Although 2019, was a positive year for bitcoin prices, the year 2020 has been almost a curse for everyone. The cryptocurrency price has almost doubled itself, by all means; it has been doubling itself in the due course of 12 months. But bitcoin had declined in the second half of 2020, but that does not mean that it has not been doing well at all.
Bitcoin Halving 2020
The bitcoin halving took place in 2020 this year; this activity has been held in the month of may by 6.25 bitcoins, which is usually by 12.50 bitcoin earlier. This is successful even which has reduced the number of bitcoins to be given as a reward, which will sustain more bitcoins in the market which could be used for trading purposes. This halving was important in order to sustain the values of the bitcoin in the market.
The opinions vary from person to person, many think that it has been good but some other thing that it is not. It has been noticed that in the past only 2 other crypto inventions have been interesting and they have appreciated much by all.
At the beginning of 2020, when the price of the bitcoins and the gold seemed to be almost similar, there was tension between America and Iran which persisted for quite some time. However, the correlation between the cryptocurrency and the gold still seems to be dangerous and cannot be trusted easily.
Use Smaller Cryptos
If you are aware then there are various other cryptocurrencies, bitcoin is just one of the cryptocurrencies. There are many other cryptocurrencies which can be used instead of bitcoins. Each of the cryptocurrencies has its own value, if you think bitcoin would be too costly for you then you can try all the small cryptocurrencies. You can use the cryptocurrencies easily for whatever purposes you want. You can use, trade, exchange do anything which makes you feel that the value of the money would increase.
Smaller cryptos would consume less value hence you can gather small cryptos and then you can buy a bitcoin using those.
Bitcoin is digital gold and you can learn more about it. Find out more about bitcoins, here we will tell you why you consider bitcoin as digital gold. The gold is a precious metal that is present just in some amount like there no abundance. Gold inside the earth has a limited, in the same manner, the bitcoin that has been produced once is just 21million and it has been the same number since then. The entire process of using the bitcoin and the gold is similar to in one would be able to use the gold or the bitcoin and after being used, it is going to be reused.
The demand for the gold and the bitcoin will rise and the supply will be less with the coming up time or it could be constant and this is will not incur any new generation of bitcoins or gold in the market which means that you would be able to buy the bitcoins or the gold at the increased price rate. The price of the metal and the bitcoin would increase because there is no addition of new gold in on the earth or on the computers.
The investment on the bitcoin has been huge, it is believed that one should have a balanced portfolio. So, if your portfolio has more than one sector of investment then it is a good idea to it. You must invest in gold, shares, and stocks equally so that even if one incurs any loss then it will be made up of the other investments.
No Fiat Currency
The simple fact that people have lost money from their hands during the pandemic and they still wonder how to earn enough money. But this has been the only escape route to their distress most people have used the cryptocurrencies to buy and use during the pandemic. Fiat currency is something that cannot be all in all in the next few months. In fact, it might take ages for the fiat currency to rise in the economy again. Till then one will have to depend on the cryptocurrency.