In 2020 the question is whether buying bitcoins is still worthwhile, despite the fact that in 2019 there was a real boom in purchases, which increased its value from just over 900 to about 20 thousand dollars. An incredible increase, which, however, has only halved in December, the month in which bitcoin returned to around 10 thousand. In any case, its value is much higher than the average of recent years, during which it remained below 1000 dollars.
The question that is being asked now, whether buying bitcoin is still worthwhile or not, refers to several considerations that we will try to answer in this article.
Bitcoin, Safe Investment?
The bitcoin can be defined in many ways, but probably among them is not that of “safe investment”. Its volatility, or rather its propensity to change price quickly and forcefully, certainly does not play in favor of such a definition.
But not all evils come to harm, because where for some a strong fall can only mean “loss”, for others it can mean profit. For whom? For Bitcoin CFD traders, for example. In fact, with Bitcoin CFD trading platforms, you can also invest money on price drops. This means that if you open positions downwards, you get gains in proportion to your bitcoin losses.
CFDs are absolutely legal and also very popular. There are Bitcoin CFD trading platforms that have been operating in Italy for some time now. Here are the most famous ones, among which you will surely recognize the famous Plus500 platform.
Is it Still Worth Buying Bitcoin?
The right question should be: is it still worth buying BTC or is it worth trading on bitcoin? In fact, as you read earlier, with Bitcoin CFDs you can also trade downwards. Unlike those who buy bitcoin (which can earn only on the basis of price increases), the trader can also get results from their forecasts downwards.
Another question you need to ask yourself is: Are you able to forecast the price of bitcoin?
Where to Buy Bitcoin
As trivial as this may seem, it is not trivial at all. The site or platform you choose to buy or trade is also important.
Think for example of those platforms on which hackers have stolen numerous bitcoins. You cannot afford such a risk.
In this regard, here are some very important tips:
- Only choose platforms that are known, proven to be secure over time and offer protection tools to your users.
- In case you choose an exchange and wish to keep a considerable amount of bitcoin, operate with external portfolios
- In case you choose a CFD trading platform, choose the most professional one, which offers tools to defend against sudden price changes.
If these three points do not seem very clear to you, let us clarify them! Exchanges are those trading platforms on which you can buy cryptocurrencies or trade with other cryptocurrencies. With exchanges you can keep the purchased cryptocurrencies on the same platform or on your own virtual online or physical portfolio.
As far as CFD trading platforms are concerned, within them you do not buy cryptocurrencies but trade on their value, so there is no risk of theft.
Invest In Bitcoins Without Buying Them
This is the main advantage of the last point touched on in the previous paragraph. CFD platforms allow you to invest in BTC without buying them. In fact, CFDs (Contracts for Difference) are financial instruments that replicate the value of another “underlying” instrument, which in the case of Bitcoin CFDs is given by Bitcoin.
When the price of the bitcoin varies, so does the price of the Bitcoin CFD. Those who want to invest in bitcoins but without thinking about how to protect them, can trade upwards and downwards with CFD trading platforms.
When To Buy Bitcoin?
One question that is often asked among those who have entered the “bitcoin world” is the best time to buy bitcoins in the near future.
The best answer to this question could be this: just before you think that the bitcoin will rise in value.
Of course, it is not easy at all. However, this operation can be facilitated by CFDs, which not only allow you to ask the same question backwards (when to trade down on the bitcoin?), but also allow you to trade instantly, comfortably from the trading platform used.
Bitcoin forecasts 2020
To get into specifics and try to make forecasts on bitcoin for 2020, some factors should be considered:
- The greater prudence of the market and the consequent decrease in trading volumes.
- The global discussion about regulation.
- Improvements made and coming to the system.
- Payments in BTC.
Let’s take a closer look at each of these 4 points.
As for the first point, from the end of January, after the second big “burst” suffered by the bitcoin between December 2019 and January 2020, frantic investors calmed down, thus also calming the price. The bitcoin is no longer the gold mine where you earn money. Those who buy bitcoin can also lose, and lose a lot. The bitcoin race has unnaturally increased the value of cryptocurrency and many new inexperienced investors got scared as soon as news began to arrive about bans in various countries. In fact, afterwards, South Korea did not ban bitcoin either, but simply requested that those who trade bitcoin do so in broad daylight, from a bank account with a first and last name. Fear, therefore, prevailed, but many holders kept their positions stable or even strengthened them.
Many people linked to the financial and economic world, institutional and not, have expressed and continue to express themselves on bitcoin. There will be other statements and perhaps even proposals for regulation. To keep an eye on the various international summits.
The developers of the Bitcoin community are making improvements to the system in terms of scalability and therefore speed in transactions, a factor that could also lead to greater use of cryptocurrency.
Speaking of usage, here is the fourth point. Positive and negative news will also arise when companies, especially large ones, will open their doors to bitcoin by accepting BTC payments.