There are plenty of things to invest in today’s world. One of these includes cryptocurrencies, particularly Bitcoin. Despite issues like high volatility and the unpredictable market of these currencies, the number of people playing with it is countless. Thanks to the high return it offers, you have plenty of reasons to invest in it. It is a high-risk, high-gain kind of game. On one end, if you are gaining high returns with Bitcoin investment, you should be ready to lose your money. However, playing safe and investing can allow you to make money with Bitcoin investment. To earn with Bitcoin trading you can visit profit maximizer
Is BTC a decent choice for your investment in the crypto market?
Before you put money in Bitcoin, always do your homework. Your decision to invest in the currency should be based on facts and not any hype in the market. Bitcoin is often surrounded by so much speculation. Before investing in it, check the risks it offers and the ways of mitigating them. Many financial experts and institutions like the Bank of England call Bitcoin a tough market. They all say that you should not invest anything you can’t afford to lose. Hence they recommended avoiding putting money from your savings. It is highly recommended to read a lot about crypto first before you put your money into it.
Check the risks before investing in Bitcoin.
Bitcoin is a risky investment; however, if you do your research, you can find ways to mitigate the risk. Government agencies and financial institutions have warned against the coin. Some of the critical risks linked with Bitcoin investment include:
- Bitcoin can give you extreme fluctuations, which is seen as a defining factor of the cryptocurrency. You can gain higher returns, but you can lose money. Check for the Time Magazine-based column Money Mentor for a few stories of Bitcoin investment.
- There are many scams in the crypto domain. It can help you greatly if you stay vigilant. A classic case took place on Nov. 21, when around 1 million USD worth of coins was gutted into a crypto scam. Santander UK reported huge losses for customers. The number of people who lose money in scams is enormous. The criminal hacks are a matter of concern that you must explore before investing in Bitcoin; too many lucrative offers keep coming into the Bitcoin circles, and you need to watch out for anyone being dishonest.
- Fake promises. You often hear about getting higher returns with fake promises. For example, several crypto investment firms can promise you considerable investments in crypto while reducing the risk. But, this isn’t the case as it can reduce the stakes in a big way. So, before accepting such offers, keep in mind to check them in and out.
- No compensation offers. Most banks offer protection schemes for losing money, including the Financial Services Compensation Scheme. It can help in working out the crypto-based investment. If you gain the crypto exchange bust, many more assurances come back with a money-back choice. If you have lost your password, you will not revive it.
What is the average return on Bitcoin?
The value of Bitcoin is currently $17,000 USD, and it has a total value of around $1.03 Trillion USD in the current market. If you invest in this coin, you are expected to get a good return soon as Bitcoin grows in the coming months. Many saw a similar trend last year when the currency soared to $60,000 USD in April and then went down to $30,000 USD. Again in November, it touched $70,000 USD. You can make out that a similar trend is part and parcel of the game of BTC. You can expect tremendous results very soon.