for funds quoted for bitcoin are increasingly numerous and the SEC is likely to end up accepting any of them.
4. Stable network, innovative technology, and controlled emission
The growth of the bitcoin network, with mining as the main incentive, has made this cryptocurrency one of the largest decentralized control networks on the planet. So many people are involved in the operation of this network. It is very difficult that there are problems to trade using BTC. Although there is still room to earn free bitcoins, confirmation times are getting shorter, and security is still guaranteed.
On the other hand, we have the point of controlled emission. Unlike banks, where metallic money is issued based on demand, the issuance of bitcoins is controlled by the mining process. The number of bitcoins issued for each block added to the blockchain will be reduced every four years. Besides, the issuance of bitcoins will be limited to 21 million, without exception. This regulated issue prevents its value from being affected due to a circulation that does not correspond to market conditions.
5. Institutional money begins to enter bitcoin
We have already reviewed it in Coinlist: Bitcoin added institutional money last year. Moreover, these large sums of money will come from Coinbase. Coinbase Custody, the new product of this bitcoin exchange, will allow legal persons to invest in bitcoin with advanced security elements and guarantees that would not be offered to natural persons.
So how does this benefit bitcoin? Well, maybe you can’t imagine the magnitude of this. Coinbase demands large sums of money from these clients. To start operating, a Coinbase Custody customer needs to deposit 10 million US dollars. By investing such amounts of money in a currency with limited liquidity and an absolutely decentralized offer, market growth is imminent.
6. Invest in bitcoin: Opportunity or risk?
Many analysts believe that bitcoin is an extremely risky investment instrument. Also, they suggest that this market is too volatile for beginner operators. Obviously, it is risky to invest in bitcoin, but what these analysts do not show, is the reality that BTC has maintained a long-term uptrend. While there are risks in such a volatile market, the bitcoin has offered a return on investment that is not even comparable to other instruments such as stocks or raw materials.
With a registered growth, it is clear that we take this risk in exchange for very substantial benefits. The recommendation is to set stop stops on the platforms we use to perform our operations. It is also interesting to take advantage of the bearish seasons operating in short. This way, we can invest in bitcoin with a little less risk. Manage your risks correctly and invest responsibly.
7. Bitcoin: Global trend
As the bitcoin market expands, there are more media that cover news related to this topic. Also, it is not an opinion, Google statistics; indicate that the search interest of the term “bitcoin” reached its maximum levels at the end of 2017.
In fact, bitcoin has taken second place in the “Global News” compiled by Google in 2017. These data show that the issue is getting closer to becoming massive. In addition, every time someone is interested in the cryptocurrency issue, they will always start exploring it with the leading currency: the bitcoin.
Although there are different analyzes and opinions regarding the behavior of bitcoin in 2019, many agree that this will be their year. Despite the bearish season, we recorded last year; it is possible that the bullish rally will return by the end of the year or the beginning of 2019.
If you want to invest in a cryptocurrency or diversify your financial investments, bitcoin is an interesting solution not to neglect. Its worldwide use, along with all the advertising it enjoys at all levels is indicative of its reliability.