16th November, 2021
Bitcoin’s overwhelming performance has attracted both institutional and traditional investors. However, this virtual currency has some risks, like other speculative investments.
Bitcoin was the first virtual asset in the cryptocurrencies ecosystem.
This virtual currency has grown underground with support from investors that saw it as a potential replacement for the conventional monetary system.
Today, many people are unsure whether to add this digital asset to their investment portfolios.
That’s because they have read stories of people that have become overnight millionaires by investing in this digital currency.
If unsure whether to invest in Bitcoin, here’s why you should add it into your investment portfolio.
Bitcoin is a Superior Digital Asset
Although the world has many cryptocurrencies, Bitcoin is the top virtual currency so far.
It’s more stable with the largest market capitalization. Also, Bitcoin has greater liquidity than other digital currencies.
While many crypto exchanges allow users to trade different cryptocurrencies, they mainly focus on Bitcoin.
Thus, investing in Bitcoin means you’re purchasing the most valuable cryptocurrency.
Increasing Institutional Interest
You can spend Bitcoin to purchase items online if unsure whether to trade Bitcoin for profits.
The institutional interest in this cryptocurrency is increasing, with many brands accepting it as a payment means for services and goods.
And paying for goods and services using Bitcoin comes with many advantages.
For instance, you complete transactions instantly. You also enjoy greater security without disclosing personal details.
Essentially, these advantages differentiate Bitcoin from other payment methods like credit cards.
Independent and Flexible Trading
Crypto trading is accessible 24/7. That means you enjoy more flexibility trading this digital currency.
What’s more, most crypto exchanges allow traders and investors to use different methods when purchasing Bitcoin.
Thus, you can use other digital currencies or traditional payment methods like bank transfers and credit cards.
Bitcoin Is a Deflationary Asset
Bitcoin’s supply has a limit. Only 21 million tokens can exist in the world.
That means it’s a deflationary digital asset that no government can control or regulate its supply.
Consequently, Bitcoin’s purchasing power will only increase over time as miners draw closer to the 21 million tokens.
Controlling Your Asset
Quintessentially, crypto trading has a decentralized nature. And this allows you to store and own the asset without involving a third party.
No intermediary or crypto exchange can determine the value of this digital asset.
Instead, traders influence Bitcoin’s price on platforms like https://thebitcoincode.io/. Thus, you can maximize your profits by purchasing this virtual currency when prices are low and selling it when its value increases.
Bitcoin is Secure and Transparent
Bitcoin’s popularity as a digital asset is due to its transparency.
Essentially, this virtual asset uses a publicly-verifiable and open-source technology.
Thus, you can check the public ledger or the blockchain at any time to check the record of all transactions.
Bitcoin Is an Ideal Long-term Investment
Despite the fluctuations and volatility that characterize this virtual currency, investing in it is beneficial in the long run. It can serve as an excellent post-retirement savings source. You can also use it as a financial buffer when facing an economic crisis.
Bitcoin is undoubtedly an excellent option for anybody looking to invest in digital assets.
In addition to being a stable digital asset, it also has the highest value.
What’s more, institutional interest in this digital currency is growing. Additionally, online crypto exchanges allow you to purchase this digital asset and sell it at any time.
Thus, you can benefit from trading or investing in Bitcoin if keen to use the right strategy to diversify your portfolio with this digital asset.