- Bitcoin is approaching $45,000. While that may not seem like a big deal, it’s still a significant milestone for the world’s leading cryptocurrency. Over the past month, Bitcoin has risen more than $3,000 — a sign of growing mainstream acceptance. However, despite this recent price increase, Bitcoin remains highly volatile.
- The price of bitcoin just passed the $4,500 mark, a significant milestone for the cryptocurrency that hasn’t been seen since November. But even though bitcoin is back in the green, it remains highly volatile and is far from a sure thing for investors. That means there are still plenty of reasons to pass on buying bitcoin. But for those who are intrigued by the possibility of investing in bitcoin, the most important question is whether to buy bitcoin or stock in a bitcoin company.
Whether To Buy Bitcoin Or Stock In A Bitcoin Company?
- Bitcoin has been on a rollercoaster ride in the past few weeks. At one point, Bitcoin was valued at over $10,000 per coin. Today, Bitcoin is approaching $45,000 per coin. If you’ve been on the side-lines, wondering if you should buy Bitcoin, the answer is “Yes.
- Bitcoin has been one of the best-performing investments of the past decade. Since 2009, when the first bitcoin was mined, the cryptocurrency has risen in value more than 1,000,000%. Bitcoin made headlines in 2018 as the flagship cryptocurrency soared in value to almost $20,000 per coin, before declining in value in a market sell-off. While bitcoin is the most well-known cryptocurrency, there are now over 2,000 in existence.
Why Is Bitcoin Still So Highly Volatile Even When It Is Proximate To $45,000.
- Bitcoin is a highly volatile investment. In the past, major fluctuations in the value of bitcoin have taken place over a matter of hours, sometimes minutes. Even though the price of bitcoin is currently approaching $45,000 per coin, major fluctuations in the value of bitcoin are still possible. Because bitcoin is decentralized and exists almost entirely digitally, a crash in the value of bitcoin can have major repercussions in the real world.
- In 2018, the cryptocurrency surged to almost $20,000 per coin before declining in value in a market sell-off. Despite this recent volatility, bitcoin has continued to increase in value over the long term. One bitcoin was worth just $13 in 2010; by 2017, that same bitcoin was worth more than $7,000.
Summary and CTA
Bitcoin is approaching $45,000. If you bought in at $10,000, you would have a return of over 1,500% since the beginning of the year. However, given the extreme volatility, it’s important to keep a close eye on the price. Over the long-term, Bitcoin is a great investment, but you need to be prepared for the occasional panic.
