Should I Invest in Bitcoin
“Should I invest in Bitcoin?” I asked myself this same question some time ago. Then I started to investigate the story behind bitcoin. I came to know what is bitcoin and what it can do for us.
If you have brought a thousand dollars of bitcoin six years ago, now it will worth a few million dollars. The gain is unbelievable. No one would have thought that cryptocurrency would be so popular. Even if we do, but we would never guessed it would increase in value so much. At the moment when I am writing this post, the price of bitcoin is around US$2564.
The question is “Would bitcoin continue to increase in value?”
The answer is YES, but the increase wouldn’t be as much as before. The increase previously is calculated to around 30,000 times. If I assume that it will increase another 30,000 times, then the value of one bitcoin will be US$75,000,000. Anyone would know that it is impossible. But what would be the increase be? My guess it will at the most double in value which is around US$5,000. More likely bitcoin will decrease in value in the long term.
Therefore, I have already answered your question. You shouldn’t invest in Bitcoin. The good new is you can invest in other cryptocurrencies. To let you have a look of what other cryptocurrencies are there, you can visit this website – https://coinmarketcap.com. Within this website, you will see a listing of all the cryptocurrencies by their market capital. You will be surprise to see there are so many type of cryptocurrencies. (Some people just called them digital currencies or coins)
The reason why there are so many different types of coins for several reasons.
- they improve in technology as compared to bitcoin
- they have different technology
- they serve different markets
- they are created in different countries
- they all want to compete with bitcoin
- they are scams
There are so many of them. Which one should you invest in? I would say, don’t invest in anything beyond the top 100 highest market capitals.
If you have invested in share market before, you should know the rule of the game. You can use technical analysis to look at the trading price, volume, support level and breakout level, etc. When choosing which coin to invest also depends on whether you are investing in long term or you just want to make a quick dollar.
To give you an idea of what to look for. I share the following video with you.
Please be careful, the prediction he made in this video is just his own opinion. You have to do your homework to find out which coin you should be investing in. Some people look at the technical aspect of the coins, but it is not for everyone. I don’t quite understand some of the technical terms and the technology behind these coins.
There are many different views on cryptocurrencies. Some believed they are just speculation, they will disappear after the honeymoon period and people will forget about them. But I can tell you that cryptocurrencies are here to stay because one day in the future we will not have any paper money anymore. In the future it will be digital currency for everyone whether you like it or not.
You might not know this. Currently in our banking system, there are less than 10% of notes for all the money created. That means 90% of the money are stored as digital. If you don’t believe me, try go down to your local bank and withdraw $50,000 dollars. They will tell you that you have to wait for a few days. That is to say, most of our money is digital.
You didn’t even realise that you are using digital money. For example, when you use you credit card or doing internet banking. Also, when you write out a cheque to someone, there is no real money changing hands – they just update the account balance in their computer.
My own favourite are – Ethereum, Dogecoin, Ripple, AntShare and Bytecoin. I buy them for long-term investment since I am not good when it comes to trading or short-term prospecting. My advice is, don’t buy coins with money that you cannot afford to lose. Nonetheless, good luck with your investment.
There are pretty good chance that you will make some money.
Now, you have decided to invest in coins. Where can you buy?
If you live in Australia and New Zealand, you can click the banner below to buy from the shop I recommend. It is a Melbourne based company, they are trustworthy and their fee are low.
You can check the Australian Dollar price of cryptocurrencies. Click here.