investing in Bitcoin

Thinking of investing in Bitcoin? Here is What You Should Know

In today’s world, everything an investor thinks about is money. They are looking for ways in which they can make more and more money to increase their business empires. Are you one of them? What are you thinking of investing in next?

It if you are thinking of your next investment agenda, it is good to look at what is trending and the return in investment. That is because traders tend to invest in the trending and lucrative investment of the moment.

investing in Bitcoin

investing in Bitcoin

Have you thought of investing in bitcoin? I know by now as an investor, you know a lot about bitcoin and cryptocurrencies or you have encountered the digital currency. Do you know you can invest in the coin and make a profit?

Cryptocurrency is being termed as the coin of the future. Because of this, investors are looking for a way that they can gain from the currency. It is evident that as an investor, you have a lot to gain from the coin if you are following the way it has been trading.

Why is investing in cryptocurrency lucrative?

Well, the internet revolution is here with us. almost everyone is depending on the internet to make work easier. Business has been depending on the internet for them to run smoothly and it is only logical that we have digital currency.

If you want to invest, you need an assurance that your investment is secure right? well, that is why investing in bitcoin is the right thing to do. Digital currency is secure and available worldwide. That means you will not have boarder restriction when trading.

The currency is not affected by government policies. That means you won’t have to worry about what the government dictates about its currency. That is because it is not centralized in one area or controlled by any government.

At first, it may be uncertain and scary to invest in something that is found on the internet but with the right information, you will see just how the investment will give you a good reason to smile in the future.

Why should you invest in bitcoin?

I know you are asking yourself the question, especially since there are a lot of other available digital currencies available to trade. The reason why bitcoin is the currency to invest in is its value.

Bitcoin has gained value over the years. At first, it shouts up to a reasonable value then it came down considerably. It has been since rising in a stable way and this has been able to convince a potential investor to invest in the coin

Why so much value? Just like gold, hard to mine and when found, it is scarce in circulation hence expensive. The bitcoin also behaves in the same way. with only 21 million bitcoins to be mined, there will always have limited supply of the currency making its demand high.

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When the demand for something is high in the market, the value of the product will automatically go up since more and more people are willing to buy. That is how the bitcoin has been trending over the years.

Advantages of investing in bitcoins

  • Instability

When it comes to the digital currency, instability is good. When a certain government or country is unstable, it tends to change and influence its traditional currency value and policy. When it comes to bitcoin, there will be no changes in the way it trades.

When a country or a government becomes unstable, investors tend to go for a stable currency and this is where bitcoin comes in. that is because it is not controlled by any government policies.

  • It is easy

There is nothing that attracts an investor than a hustle free investment. When you want to invest in bitcoin, all you must do is buy, store them in a secure place and monitor how the currency is trading. That makes the mind of an investor at ease.

  • Low cost

The investment comes at a low cost of the fee charged. Your money will be exchanged into the bitcoin of the same value and all you will incur is a 0.2-1% service fee that you will be charged when you trade.

  • Be part of the future

Yes, you don’t have to be left behind when the future is changing. As an investor, you need to change with the way the world is changing. That includes the way people trade, invest and perceive the future.

  • Open to all

There is no restriction to who should and who should not invest in the bitcoin. all you must do is know what is needed and have the money to invest and you are good to go ahead an invest. That makes it easier for anyone who is willing to venture into this industry.

Disadvantages

  • Competitive

Yes, there are so many digital currencies being mined and discovered each day. With that, it makes the bitcoin a lesser favourite coin since the other currencies are coming up with better offers than what the bitcoin has to offer.

The bitcoin prices

Now that you know the advantages of bitcoin investment, it is wise for you to understand the bitcoin pricing. It is through equipping yourself with the information that you will be able to trade the coin without confusion.

Do you know the price of the bitcoin? well, you will have to look at various sites before you come up with the answer right? the truth is there is no official price of the bitcoin.  the price of the bitcoin is based on what the people are willing to pay.

The price of the bitcoin changes every now and then. There are several factors that affect the price of the bitcoin. that means the factors may make the price to go up or down. You should be able to look at the factors before you set on how much you should sell.

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The price available is usually of one bitcoin. that sets the standard price of the bitcoin number. That does not mean you cannot buy as a fraction. You can further break down a bitcoin into several fractions and buy or sell.

When to start investing

Investing in the bitcoin involves you buying the currency. Do you know the right time to invest? Well, there is no specific time for you to dig in. what you should have in mind is to buy when the demand is low so that the price can be low for you.

What you should remember is that you should not be afraid of buying even if the price is high. The value of bitcoin keeps on rising everyday so what your bitcoin will be more valuable tomorrow that how it is today. The sooner you buy the coin, the better for you.

After mastering the bitcoin price, you should go a step ahead and understand the history of how the bitcoin how been trading. The information will come in handy when you are deciding on the right time to invest

The good thing is that no matter where you are located, you can easily invest in the bitcoin without any government or single country dictatorship. Your investment won’t be affected by the financial situation of your country.

How to invest

Like mentioned earlier, your investment means you buying the bitcoin and trading with it. with that in mind, you need to know how you are supposed to buy the bitcoin and store them for you to observe the market and trade later.

When it comes to buying your bitcoin, the only difficulty you will encounter is the country you will be buying them from. That is because some country doesn’t have the exchange site that is needed to buy the bitcoin.

If you are in a country that bitcoin is known and is traded the next thing you should have is the following;

  • A reliable exchange site to buy bitcoin
  • A wallet

 

  • Exchange site

This is a site on the internet where you will buy or sell your bitcoin. because bitcoin is a digital currency, you need to have it online so that you can trade with it and that is why the sites exist.

There are so many exchange sites available online. You will be even confused on which one to settle for. Go to a site that has a reputation and good reviews, a good example is the coin base. The essential thing is to make sure you trade with a secure site.

Once you settle on a site, you need to open an account. Is an easy and fast process for anyone. Am sure you pass through a 2-factor authentic process of identity verification to make sure all your information and account is secure.

Once you have the account set, you need to link to a credit or debit card and after that, you can go ahead and buy or sell your bitcoin. make sure all this is done in a secure and reliable site so as not to lose your investment.

  • A wallet
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Just like the way you have an account where you keep your fait cash, you also need a place where you will keep your digital currency once you acquire it. this is where a wallet comes in. it is found online or as a hardware where you get to keep your currency for future trade.

Just like online exchange sites, there are also many wallets that are found online for you to download. How do you know the best wallet to choose from? You should look for the one with good reviews online and the one with a lot of users.

Once you have the right wallet, you need to make sure it is secure and have your information fed before you proceed. Link it with the exchange site and after you buy your bitcoin, make sure you transfer them here.

Investing mining

Just like the way you make a profit while trading the bitcoin, you can also make money by mining the bitcoin. when you have the necessary hardware setup, you can make a lot by just mining the bitcoin to the circulation.

Though it is profitable to do so, you need to be keen on this. That is because it is not recommended for a new investor to invest in mining. You need to invest a lot in terms of capital and time before you can see your return making it very expensive

Important Facts to Remember

  • It is a good investment

Go in with a mindset that it is possible to make money in the bitcoin world. The industry is growing, and the value of the bitcoin is rising each day. If you are looking for a   long-time investment, this is the deal to go for.

  • You can start small

If you don’t have a lot of fait cash to invest with, you can start by buying a smaller amount of bitcoin. that is because bitcoin is available in fractions making it easier for any investor to dig in.

  • Dig for more information

You need to know how the bitcoin is trading before you invest in it. That will educate you on what you need to know about the coin. Every day, more and more information surface online and in the media about how the coin is trading. Keep yourself informed.

  • Buy and store from trusted dealers

In the whole process, what you need to avoid is scammers. You need to make sure your investment s secure and safe from any theft. For this reason, choose trusted dealers with good reviews

Investing in bitcoin has a good return. Are you thinking about putting your money in bitcoin? you need to equip yourself with the vital information about bitcoin before buying. There may be a lot of fear of unexpected but with the way the coin it is trending, the future is bright.

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