The number of individuals looking to try their hand at trading markets and investing has massively increased over the past eighteen months, with the combined impact of the pandemic leading many to seek out different income opportunities and the big publicly traded markets earlier this year gaining a lot of notoriety with the likes of GameStop and AMC, it has certainly become more accessible than ever before to the layman. One of the biggest markets that has seen its growth and slumps over time has certainly been within crypto currencies, probably because you can buy Bitcoin with credit card easily, but is it still a good choice for new investors hoping to secure a position?
The bigger coins are likely off limits to most – Those who had heard about the early days of Bitcoin and the lucky few who were able to make it big from the coin have certainly inspired others to follow, and as the bigger coins have found usage in more mainstream platforms with the likes of these slots not on gamstop that utilise Bitcoin or the bigger opportunity found with the promise that Tesla may be bought with bitcoin before the environmental concerns shut that down – the popularity has meant the prices of these coins, however volatile they may be, have put them at a price that isn’t accessible to most.
Smaller coins may be a bigger risk than they’re worth, too – Others hoping to get in early on smaller coin offerings in the hopes that it may explode much in the same way that Bitcoin did are often disappointed too, with extremely low prices and a market cap that can’t sustain the growth, many of the smaller often leave buyers worse off than before. Some have been lucky like the recent successes of meme coins like Doge, but that’s such a rarity that it’s certainly not worth betting on this to happen to other smaller offerings too. Nonetheless, some investors are naive or do not have enough capital to invest in higher-priced cryptocurrencies. These investors might benefit from investing in cryptocurrencies like DOGE because they can make cheap and small transactions. There are a lot of tutorials online such as the twitter trading bot which might prove helpful when trading cryptocurrencies like DOGE.
(Image from ft.com)Other recent changes could make crypto a bigger risk than before – Those who have been paying attention to the news recently will be all too aware of the changes going on in China to crack down on Bitcoin mining and Bitcoin markets, and as China makes up a huge majority of all Bitcoin traffic it has had a huge impact – if a new home can’t be found given the huge energy demand and the growing environmental concerns, then the market will surely deteriorate over time and as the biggest name in crypto, it will have an impact on the larger market too. It’s an interesting crossroads for cryptocurrency as a whole and an interesting time for new investors to get involved – on the one hand, lower prices will certainly help, but on the other hand if a new home can’t be found, it could start a slow downturn for the market as a whole.