Cryptocurrencies aren’t going anywhere Since the debut of Bitcoin in 2009, the volatility of trading in crypto has been no secret. Even 2022, which was predicted to be one of the best years for crypto investment, has been rocked with bad PR for the blockchain industry, as it battles the FTX scandal amongst other issues. The crashes and booms documented on a chart are dramatic in their peaks and troughs - but looking at the bigger picture, what is clear is that as each storm is weathered, the industry bounces back with even more fervour. For investors, this is our opportunity to gain. For example, shortly off the back of the latest crash just this year, the news quickly broke that the world’s largest asset manager, BlackRock, partnered with the world’s biggest Crypto exchange, Coinbase. It’s clear in my mind and the minds of those who follow the market, that cryptos are here to stay. Once investors are prepared to acknowledge this, the possibilities are endless but to ignore this, is possibly missing out on lucrative investment opportunities it provides. It’s also worth noting here that crypto is the currency used in the metaverse – another indication that crypto could be the currency of the future. Ride with the ups and down Volatility can seem scary but can also be a benefit for traders. As one of the fastest-growing markets that we are likely to witness in our lifetime, the possibility of losses has to be taken into account alongside the equal possibility of high returns - higher than could ever be gained through traditional investments. Prices can collapse and rise again at the drop of a hat, but these fluctuations can help investors earn significantly. The sky is the limit for those who watch the market closely and hold their nerve. One of my favourite quotes by Warren Buffet encapsulates this: “Be fearful when others are greedy and greedy when others are fearful.” Portfolio diversification Diversification of investment portfolios has always been one of the most important pieces of advice I encourage traders to follow. Cryptocurrencies naturally lend themselves as a new and different option independent of traditional investments, which might not always follow the market. It makes sense for traders to have such an alternative within their portfolio. This gives them the opportunity to not put their eggs all into one basket, which is a big benefit when expanding into cryptocurrency investment. Easy, fast, secure transactions - accessible 24/7 One of the key selling points that arguably triggered some of the early success of cryptocurrencies is the ease and security of transferring funds. With no thirdparty intermediatory like a bank or credit card, almost anyone can complete a transaction almost anywhere. In addition, investors are no longer tied to weekdays and business hours. Crypto markets can be accessed at all hours of the day or night. This accessibility opens up the world of investments to a new type of trader who might not have had the opportunity to do so otherwise. Crypto is an opportunity not to be missed With opportunities for high returns, diversifying portfolios and taking advantage of easy, secure and fast transfers, it’s hard not to see why crypto investors believe that those avoiding the market altogether are missing out on the opportunities and benefits offered by cryptocurrencies over and above traditional investments. As we enter a new era of instability across all markets, it seems ever pertinent to take stock and review our preconceived notions of what it means to invest in cryptocurrencies. I am very much looking forward to seeing how this plays out over the next few months and what’s in store for the cryptocurrency market in 2023. “Crypto is the currency used in the metaverse – another indication that crypto could be the currency of the future.” Inve s tmen t 48 Finance Monthly.
RkJQdWJsaXNoZXIy Mjk3Mzkz