Should I Buy Bitcoin Good Investment

10 reasons why investing in Bitcoin can be a good idea in 2024

I can relate to your situation. I first learned about Bitcoin a long time ago, and for years, I’ve asked myself whether it’s a good investment and if I should buy it. I’ve debated, questioned, and put off the decision. Perhaps you’re in the same boat.

You’ve heard about Bitcoin for a while now, and you’re aware of the profits early investors made. However, you still can’t decide whether to invest in it. Since its creation in 2009, the price of Bitcoin has gone up from $0.01 to $20,000 per coin despite all the ups and downs. If you or I had held 1 BTC during these 9 years, the average monthly growth would have been 28%.

So, the question is, is Bitcoin worth investing in 2024? Is it a safe investment? Should you buy Bitcoin now or wait? And how much Bitcoin should you buy?

For those of you who are skeptical, I will also share some reasons why you shouldn’t invest in Bitcoin. I’m sure that will get you thinking.

Let’s dive in and explore the answers to these questions.

What is Bitcoin?

Bitcoin is a form of digital proof that allows us to demonstrate ownership of digital assets without relying on third parties. This is a groundbreaking development, as prior to Bitcoin and the blockchain technology that it utilizes, proving ownership of digital assets required us to trust intermediaries such as banks or credit card companies. With Bitcoin, we no longer need to rely on these intermediaries to verify our ownership of digital assets, as it operates in a decentralized manner, making it a truly revolutionary technology. This information was sourced from The Guardian YouTube Channel.

Why Should I Buy Bitcoin? 10 Reasons Why You Should Buy Bitcoin

Is Bitcoin a worthwhile investment? This is a common inquiry from both friends and family. Understanding its value requires patience and research to make an informed choice, right?

Immutable Rules of Bitcoin 2024

At the top of the list is Bitcoin’s immutability. Although new coins are mined and added to the circulation frequently, Bitcoin’s supply cap of 21 million coins will never be exceeded.

This rule is public and permanent. Anyone can verify it, and nobody can alter it.

Unlike global governments that print money daily, Bitcoin maintains its cap rigorously. The U.S., for example, engages in Quantitative Easing—a sophisticated term for printing more money, ostensibly for the public good. But Bitcoin operates differently—no entity can produce more of it.

If transparency in investments appeals to you, especially those free from manipulation by governments, banks, or companies, and you value the ability to verify the facts independently via a public ledger, Bitcoin is a sound choice.

Scarcity of Bitcoin

Bitcoin’s dramatic value surge is largely due to its scarcity.

With a fixed supply of 21 million coins, if distributed evenly across the global population, each individual would only receive 0.0023 BTC.

Owning more than 0.0023 BTC places you ahead of the majority, making Bitcoin an attractive investment. A minimum investment of 0.0024 BTC, equivalent to $22 as of the current valuation, is a modest entry point.

Gold shares Bitcoin’s scarcity trait, but its total supply remains unknown. A significant discovery could flood the market, decreasing its value. Conversely, if Bitcoin achieves gold’s market cap of $6 trillion, each Bitcoin would be valued at approximately $340,000.

This potential underscores Bitcoin’s investment appeal.

Transparency of Bitcoin

Bitcoin outshines the Federal Reserve in transparency.

Despite criticisms from figures like Federal Reserve Chairman Janet Yellen, Bitcoin’s Decentralization and Transparency set it apart from other currencies.

Its transparency clashes with the secretive operations of the Federal Reserve, offering a clearer view into transaction histories and money creation, unlike the opaque fiat currency system.

If the transparency and decentralization of assets matter to you, Bitcoin is a worthy investment.

Uncensorable Nature of Bitcoin

In nations like China with stringent capital controls, Bitcoin shines as an uncensorable asset. Despite China’s ban on cryptocurrency exchanges and mining operations in 2017, Bitcoin’s network persevered.

Bitcoin’s value as an uncensorable asset is evident, especially in regions with strict financial censorship.

Low Transaction Fees with Bitcoin

Bitcoin often provides lower transaction fees than traditional banking systems, making international payments faster and more affordable.

Although fees can fluctuate, Bitcoin, alongside other cryptocurrencies, generally offer cheaper and quicker solutions for international transfers.

Evolving Regulatory Landscape

The regulatory framework around Bitcoin has matured since its inception, moving from non-existent to more defined. This clarity in regulation is paving the way for broader adoption.

Bitcoin’s Potential for Profit

Bitcoin’s history of substantial value increase presents an enticing potential for profit, especially for long-term holders.

Philosophical Appeal of Bitcoin

Beyond its financial value, Bitcoin embodies a philosophical movement towards financial freedom, transparency, and decentralization, echoing the vision of its creator, Satoshi Nakamoto.

Bitcoin: The Digital Gold

In a digital age, Bitcoin emerges as a viable alternative to gold, offering digital scarcity, ease of transfer, and broader acceptance.

Bitcoin as a New Asset Class

Bitcoin’s potential to disrupt or even replace gold as a store of value underscores its position as a new asset class, promising diversification for investors.

Investing in Bitcoin is not only a venture for potential financial gain but also an endorsement of a new era of digital finance.

5 Reasons to Think Twice Before Buying Bitcoin

While I’m inclined towards seeing Bitcoin as a sound investment, it’s not devoid of downsides. Here’s a look into some reasons that might make you reconsider buying Bitcoin, even though it has been around for over a decade and has addressed many initial challenges.

The threat of Technological Obsolescence

A looming threat to Bitcoin could be technological advancements, notably Quantum Computing. Though it sounds like something out of a sci-fi movie, quantum computing is gradually becoming a reality.

A recent article from MIT Technology Review highlighted that within a decade, the immense computational power of quantum computers might breach Bitcoin’s security.

Researchers like Divesh Aggarwal from the National University of Singapore suggest that quantum computers could easily calculate private keys from public keys, a task deemed extremely difficult for conventional computers. They predict that Bitcoin could potentially be broken by a quantum computer as early as 2027.

Though Bitcoin’s technology can evolve to counter such threats, the potential of quantum computing casts a shadow of doubt over its long-term security.

Not Ideal for Value Transfer

On certain occasions, transferring Bitcoin, especially through platforms like Coinbase, can incur high transaction fees. This could deter people from using Bitcoin for everyday transactions, like buying coffee.

However, this could be a blessing in disguise. Much like gold, whose movement is restricted due to its weight and security concerns, high transfer fees could encourage people to hold onto their Bitcoin, treating it more as a store of value than a medium of exchange.

Still in Its Developmental Phase

In comparison to traditional financial instruments like stocks or bonds, Bitcoin is relatively young. The challenges around securely storing Bitcoin, like the loss of private keys or exchange hacks, highlight the risks involved.

As the ecosystem around Bitcoin evolves, these challenges are likely to diminish, making Bitcoin more user-friendly and secure. But for now, the risks persist.

Potential Government Crackdown

The price of Bitcoin fell by 2% following China’s decision to consider banning Bitcoin mining. A coordinated effort by major global governments to crack down on Bitcoin could significantly impact its price.

While Bitcoin’s decentralized nature ensures the blockchain remains intact, government crackdowns could instill fear among investors and users, potentially affecting its price and overall perception.

Persistent Volatility

Bitcoin’s price volatility is a double-edged sword. While it garners attention and interest, it’s also a concern for those seeking stability in a digital currency.

However, the argument remains that Bitcoin, much like gold, doesn’t necessarily need to serve as a currency but can act as a store of value. The volatility in gold prices over the years resonates with Bitcoin’s price swings, yet both remain considered good stores of value.

In conclusion, while Bitcoin presents an exciting investment opportunity, it’s essential to weigh these concerns against its potential benefits before diving into the cryptocurrency space.

Best Bitcoin Exchanges: Find the Perfect Place to Buy BTC!

We encountered numerous problems while attempting to acquire Bitcoin. These problems included issues with liquidity, security, and customer service. However, as we have made mistakes, we have learned from them and have improved our cryptocurrency investment strategy. We have compiled a brief list of the top Bitcoin investment sites, which we believe will benefit everyone.

Timing Bitcoin: Is Now the Right Time?

Many ask, “When is the right time to buy Bitcoin?” They are often caught in a dilemma of whether to invest today or wait for tomorrow. I, too, had the same dilemma for a long time, waiting for the price to rise as a sign of further increase or fall so that I could buy at the bottom. However, I realized that I would never be able to time my buy correctly. So, I decided to employ a few strategies to help me make the right decision.

Is it Safe to Buy Bitcoin?

Identifying the Ideal Moments to Purchase Bitcoin:

  1. Low Adoption Periods: The inception stage of Bitcoin in 2010 witnessed the lowest adoption rate. However, considering the grand scheme, the adoption rate is still relatively low, hinting at potential growth.
  2. Price Dips: The term ‘low’ is relative to Bitcoin’s price. For instance, in 2013, the peak price was $1,400, whereas in 2019, the lowest price dropped to $3,300. The takeaway is not to chase after Bitcoin during a price surge but rather consider investing during a period of price stagnation or decline. The price dynamics should also guide the extent of your investment in Bitcoin.
  3. Prior to Significant Upgrades: Bitcoin’s ecosystem is ever-evolving with remarkable technologies like the Lightning Network and Atomic Swaps on the horizon. Investing before these major updates can be strategic as such advancements tend to generate buzz, potentially driving up Bitcoin’s price.
  4. Preceding Bitcoin “Halving” Events: A Bitcoin “halving” is a pre-programmed event occurring roughly every four years, where Bitcoin miners receive half the previous block reward. With the supply tightening and demand possibly steady or rising, the price is likely to appreciate.

Lastly, the pivotal aspect of investing in Bitcoin is your comfort level with the expenditure. It’s prudent not to invest money you can’t afford to lose, as overextending financially can lead to unwise decisions.

Who is purchasing Bitcoin?

Bitcoin is a highly hyped industry, which has attracted many celebrities to invest in it. Some famous people who own Bitcoin are billionaire investors, while others are celebrities, athletes, or actors. Even some renowned musicians are now offering their music in exchange for Bitcoin or other cryptocurrencies.

Gwyneth Paltrow, during an episode of Planet of the Apps, joined Abra, a company used to help buy and sell BTC, as an advisor. In 2016, Mike Tyson launched a Bitcoin wallet when he partnered with Bitcoin Direct. Other celebrities who have invested in Bitcoin and cryptocurrencies include Paris Hilton, Snoop Dogg, Ashton Kutcher, Jamie Foxx, and many others.

This shows us yet another reason to invest in Bitcoin and follow the trend set by famous people. However, you don’t need to be a rockstar to own BTC. According to a recent survey, people between the ages of 25 and 34 were the most likely to invest in Bitcoin as an investment for the future or to use Bitcoin for purchases. The survey also pointed out that while most of the owners of BTC are male, a recent shift has begun as more women own cryptocurrencies.

What is the appropriate amount of Bitcoin to purchase?

When I first invested in Bitcoin, I only put tiny amounts of my paycheck in to test the waters. As I became more comfortable buying, selling, and storing my BTC, I started investing more. The answer to “how much Bitcoin should I buy?” depends on where you are in your journey, along with many other factors. Since each person’s situation is unique, you can check out our full guide on how much to invest in Bitcoin, based on all the lessons we learned along our investor’s journeys.

When it comes to the minimum investment you need to buy Bitcoin, it depends on the platform you use. Since Bitcoin is divisible up to 0.00000001, your minimum Bitcoin investment can be as small as what the exchange is willing to accept. For example, Coinbase accepts as little as $2.

We also recommend checking out this guide from Invezz, which provides an excellent overview and comparison of the different platforms for buying Bitcoin.

Which cryptocurrency should I invest in, Bitcoin or Ethereum?

Bitcoin and Ethereum have distinct purposes and behave differently during market fluctuations. Bitcoin is primarily used as a store of value and cryptocurrency, whereas Ethereum enables smart contracts and decentralized applications (dApps).

Bitcoin is a popular choice for storing and transferring value, while Ethereum enables developers to build applications that allow such transactions to take place. Some consider Bitcoin as the new digital gold, while others see Ethereum as a new world computer.

If you are looking to diversify your investment, buying Ethereum can be a great option. However, it is recommended to invest in Bitcoin first, as it has been dubbed the King of Crypto for a reason. If you are only willing to invest in one, choose Bitcoin wisely.

Is it advisable to invest in cryptocurrencies other than Bitcoin?

Investing in a diversified portfolio is a wise move for any investor. It is not advisable to keep all your money in one stock like Apple, but instead, diversify your portfolio with other excellent alternatives such as Facebook, Nike, and more. The same rule applies to your cryptocurrency investments. It’s good to look for potential gems and diversify your crypto portfolio. The crypto space is diverse, with each cryptocurrency focusing on different areas. Some, like IOTA, focus on IOT technology, while others, like Ethereum and Tron, focus on smart contracts. Nexo, on the other hand, focuses on cryptocurrency lending. There are thousands of cryptocurrencies with innovative ideas that are worth considering. You can find investment ideas on Coinmarketcap. If you are interested in trading altcoins, Binance is a reliable exchange that offers over a hundred altcoins for trading.

So, Why Should I Buy Bitcoin?

Yes, I have been buying Bitcoin regularly with a percentage of my paycheck that I feel comfortable with. However, it is essential to note that the cryptocurrency market is highly volatile and risky. Therefore, crypto trading may not be appropriate for everyone. Additionally, it is worth mentioning that there is a limited Bitcoin supply, which means that each person can only own a maximum of 0.0023 BTC. As Bitcoin gains more global acceptance and adoption, owning one whole Bitcoin may become a once-in-a-lifetime opportunity. That being said, investing in Bitcoin does come with risks, such as forgetting your private key or leaving your BTC on an exchange that gets hacked. However, most of these risks can be avoided with proper precautions. Remember, life is full of risks, but taking a chance and investing in Bitcoin could be a rewarding experience.


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