6 Reasons To Invest In Bitcoin

When investing, it can be difficult to navigate the current minefield of heightened economic uncertainty. Portfolio diversification is a way to minimize risk, but the question is, what exactly are you investing in?
Why not add Bitcoin to your portfolio? After all, this is the most dominant peer-to-peer network on which cryptocurrencies operate and is the focus of real-life investments.

Although the risks associated with Bitcoin's high volatility and speculative nature must be understood by potential investors, it continues to gain mainstream acceptance, and its adoption by institutional investors continues to increase. and sees Bitcoin as an alternative investment opportunity. Here are six reasons to invest in Bitcoin: 

cannot be controlled by centralization. 

Like other cryptocurrencies, Bitcoin's decentralized nature is a solution to circumventing untrustworthy and greedy central banks and associated governments.

It is not sovereign and is not controlled by a central bank or government. It is free from the heavy-handed control that comes with centralization and regulation, as is the case with the US government's CBDC (Central Bank Digital Currency). The same is true for all other countries and their national digital currencies, which can escape intrusions into your privacy by authoritarian governments. ..

- Therefore, some advise against giving up your freedom by adopting a CBDC. Instead, be independent by purchasing Bitcoin, which is decentralized, unregulated, and tamper-proof. Scarcity: Bitcoin supply is limited. 

Bitcoin is not like the US dollar. Constant printing of US dollars leads to devaluation of the dollar's value (purchasing power) and inflation (the same applies to other countries' currencies).

Approximately 19.3 million bitcoins have been in circulation to date. Once the supply of 21 million bitcoins is reached, no more will be added. This means that this finite supply is becoming increasingly scarce, and prices may also rise.

Consider a halving scheduled for a specific period from March 2024 to May 2024. At this point, the amount of bitcoin issued will be cut in half. This will increase the scarcity of this cryptocurrency, so expect a subsequent price increase. More later.

- About Bitcoin scarcity and the expected price increase:

a) Miners store the mined bitcoins instead of offering them to exchanges.

b) Cryptocurrency exchanges show that balances have reached their lowest level in four years. In other words, more bitcoins are purchased on these exchanges than returned by customers.

c) More investors than ever are holding Bitcoin for the long term.

Increased acceptance by financial institutions

Recently, we have seen many large banks, such as Black Rock, JP Morgan, and Fidelity, become more reliable. This shows that interest in Bitcoin as an investment is increasing. Trillions of dollars have been invested in these financial whales that provide cryptocurrency-related services to their customers.

Following point 3, more and more wealthy investors are choosing Bitcoin. De Vere Group recently conducted a study and was surprised to discover that 82% of high-net-worth millionaire investors are targeting Bitcoin as an investment option in their portfolio.

Resilience

Recently, the Federal Reserve released a report describing Bitcoin as an asset that exhibits resistance to financial and macroeconomic news.

Despite all the fear, uncertainty, and doubt caused by the series of setbacks, Bitcoin as a whole continues to show resilience and is recovering. For example, the company managed to recover from its FTX crash and associated losses.

Expected bull market

Historically, Bitcoin has reached significant all-time highs despite significant price declines. Is a bull market coming soon?
As mentioned earlier, the chart above reflects the all-time high after his three halving events. Will the same thing happen in the next half-life? Many smart investors seem to think so.

finally

Although Bitcoin is associated with risk factors such as price volatility and its speculative nature, it is becoming increasingly accepted by the mainstream. Attracts investors interested in the potential for high returns. Historical indicators suggest that an uptrend is imminent. Then there is the highly anticipated price increase after the next halving.

As many cryptocurrency experts have said, "Wait a minute." The average dollar cost of buying a fixed amount of bitcoin each month. Calm down, please. Don't panic when selling. Hold, hold, hold, and keep accumulating. be patient!

Additionally, more and more people are losing trust in banks. They turn to investment alternatives. Like other cryptocurrencies, investing in Bitcoin is a means to financial independence. How to stand up to corrupt governments and greedy banks that want to dictate, control, and even steal your money by issuing your own digital currency...

Disclaimer

This article should not be construed as financial advice. For entertainment or educational purposes only. Please conduct your own due diligence and seek professional financial advice if necessary.

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