Is It Too Late to Invest in Bitcoin (BTC) in 2023?

At the time of bitcoin’s creation in 2009, 1 coin cost 0.000763 cents. In mid-2013, BTC was sold on crypto exchanges for $100. In October 2021, the price of one BTC exceeded $60,783.

It would seem that the question of whether it is worth investing in bitcoin should not arise. But investors fear that crypto is a bubble that is about to burst sooner or later. Let’s see if this is actually the case and find out whether you should invest in bitcoin in 2022!

Why Will Bitcoin (BTC) Continue to Grow?

The global BTC market capitalization is $397.5B. The amount continues to grow, despite periodic depreciation. But no one can guarantee that the uptrend will continue and not turn in the opposite direction.

For example, in June 2022, Bitcoin (BTC) decreased by over 37.3%, showing the biggest monthly price drop since 2011 and ended the month at $19,925. That is why it is so important to determine whether to invest in bitcoin when its price is at its peak.

Investors around the world consider crypto to be an asset worthy of attention and investment. The potential of digital coins is huge and can be compared with gold and securities. Also, fiat currency investments in digital currency are becoming especially relevant in light of regulators’ policies.

The decisions of the last two US presidents provide support for the economy. European financial institutions are doing the same. Consequently, there is a lot of ‘free money’ in the market that needs to be invested. The main areas are corporate stocks, precious metals, real estate, and cryptocurrencies.

Is Bitcoin (BTC) a Bubble or a Reliable Asset?

There are different predictions regarding cryptocurrencies on the Internet. Skeptics often refer to the main difference between digital coins and real ones — the lack of fundamental value. Cryptocurrency is not a generally accepted means of payment. It is not put into circulation by a particular state; that is, it is not provided by it.

The circulation of bitcoin or another coin became possible only because the participants agreed to use it for settlements. This contract can somehow vanish or be cancelled. Then digital currencies will cease to have a value and turn into a bursting bubble.

In fact, the probability of such a scenario is zero. There are several reasons for this:

- Mining is carried out in different states, and none of the countries can take control of the entire blockchain due to its decentralization.

- The emission of bitcoin is limited; after the last coin is mined, it will be impossible to mine bitcoins anymore. This makes BTC similar to gold.

- The purchasing power of precious metals is also based on convention. And so far, the collapse of the world economy, where gold acts like security, has not happened.

How Far Will Bitcoin’s (BTC) Growth Go?

It remains to determine which investment direction is more profitable. It is best to seek the opinion of experts. Well-known investor Cathie Wood believes that the value of 1 BTC could reach $500,000 in the near future. She founded ARK Invest, which is one of the world’s fastest-growing and most successful companies, according to Forbes. Therefore, it makes sense to trust her words.

Cathie says that now cryptocurrency is increasingly recognized as a means of payment for real and digital goods and services. It is planned to increase the turnover for bitcoin and other coins in the future. Thus, it will also increase their exchange rate against the dollar, euro and other national currencies.

Can Bitcoin (BTC) Fall Unexpectedly?

A bottleneck of investing in bitcoin can be considered its high volatility. Exchange rate fluctuations in the short term do not depend on fundamental economic laws. Even Elon Musk’s tweets can provoke them. In May 2021, his Twitter post caused the value of BTC to decrease by 17%.

Volatility allows you to earn on exchange rate changes. But high risks do not allow you to expect a reliable investment. In the future, the capitalization of cryptocurrencies will increase. As a result, they will become increasingly less sensitive to the statements of individual entrepreneurs or politicians. The market will not react to them with rate jumps, and price fluctuations will not go beyond the overall trend.

Investors should pay attention to the legislative regulation of cryptocurrency turnover. This factor is more important for the growth in the value of coins since it makes it possible to use crypto for investments to make a profit.

Governments of different countries understand the value and importance of cryptocurrency. Still, bitcoin is a blockchain-based asset that cannot be regulated in a centralized manner. Therefore, some states are actively introducing their own digital money. They cannot be called crypto, but their operation principles are similar.

For example, in China, a local digital currency is being piloted in several provinces of the country. Moreover, it is planned to make it a legal tender and put it into circulation along with traditional paper money.

In this case, there is a possibility of bringing cryptocurrency out of the legal field. After all, crypto will create competition for local digital coins. It is also possible to ban it as an asset that can be traded on international exchanges. But in this case, the saying ‘a holy place is never empty’ comes into play. That is, if one country bans crypto, others will actively integrate it.

What Is the Best Place to Buy Bitcoin (BTC)?

If you’re wondering where to buy bitcoin, you should definitely think about doing it at Switchere. On our platform, you have an opportunity to buy BTC in the fastest and most convenient ways using any available payment method.

Switchere is one of the most reliable online exchanges for buying cryptocurrencies. The company is a licensed provider of financial services, with guaranteed legal compliance and a secure infrastructure system for fast crypto exchange services at fair prices.

Switchere is characterized by the fastest order processing and instant delivery — in fact, you get your ordered amount of crypto within minutes after making a payment. Moreover, we offer some surprising bonuses! Users of our platform enjoy a 0% service fee for the first order.

Conclusion

Investing in bitcoin makes sense. But one should act like large international funds to avoid financial risks. That is, investing in different assets (diversification) should take place. Digital coins can be used as an additional investment direction along with traditional assets.

In addition to asset diversification, it is necessary to distribute risks between coins. That is, it is not advisable to invest money only in BTC. You can also buy ETH, which is the second largest crypto by market cap after bitcoin. LTC and XRP are also considered proven and reliable assets. In this case, even if one of the coins collapses, the financial losses are compensated by the growth of the rest.