Is Bitcoin (BTC) a Good Buy?
Is Bitcoin a good buy? Can I get rich by investing in Bitcoin today, and should I invest in Bitcoin? These are some of the questions that most of our readers have been asking lately.
We answer these by telling our readers that Bitcoin has all the qualities of a great investment. For starters, it has performed extraordinarily well in the last ten years, with the CoinMarketCap placing its ROI for the past 8 years at 75,000%+. Most crypto experts are also confident that the coin can grow its worth by more than 10X to reach $500 in the next five years. It is virtually one of the most lucrative investments and, therefore, one the greatest addition to any investment portfolio.
Note, however, that Bitcoin has some of the most volatile price action. Between 10th and 19th May this year, for instance, BTC prices fell by more than 43%, from $59,000 to around $34,000. It is also one of the hardest investment products to analyze and predict its future. Most of its critics have accused it of lacking an intrinsic value and thriving primarily on speculation and hype.
Presented with its splendid past performance, the promise of a rosy future, and the threat of unmatched volatility, it is only right that you stop and ask if Bitcoin is a good buy.
So, Should You Buy Bitcoins (BTC)?
Truth is, even with all its volatility and unpredictable price action, Bitcoin still comes off as one of the best investment products because it has a net positive return on investment. This says that it always rises again after a fall and goes on to set a higher price action.
For this reason, BTC continues to draw both retail and institutional investors in droves. In the last few years, several big-name brands started converting their cash reserves to crypto and adding Bitcoins to their balance. The most notable being Elon Musk-led Tesla that owns about $1.2 Billion worth of Billions, and Michael Sailor-led MicroStrategy that currently owns $3 Billion of Bitcoins.
Moving forward, more corporations are expected to invest in the lead crypto in a bid to hasten their post-pandemic recovery and escape the imminent inflation that will be brought about by the reckless printing of cash by big economies throughout the covid-19 pandemic period. These sentiments were shared by Raoul Pal, a Bitcoin investor, Real Vision founder, and former hedge fund manager at Goldman Sachs.
All these examples seek to explain why Bitcoin is a good buy. As more institutions and moneyed investors rush in to buy Bitcoin moving forward, they will create flush demand that pushes the coin prices up, effectively growing your crypto portfolio immensely.
Other factors that make Bitcoin a must-buy today include its resilience and ability to overcome virtually all obstacles that comes its way. For instance, China emphasized its Bitcoin ban and threw out BTC miners from its county in May this year, Tesla stopped accepting BTC payments for its vehicles, and Biden Administration proposed a crypto regulation bill.
These crashed the coin prices as it lost close to 60% of its peak price. Less than three months later, it has recovered more than 40% of the value lost and is well on its way to breaking above the post-ban price levels.
Why is Bitcoin (BTC) So Popular Right Now?
Being the first, oldest and largest cryptocurrency by market cap, Bitcoin has always been a popular cryptocurrency. In the recent past, however, a lot of factors in or affecting the crypto industry have attracted significant attention to the Bitcoin digital currency.
The last crypto market price rally in the first half of 2021, for instance, received wide coverage from the global mainstream media, and the world watched in awe as Bitcoin hit its highest peak price yet. Now that it is struggling to get recover from the mid-May crash, it is still getting a lot of attention as the world seeks to learn its next move.
Reports of one celebrity after another turning to BTC investments have also played a crucial role in keeping the Bitcoin debate alive. Musicians like Snoop Dogg and Kanye west to entrepreneurs like Elon Musk and Mark Cuban, and even politicians haven’t shied off from flaunting their BTC acquisitions. This then creates a discussion within their circle of followers that almost always spills over to social media.
One may also dare say that the many challenges facing Bitcoins have helped make it popular. For instance, the recent ban on BTC mining in China, the threat of regulation in the U.S., and the untamed price volatility are currently hot topics of discussion about Bitcoins.
How Much is Bitcoin (BTC) Worth Today?
At the time of writing, Bitcoin is trading at $49,000 on CoinDesk, after appreciating by less than 1% within the last 24 hours. The coin is currently well on an uptrend after the price crash sent its prices below $29,000 and has been ranging between $32,000 and $49,700 for the past 30 days, according to CoinMarketCap.
Moving forward, most crypto experts are confident that Bitcoin price will keep rising in the future, with some describing this as the best time to buy. Ark Invest CEO Cathie Wood, for instance, argues that this is the best time to buy because Bitcoin - like most other cryptocurrencies - is currently in the capitulation stage but will soon start climbing and reach $500k.
Below, we describe how to buy Bitcoin. But before getting here, we ask if Bitcoin can reach $100K before year-end.
Don't Miss: Bitcoin Price Predictions Forecast
Will Bitcoin (BTC) Reach $100K?
There is an overwhelming conviction within the crypto community that Bitcoin prices will perpetually increase, which means there is a high chance it could reach $100K before the end of the year.
After all, it only needs to add $1k to its current price, then double it over the course of the next four months.
Seeing that it grew its value by more than 300% in the first four months of 2021, there is a lot of optimism that it can grow its current valuation by 200% in the last four. This theory is especially given weight by the relative calm being witnessed in the crypto markets and the upcoming Taproot upgrade to the Bitcoin blockchain. The calm is expected to encourage a healthy price as a result of the natural forces of demand and supply, while the upgrade is expected to incite another price rally.
That said, though, most crypto analysts don’t believe that the two will present Bitcoin with enough momentum to drive its prices above $100K in the next four months.
Earlier in the year, most experts expected BTC to reach $100K before December, but most have since pushed this timeline after 2022.
Morgan Creek Digital founder, Anthony Pompliano, had, for instance, predicted that Bitcoin would hit this target price before December. He has since adjusted his prediction and now believes that it will miss this target but proceed to end the year 2022, selling for $250K.
Crypto experts at Hackernoon have also tried to explain why it will be difficult for Bitcoin to hit the $100K target price this year. They argue that the number of investors the coin will attract in the next four months won’t be able to pour in the more than $1 Trillion required, give BTC a market cap of $1.8 Trillion and a per coin price of $100K.
The bottom line, however, is that BTC prices will continue rising and that the coin will be worth more by the end of the year and in the years to come than it currently is today. This effectively makes it a good buy.
Ready to invest in Bitcoins. Here is the buy Bitcoin guide.
How to Easily Buy Bitcoin (BTC)
We recommend that you buy Bitcoins on eToro because it makes it possible for you to buy BTC coins and trade BTC CFDs, depending on your country of residence.
Hers is the step-by-step guide on how to buy Bitcoins on eToro:
Step 1: Start by creating a trader account on eToro and verifying your identity (The process is straightforward and takes less than 5 minutes).
Step 2: Deposit funds into the approved eToro trader account. The minimum initial deposit is $200 ($50 for UK and US residents).
Step 3: Choose to buy Bitcoin from the list of supported coins. If trading BTC, select a preferred Bitcoin trading pair, e.g. BTC/USD.
Step 4: Customise the transaction by entering the amount of BTC you wish to buy and clicking on the “Open Trade” button to complete the transaction.
That is it! You now are a legit Bitcoin investor.
Conclusion: Is Bitcoins (BTC) a Good Buy?
Despite the volatile price action and threat of regulation, Bitcoin still presents crypto investors with a myriad of reasons why it still is a good buy. Key among them is the fact that it has always maintained an uptrend, its attractive ROI, its promising future, and its unmatched resilience.
Don’t just take our word for it, though. Complement this guide with your own research about the coin and its future, and once you feel ready to invest in Bitcoin, use the guide we have shared above to buy Bitcoins on eToro.
eToro – Best Platform to Buy Bitcoin
eToro have proven themselves trustworthy within the crypto industry over many years – we recommend you try them out.
Virtual currencies are highly volatile. Your capital is at risk.