BTC Overview: Should You Invest in Bitcoin?

Cryptocurrencies offer a decentralized payment method that’s more inclusive, anonymous, and secure than fiat transactions. These tokens are also an excellent opportunity for traders to earn. However, it’s necessary to make wise moves in the market. Today’s question is whether one should invest in Bitcoin. Before you trade TRX to BTC and acquire this currency, read this article to learn more about the current Bitcoin trends. Is getting BTC risky, and what do the experts have to say about this investment option? Here’s what you should know about investing in Bitcoin in 2022!

BTC: How Does It Work?

Bitcoin is a virtual currency that doesn’t depend on the central government or financial authorities. You keep BTC in your personal digital wallet, and you have the credentials to access it privately. You can purchase BTC by investing real money or exchanging some other cryptocurrencies for it. Alternatively, you can mine Bitcoin. It involves using a computer’s processing power to validate blocks on the blockchain. Today, you need a lot of time and a strong PC configuration to mine a single Bitcoin (and you are unlikely to do it on your own).

Expert Predictions About BTC Price in the Future

The current approximate price of BTC is $29.9K in May 2022, and its market cap is $550 billion. It’s hard to believe it only started with the value of $0.09 in 2010. The first huge jump occurred in April 2013 when it broke the $100 mark. By the end of that year, it was at $946. It kept rising with occasional downfalls and reached $50K in 2021. Different events, such as institutional demand, maintained its high value. BTC had several crashes in its history, with the last one dropping its value to under $30K.  

Here are some predictions worth considering:

  • Price Prediction indicates that Bitcoin could return to $41K by the end of 2022. It would continue rising and break the all-time high in 2024. During the following year, it could go up to $100K.
  • Things are more optimistic if you ask CryptoPolitan. This Bitcoin price prediction says the value would go up to $59K in 2022 and reach $90K in 2023.
  • Capital.com is more cautious and indicates BTC could rise to $44K by the end of 2022. That increase would continue, with the value reaching $83K in 2024.

Many predictions mention that BTC will break its all-time high in the upcoming months or years. That indicates now is the right time to jump on board and invest in Bitcoin or do an ETH to BTC exchange if you have some Ether in your wallet.

Is Investing in BTC Risky?

An experienced trader knows that each investment is risky. It’s all about weighing pros and cons and determining whether it’s worth the risk. First, here are the advantages of investing in BTC:

  • It can resist inflation risk. Crypto tokens are decentralized, indicating governments don’t regulate these coins. That means they are immune to inflation and can withstand fiat market fluctuations.
  • The leader in the crypto world. Bitcoin is the first crypto token ever to hit a significant value in the market. Today, it remains the leading digital coin. It has impressive liquidity, and you can use it to buy cash, real estate, and other assets.

But if no investment is ideal, what would be BTC’s downsides? They could include:

  • Volatility. Bitcoin hit the $68K mark in 2021. But toward the end of the year and in the first half of 2022, the value dropped to $25K. Even if you check the changes in only 24 hours, they are often above 5% up or down. That’s quite volatile, which increases the risk, as well as the chance of profit.
  • The danger of someone stealing your funds. You need to be careful with how you store digital currencies. A reliable wallet combined with keeping your address secret is the right combo. But there’s also the danger of someone hacking trading platforms. That’s why you need a reliable platform with maximum protection for its users.

Eleggible’s Final Words

Bitcoin is the crypto market leader, and there’s no doubt about that. The general Bitcoin price prediction is positive. It is likely to go up, indicating now is the right moment to invest in BTC. It’s a small downside that the token is expensive, meaning you need considerable funds to acquire a significant portion. Patient investors that can wait out this time can hope for a large return on their investment.

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