2022 was not a great year for the crypto business as many digital currencies lost value because of the bearish run. The value of the world’s largest cryptocurrency, Bitcoin (BTC), also went down and things are still uncertain.
2023 has begun and crypto experts believe things to change for the crypto market. It is expected that many digital currencies will regain their lost value gradually and investors should be patient with it.
Experts are encouraging investment in Bitcoin around the world since it has become an affordable currency in the past few years. On the other hand, they warn investors about upcoming fluctuations in the crypto market and recommend they be careful.
Let’s find out what you need to do to earn handsome profits with BTC this year.
What is Bitcoin?
Bitcoin can be defined as a digital or virtual currency that was launched in 2009. At the time of its introduction, people around the world were accustomed to Fiat or bank transactions and using a digital currency for their daily usage was an alien concept.
but Bitcoin has withstood the test of time and come a long way. Today, Bitcoin is the world’s largest cryptocurrency by market capitalization, thanks to its positive adoption and profitability
But Bitcoin has withstood the test of time and come a long way. Today, Bitcoin is the world’s largest cryptocurrency by market capitalization, thanks to its positive adoption and profitability.
BTC is supported by blockchain technology where its transactions are recorded on a publicly distributed ledger. The protection of Bitcoin is ensured by cryptography which consists of complex mathematical problems that are hard to break.
One of the remarkable benefits of Bitcoin is its potential to increase the purchasing power of its users. The protocols of Bitcoin are designed in a way that only a limited number of Bitcoin can be traded which offers an inflation hedge.
You can start your Bitcoin investment total a crypto exchange platform such as Binance, Coinbase, and more. Successful crypto investors recommend people across the globe purchase Bitcoin when it is affordable because once the bullish run comes back, Bitcoin is expected to explode.
Carl Runefelt, alias, The Moon, is a global crypto leader who believes in the supremacy of BTC.
He says, “When Bitcoin or when the world is in some type of volatility some kind of uncertainty, I think that is generally something strong for Bitcoin because Bitcoin has zero third-party risk so no matter what happens, you never have any third-party risk against anything. So, Bitcoin is the safest place in the world to put your money or put your wealth.”
Things You Should Do
When you are investing in Bitcoin, is not similar to like investing in a physical asset. Bitcoin is a digital currency and demands a great deal of care.
Here are some important tips to help you grow your wealth in Bitcoin.
The first thing you need to do as a BTC investor is to be careful about the amount of money you are putting into it. Crypto experts recommend investors should be wise about investing in any cryptocurrency, including Bitcoin.
Price fluctuations can take place at any time in the crypto market which could be problematic for you. So, you should invest in Bitcoin so that you can easily afford to lose and have some savings and backup.
Be Careful of Crypto Volatility
Bitcoin like other cryptocurrencies is a volatile currency and its value can fluctuate within minutes. On the other hand, BTC has proved to be the most stable cryptocurrency in the recent past.
Carl, on his YouTube channel, The Moon, emphasizes, “Looking at Bitcoin in a short period defeats the purpose of what Bitcoin is. Bitcoin is a long-term solution to a broken financial system, and I think in the next five years or the next ten years, that’s the kind of time horizon I have when I look at Bitcoin.”
You should be careful about Bitcoin volatility when you are investing in it. Making decisions in hurry can hurt your investment in the short run and you need to hold on to your investment as long as you can.
Devise a Trading Strategy
A common mistake that most crypto investors do is that they do not device or trading strategy when becoming part of the crypto market. You should know that things can change quickly at a place that is completely online and has no physical presence.
Devising a trading strategy when investing in Bitcoin is one of the reasons behind the success of global crypto leaders. A trading strategy helps you and figuring out when you should trade your Bitcoin whether the market is bearish or bullish.
With time, Bitcoin has become the most popular cryptocurrency worldwide and many investors are investing in it.
But Bitcoin like other cryptocurrencies demands a great deal of care and understanding from its investors.
The above-mentioned are some of the most important things that you should do when you start your investment in Bitcoin in 2023 to make a lot of money.