Many people today is talking about Bitcoin everywhere. If it looks like something not to miss, then you may be thinking about investing in it.
Can you invest in Bitcoin?
-Yes, you can.
Should you invest in Bitcoin?
-Now, that’s up to you. It depends on how much risk you can take. This is not an investment advice.
Price is not still
In 2013, when Bitcoin’s price was just $40, it jumped up to $140 in a month. By the end of 2013, it’s value was more than $1,000. Than it slipped back down in value to around $300 in a very short period of time.
So basically, there is lots of money to be made or lost. There are many ways to make some money with Bitcoin. Here are those ways:
HODL (Means “hold” in cryptocurrency world)
So many people made millions of dollars just by holding and simply not selling Bitcoin. If you believe Bitcoin’s price will increase in the future, you can choose this way.
One of the best things you can do to earn money with Bitcoin is to short-sell. As Bitcoin’s price goes up and down in short periods of time, you can actually use this action for your benefit. Buying Bitcoin when it’s $15,000 and selling it when it increases to $18,000 will make you earn a lot. As it get low and high regularly, you can buy it again when it’s $16,000, which means earning more.
First of all, understand the risk
If you want to invest in or trade Bitcoin, first thing you should do is to understand the risk. Here’s why:
- This is very young asset and trading platforms are actually existing since 2014.
- There isn’t much liquidity in the marketplace. Trading volume is relatively low.
- Some giants called “whales” can easily move the price relatively by trading large amounts in a short period.