At the time of writing, Bitcoin BTC was observed trading at a price of $11378.42 US Dollars.
The price was observed a day’s low of $11124.44.
The total capitalisation of the crypto market has receded by $16.7 billion over the last seven days.
Bitcoin lost almost 5% last week, while the rest of the TOP 10 cryptocurrencies are losing 6-12%
This top cryptocurrency analysis aims to provide you with the most comprehensive guide to start investing in the cryptocurrency market.
The top cryptocurrencies price news and changes are researched by professional traders and investors, giving you the opportunity to have a perfect ground for making your own investment choices.
So if you want to know if an investment in bitcoin and cryptocurrencies could pay off in the end, then continue reading this post.
Let get started!
Global Economy Insights
The coronavirus pandemic has forced people to change several social behavioral habits.
Along with maintaining social distance from one another, people are also averse to using notes, coins or cards as they might transmit COVID-19.
A new report from the Bank for International Settlements suggested that social distancing procedures and the “government-to-person payment schemes” have accelerated the efforts towards launching central bank digital currencies (CBDCs).
The paper shows that the public interest in CBDCs has exceeded that of Bitcoin (BTC) and Libra in 2020.
However, the CBDCs will only be a digital version of the fiat currencies that will be controlled by the central banks.
Hence, the problems that plague the U.S. dollar currently will even affect the digital version of the dollar.
Therefore, after people familiarize with CBDCs and realize their ease of use, they are likely to warm up to cryptocurrencies due to their inherent advantages over fiat currencies.
Why Investing in crypto is a wise choice in 2020
Investing could be a remarkably positive endeavor for certain individuals.
The point being to purchase goods not consumed immediately but considered to increase in value after a specific period, investing requires skills, knowledge, experience, and sometimes luck.
After the official launch of Bitcoin in early 2009 and the thousands of digital assets that followed, cryptocurrencies became a massive hit for proponents and investors.
Late 2017 and early 2018, also referred to as the parabolic price increase, attracted even mass media attention, which ultimately prompted FOMO (fear of missing out) and pushed the prices to impressive highs.
The most popular digital asset representatives, namely Bitcoin and Ethereum, reached their all-time highs of nearly $20,000 and over $1,400, respectively. Nevertheless, what followed these rapid price surges were equally deep slumps.
In the year that followed, the entire market endured a massive bear market, as BTC bottomed at below $3,200 in December 2018, and Ethereum dipped to $80.
These events led to severe speculations of price manipulation and briefly turned lots of investors away from the field.
Despite those fleeting moments, however, cryptocurrencies remained largely profitable investment opportunities.
Bitcoin reversed its downtrend and ended 2019 at about $7,150.
According to a study on the matter, this made it the best performing asset throughout the entire decade.
$1 invested in the largest cryptocurrency by market cap at the start of 2010 would have been worth more than $90,000 at the end of it.
This notable result means that BTC marked a near 9,000,000% ROI in ten years.
The new century, which began merely a few months ago, also sees Bitcoin outperforming most traditional investment options.
Data from the cryptocurrency monitoring company Skew reveals that BTC’s year-to-date gains amount to over 28%, while gold is at 18.72%, and the US dollar is at 4.35%. Contrary, the prominent S&P 500 index has declined in value by 2.34%, and crude oil (WTI) has plummeted since the start of the year by 34.36%.
Our BIP Analyst Opinion
Dmitri Paul our in house analyst shares his own opinion on the crypto market today.
Below is what he has to say:
Now is the time to put your idle cash, bitcoin, and crypto to work.
Analysing the crypto market today suggest that now is a perfectly good time to get into the market.
Buy the dip, so that once the market corrects you would have made some ROI from the price swing.
Which is what our BST method is essentially all about:
Buy lower — Sell higher!
Buy the rumors — Sell the news!Buy when there’s blood in the streets, even if the blood is your own.
I’ll tell you how to become rich.
Close the doors. Be fearful when others are greedy. Be greedy when others are fearful.
Is Investing In Cryptocurrencies Good In 2020: Conclusion
Investing in the cryptocurrency field typically raises questions for people unfamiliar with the matter, regarding the frequently high volatility levels or if they have missed the train since the prices are a lot higher than years ago.
However, the historical data of Bitcoin and other digital assets and the increasing demand from institutional investors suggest the opposite.
While the market has indeed skyrocketed in value, it’s still early in terms of mass adoption, leaving lots of room for additional price increases.
Moreover, the growth in institutional investors’ interest was recently confirmed by the prominent hedge fund manager Paul Tudor Jones III.
He believes that allocating funds in BTC will serve as protection against the anticipated rise in the inflation rates.
Ultimately, all of this data means investing in the digital asset field in 2020 could indeed be potentially profitable in the long run.
Yet, it’s worth noting that future investors should do their own research before committing any funds.