Over the past five years alone, bitcoin has grown by more than 7,5%. $100, invested in the first cryptocurrency in 2016, could make almost $75 thousand in profit. Last April, when the price of bitcoin peaked at $ 64 thousand, the profit could be more than $ 105 thousand. Experts from BitMarket Network explained why, with the right approach, investments in bitcoin can replace pension savings.
At the moment, Bitcoin is one of the most promising assets for investments over a long period of time. Long-term investors are attracted by the limited emission of cryptocurrencies.
Bitcoin is becoming more and more popular due to the universal digitalization, increasing popularity of electronic payments and development of Internet services. In addition, bitcoin creators collaborate with large companies and receive financial support from them.
Bitcoin, in comparison with paper money, appeared recently, but it already shows great potential for use in the future. It is believed that the deflationary model, as well as the ever-increasing demand for bitcoin, will lead to an increase in its value in the future. So far, no other cryptocurrency has a real chance of gaining greater popularity and distribution.
How to invest in Bitcoin
The best time for buying the first cryptocurrency is “crypto winter”. It comes after bitcoin realizes its potential growth and then declines, so it is cheaper. During this period, the value of the asset decreases to the minimum level.
If there is no large capital for investment, then you can buy the first cryptocurrency on a monthly basis for small amounts. If you have significant capital, you can buy bitcoin during adjustments, as it is best to enter the asset as quickly as possible.
It is best to invest in proven cryptocurrencies. Experts suggested investing about half of the portfolio in Bitcoin, a little less in Ethereum, and distributing the remaining funds between smaller altcoins.
Long-term storage of cryptocurrency
If the goal is investing with a perspective for several years, it’s better to withdraw bitcoins to a “cold” wallet. Cold wallets exclude the possibility of theft of coins through the network.
Users of hot wallets should always have access to the Internet. Such services are used if there is a need to make transactions frequently. Cold wallets store cryptocurrency without an internet connection, so there is almost no risk of being hacked.
Experts have named several security rules to keep your bitcoins safe:
● make an original complex password for your wallet.
● do not store the password in a written form.
● avoid online storage of your funds on the Internet.
● choose wallets with two-factor authentication.
The most reliable way to store cryptocurrency on a long-term basis is blockchain wallets. There are many types of them now. A new innovative wallet Bitmarket Network Client recently appeared on the market. Some of its features:
● Local (desktop): the program is loaded onto a device – a computer, tablet or phone (Windows, MacOS, Android, iOS);
● Open source: any IT specialist can check the service for the security;
● Two-factor authentication: protects the storage from hacking with a double key: a permanent personal password and a one-time code;
● Multi-currency: you can exchange and store not only bitcoin, but also other popular digital money, such as Litecoin and Etherium.
● Comfort U1/UX: the amount for each currency and the total value is displayed in fiat. There is fast synchronization for all presented currencies.
What are the advantages of this service over its competitors? Clients have unlimited access to the wallet. The company’s website in 6 different languages has a detailed description of the wallet, instructions for developing and using and all the data for contacting the developers. It also contains descriptions of old versions of the service and its updates. The wallet itself has a simple and user-friendly interface, so it is very comfortable for anyone.
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