In 2020, the cryptocurrency attracted more attention than ever before. Thanks to the intense interest of professional investors, including large institutional investors, these digital assets gained status as an investment tool.
What is the Main Driving Force Behind So Much Attention to Bitcoin?
Best Historical Returns in the Medium and Long Term
You can easily think of it like this: If you had invested as little as $ 30 in Bitcoin in 2010 (then you could get about 10 thousand Bitcoins for that amount) you would be sitting in over $ 190 million Bitcoin right now. You may think this is not a fair example, after all, very little cryptocurrency was known at the time.
However, when we look at it, it is obvious that there have been large increases. Bitcoin has already demonstrated its ability to produce great results in the medium and long term. There does not seem to be an obstacle for these great consequences to be experienced in the future.
. Low Correlation with other established markets
Crypto assets provide a significant strategic advantage in terms of historically weak relations with established markets. This shows that the crypto markets may not be affected by the negative trend or even a sharp decline in the stock market.
3.Anti-Supply Scarcity, Hard Value and Inflation: Bitcoin
It is not possible for the number of Bitcoins in circulation to increase arbitrarily. Rather, such decisions are taken and supervised collectively by the entire network of participants. This prevents Bitcoin from losing its value suddenly as new Bitcoins come into circulation.
Also, unlike traditional money, the total amount of Bitcoins that can be produced is set at 21 million. This feature of Bitcoin is also one of the reasons why it is often referred to as “digital gold”.
4.Bitcoin Has Significant Exit Potential
For individual investors as well as more professional players, now may be the time to invest in Bitcoin. While the price of bitcoin has risen significantly, there is still a much sharper positive trend potential. This reveals an important profit opportunity.
5.Crypto Assets Have the Potential to Become Money
The number of individual Bitcoin users is increasing every year. Such a high rate of adoption is surprising, and given that this trend will continue, we can be certain that Bitcoin has the potential to eventually become “real money”. At the same time, Bitcoin is a highly suitable digital asset to be used in conjunction with a wider range of services.