As of writing, the price of Bitcoin is currently over $38,000. This is an incredible amount of growth compared to 2016 when it was valued at just $437.46 per coin. For many of us, Bitcoin was a missed opportunity to invest in a brand-new technology. As such, you may have looked for other cryptocurrencies that could share a similar fate.
So is now the right time to invest in cryptocurrencies? Should you invest while there are still opportunities, or is it too risky to try?
Cryptocurrency is more accessible than ever
Buying into cryptocurrency is easy these days. Just look at crypto exchanges, register an account, then start buying and trading. There’s nothing complicated about trading cryptocurrency these days and it’s extremely easy to get started. Because of this, more and more people are starting to get interested in cryptocurrency but also trading as a whole. It’s a great time to get started because it’s straightforward, and there are lots of different exchanges to pick from, and you’ll find lots of guides and helpful advice from experienced traders.
Don’t underestimate cryptocurrency price swings
One of the most interesting things about cryptocurrencies is that the major ones have seen massive dips and rises in the past. For example, Ethereum peaked in 2018 at $1,405.21. Since then, it’s been dropping sharply and even went as low as $84.22 at the end of 2018. However, it reached a new peak of $1,628,47 at the start of February 2021. The same thing also happened to Bitcoin. It reached close to $20,000 at the end of 2018 and only broke that record at the end of 2020. It shows that cryptocurrency has the capacity to recover from major price drops. Of course, this isn’t a guarantee that the price of cryptocurrencies will increase in the future, but it does show that its value can swing drastically across several years and it’s worth holding on to your cryptocurrency.
Some cryptocurrencies are extremely cheap to invest in
One of the biggest problems with investing is that it usually costs a lot of money to get started. Luckily, there are a couple of inexpensive cryptocurrencies that you can invest in. A great example of this is DogeCoin. It’s currently worth just $0.061120 per coin, making it an extremely low-cost investment. This makes it suitable for first-time investors or people that want to get a taste of what it’s like to trade cryptocurrencies. It can help you learn all of the systems involved in trading and is a great way to get started. DogeCoin is an especially interesting investment because it’s gathering a lot of attention in internet circles. While it might never reach the level of Bitcoin, it’s certainly worth keeping an eye on!
Trading isn’t a get rich quick scheme
One of the important things to remember about trading is that you’re not doing it to get rich quickly. This is arguably one of the biggest misconceptions about trading in general–especially for cryptocurrency! If you’re willing to play the long game then it’s worth investing in cryptocurrency at any time. However, if you’re looking to build wealth fast, then trading is not the method.