The Bitcoin and its decentralization in 2009 caused a major shift in the investment world. At first, no one thought much of it and the rise to fame took some time for the cryptocurrency. But at the start of 2017, that shift was felt strongly across the globe.
The Story of How Much Is a Bitcoin Worth
From a crypto asset that no one understood and wanted, from an investment that many couldn’t justify but still made at the end of the decade, the Bitcoin suddenly became one of the most lucrative assets in the world. Overnight, people who had a couple of tokes in their possession became millionaires.
Did You Know!
In 2010, on a sunny May day, a developer bought 2 pizzas for the shocking amount of 10,000 units of Bitcoin. By the end of 2018, this amount was worth $100 million! There were people who had forgotten at all they have bought Bitcoins and just woke up millionaires in 2017.
At the start of 2017, the price of the cryptocurrency started to steadily climb. A sharp increase from the second half of the year made it sky-rocket. Setting a new record of $10,000 per unit. But that was not all. By that time, everyone was on the crazy train to crypto wealth. Everyone was buying while they were still able to afford it and the price rose even further. If you know how cryptocurrency works, you will understand why.
Supply & Demand as Determinants of Price
Bitcoin is a cryptocurrency with limited supply. Like any good, its price is influenced by the demand for it. When the demand rises, so does its price. That is why at the brink of 2018, the Bitcoin almost broke the $20,000 per unit psychological barrier.
Everything changed at the start of 2018 when people around the globe, who joined the cryptocurrency industry only with speculative goals, started selling their assets and converting them to actual usable fiat cash like the Dollar. This quickly led to the decrease in value, creating nasty turbulence in the investment field. People even started talking about a Bitcoin or Cryptocurrency Bubble.
Some tried to pit Ethereum vs. Bitcoin to see if there isn’t a better asset, one that can save the investments of hundreds of people. The reality is that the Bitcoin will remain the undisputed leader and as much as we don’t like it, all other Altcoins will depend strongly on its price movements, unless something revolutionary happens. But don’t forget that you shouldn’t keep all your eggs in one basket. Those, who had diversified before the Bitcoin price crash, profited. Because the demand for Altcoins suddenly grew under the pressure from the falling prices of the leading cryptocurrency.
Should You Buy Bitcoin In This Case?
To buy Bitcoin is a decision that you should make on your own. There are both advantages and disadvantages to possessing the cryptocurrency. First of all, it is quite pricey even to this day and you might be able to purchase only a fraction of a unit. But don’t worry, with a fraction you can purchase other cryptocurrencies and build a portfolio with strong yields that can eventually enable you to buy more Bitcoin.
Second, despite all the shifts in the industry, all the sudden price movements, the fact is that the Bitcoin is still the undisputed leader and will remain as such for a long time. After the exhibited potential, unmatched by almost none of its competitors, many companies have started to adopt Bitcoin as a payment method.
As of January 2018, Chiasso – a Swiss municipality, accepts tax payments in Bitcoin. This is just the start of a financial revolution that has scared many and excited even more people.
Along with that, the blockchain technology that supports all cryptocurrencies has also been widely accepted. It has been a technological innovation that could change some of the operational processes of corporations in the future.
So if you are wondering whether or not to buy Bitcoin, consider all of this, consider whether you know and understand enough, and go the extra mile. This cryptocurrency, as well as some of the Altcoins, are definitely a good investment if you know how to manage your investments. They are the future.
What Is the Best Place to Buy Bitcoin?
The best place to buy Bitcoin depends on your needs and preferences. But you should be aware of the right place to do it. Given the buzz it stirred, alongside the rest of the Altcoins, it is only natural that specialized places to buy and sell Bitcoin have emerged.
These are the so-called cryptocurrency exchanges. They are licensed spaces for buying and selling crypto assets, quite similar to the well-known stock exchanges and Forex. They allow you to buy Bitcoin in the UK, in New Zealand, or any other point of the world you could be located at. To make use of the capabilities such an environment offers, you need to open an investment account. Of course, you will also need to have a cryptocurrency wallet where your assets can be stored.
There are two ways you can buy Bitcoin and Altcoins on cryptocurrency exchanges:
- Trade Against Fiat Money – this method encompasses your ability to buy Bitcoin or fractions of a unit with fiat money. Usually, this is available on every cryptocurrency exchange because the Bitcoin is the founding asset. If you possess Bitcoin, you can use it to buy every other Altcoin available on the exchange.
- Trade Against Altcoins – some cryptocurrency exchanges allow you to buy Altcoins for fiat money like the Euro or the Dollar and then use those to buy Bitcoin and other Altcoins as well.
This type of trading is quite similar to the trading of Forex currency pairs. Which way you will choose depends entirely on your preferences. The more important part is that you choose a safe and secure cryptocurrency exchange so that you can be calm and confident when you buy and sell crypto assets.
You Can Buy Bitcoin Easier Than Ever
The cryptocurrency industry and environment have become highly accessible. You can reach the desired assets with a couple of clicks and with the right account and wallet. Remember one last thing. The best investors and traders manage to keep a cool head and never give into emotions.
The cryptocurrency industry is a volatile one and changes can occur suddenly. This can exert a serious psychological pressure on you and lead you to unreasonable decisions. If you let emotions influence your investment behavior, you might seriously hurt your finance.
In times of doubt, the best thing you can do is to disconnect for a while and take a breather before you start monitoring your investments again. Remember that price spikes and drops are something natural for the world of crypto because of the speculative nature of most of the traders’ actions. You should always be prepared for them.
How? By not putting all of your eggs in one basket. Diversify, don’t just buy Bitcoin if you decide to participate in the industry, buy Altcoins as well. In this way, if the value of one your crypto asset falls, the others will balance the effect off.
Find the BEST Crypto Tool
Investment solutions get released every day. But that does not mean each is good for your trading ambitions. You need secure and proven to work platforms if you want good returns on your investments. We have found the best among the best and we strongly recommend them. Visit the industry leader if you are eager to start trading.
To start making investments, do the following:
1. Go to the Official Website of the Platform
2. Complete the Sign-up Process
3. Start Trading