Should You Invest in Bitcoin Right Now?

[Fariwala]

Tesla CEO Elon Musk recently made headlines after announcing that his company bought $1.5 billion worth of Bitcoin (CRYPTO:BTC).

The cryptocurrency has been around for years, but it has surged more than 370% over the past 12 months. Even before Tesla's investment in Bitcoin, Musk himself has been credited with increasing the price of cryptocurrencies by voicing his support online.

Because of its soaring price, Bitcoin may seem like an attractive investment. But is it the right time to buy?

Weighing risk and reward
When you're considering any investment, it's crucial to look past the dollar signs and consider the risk involved.

Bitcoin is an incredibly volatile investment, so it's not for the faint of heart. While it has seen an impressive upward trend over the past several months, nobody knows how long that will last. The cryptocurrency has experienced wild price fluctuations in the past, sometimes losing up to 80% of its value.

Between 2017 and 2019, for instance, Bitcoin jumped from around $1,000 to more than $17,000, before it plummeted back to around $3,000.


While all investments are subject to short-term volatility, Bitcoin has experienced extreme levels of turbulence.

In addition, it's unclear whether Bitcoin really is as game changing as its proponents claim. Some supporters believe the cryptocurrency will become the future of global transactions. Right now, however, only around 2,300 U.S. businesses accept Bitcoin as a form of payment, according to research from Fundera. Without widespread adoption, it will be tough for Bitcoin to survive.

Bitcoin's murky future makes it an even riskier investment. Although it could end up changing the world, it could just as easily crash and burn.

More info: https://www.fool.com/investing/2021/02/11/should-you-invest-in-bitcoin-right-now/

[Ferki]

Tesla CEO Elon Musk recently made headlines after announcing that his company bought $1.5 billion worth of Bitcoin (CRYPTO:BTC).

The cryptocurrency has been around for years, but it has surged more than 370% over the past 12 months. Even before Tesla's investment in Bitcoin, Musk himself has been credited with increasing the price of cryptocurrencies by voicing his support online.

Because of its soaring price, Bitcoin may seem like an attractive investment. But is it the right time to buy?

Weighing risk and reward
When you're considering any investment, it's crucial to look past the dollar signs and consider the risk involved.

Bitcoin is an incredibly volatile investment, so it's not for the faint of heart. While it has seen an impressive upward trend over the past several months, nobody knows how long that will last. The cryptocurrency has experienced wild price fluctuations in the past, sometimes losing up to 80% of its value.

Between 2017 and 2019, for instance, Bitcoin jumped from around $1,000 to more than $17,000, before it plummeted back to around $3,000.


While all investments are subject to short-term volatility, Bitcoin has experienced extreme levels of turbulence.

In addition, it's unclear whether Bitcoin really is as game changing as its proponents claim. Some supporters believe the cryptocurrency will become the future of global transactions. Right now, however, only around 2,300 U.S. businesses accept Bitcoin as a form of payment, according to research from Fundera. Without widespread adoption, it will be tough for Bitcoin to survive.

Bitcoin's murky future makes it an even riskier investment. Although it could end up changing the world, it could just as easily crash and burn.

More info: https://www.fool.com/investing/2021/02/11/should-you-invest-in-bitcoin-right-now/

Bitcoin is an asset, a value preservation for me, an investment that can be to avoid inflation. A store of value - something that Fiat cannot do at the moment.
The gold and bitcoin is really like a mouse compared to elephants.

[Fivestar4everMVP]

Bitcoin is a store of value, it's a great investment vehicle for the rich and strong willed people and not for the faint at heart as you've rightly said, the way bitcoin price fluctuates is capable of giving the faint at heart a heart attack which is why its not a crypto coin for everyone to invest in, I personally would have loved to invest in bitcoin but this is if we were still in 3 or 4 years back, but at this stage, I accept that am no longer qualified to invest in bitcoin cus I sometimes imagine buying right now at 55k, and after some time, it drops to 30k or 35k, I will just die cus it will be very difficult to bear, so this is why I think it's only the rich that are investing in bitcoin right now, any average person buying one whole bitcoin right now is taking an uncalculated risk which is highly risky.

[Richard_1]

I agree with the author of the article that Bitcoin is currently a very risky investment for investors. Now only very large investors can afford to invest in Bitcoin on a large scale, the bulk consists of small investors.

[Rt Kal]

I agree with the author of the article that Bitcoin is currently a very risky investment for investors.  Now only a very large investor can invest a large amount in Bitcoin.  There are plenty of small investors.