It’s no wonder why so many are looking to trade Bitcoin. The virtual currency is revolutionising financial markets all over the world and brings many benefits to users. That’s why the number of Bitcoin traders is on the rise.

But you can’t just start trading right away. In other words, you’ll need some practice, because trading is far from easy. You’ll need to keep track of various assets, see how the value fluctuates, know which currencies to sell and buy, analyse the market, and so on. In short, you’ll need to learn how to deal with various situations.

You can learn this thanks to the gaming industry. This industry has stayed popular for years by adapting to technological trends. That’s how hardware got stronger and the games got better. This is the reason why Bitcoin has found a place in the industry. But what does this have to do with learning Bitcoin trading?

How the Apps Came to Be

Game developers have produced a couple of games inspired by Bitcoin. Some of them are Bitcoin trading simulators which means they’ll come in handy when it comes to learning to trade. All you need to do is install them on a mobile device of your choice and start learning. Here are some of those apps:

Bitcoin Hero

This app lets you experience a virtual market with real-time prices. This means that you’ll be able to make mistakes as much as you want to while you’re learning to trade Bitcoin. You won’t feel the consequences and you’ll pick up some good skills along the way. If this seems like too much work for you, then you can always go for the alternative. Trading platforms will help you with that.

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Trading platforms like Oil Profit exist to do the same thing as any other trader. They can go through the information and make decisions based on their settings. Making an account is a must when it comes to using the services of the platform. You’ll need to make a small deposit as well. There will be some tutorials and a demo lesson that you’ll need to go over to make sure you understand the settings of the platform. Afterward, you can set it and go for a live session. Then you can set the settings however you want to and see the different outcomes.

Altcoin Fantasy

Game developers take other cryptocurrencies into account as well. This means that there are some trading simulator apps that don’t just cover Bitcoin, but other virtual currencies as well. Altcoin Fantasy is such an app. You can use it to learn how to trade Bitcoin or any other cryptocurrency you fancy. You’ll get the virtual market, virtual currency, and real-time competition in the shape of other players. In short, you’ll get proper trading training.

But this isn’t the only thing the app has to offer. In Altcoin Fantasy there are competitions to see who the most skilled trader is. You can take part in them or organise them, and if you manage to turn out on top then you’ll be rewarded with a specific amount of Bitcoin or another cryptocurrency.

Conclusion

The value of this virtual currency is something to keep in mind as a trader. Also, make sure to do ample research when it comes to picking an exchange and choosing a wallet. An exchange with a history of hacker attacks will spell doom for your Bitcoin assets, so stay away from such exchanges. The wallet you choose needs to have good security measures, a user-friendly interface, and to suit your needs. By getting all these concepts and some practice you’ll be a pretty good Bitcoin trader.

Thanks to Bitcoin’s recent surge in value, thousands of people from every corner of the planet are looking to join the network and start trading with this cryptocurrency to make a profit. It is a well-known fact that Bitcoin can turn average people into overnight millionaires. Everybody wants to turn this dream into reality, and thus most are more than willing to trade with this cryptocurrency.

However, one of the biggest disadvantages that comes with Bitcoin is online scams. Many people fall victim to online scams each day, which is why we wanted to give you a list of the three most common Bitcoin scams that you can come across when trading with it. First, we are going to provide you with details on reputable and safe sites for trading with Bitcoin, and then we are going to list the three most common Bitcoin scams.

Where Do You Trade With Bitcoin?

Trading sites are the platforms where the magic of selling Bitcoins takes place. After you earn a certain amount of Bitcoins, you turn to these professional sites as they can help you sell your assets at the highest possible price, thus making a handsome profit.

Some of the most reputable trading sites have thousands of users from every corner of the planet and even provide the traders with additional services which help them generate massive revenue.

Ponzi Schemes

The Ponzi scheme is one of the most popular schemes of all time. It was invented by Charles Ponzi, one of the most popular scam artists of all time, but some research estimates that it goes far deeper than that. The idea of this scheme is very simple – you offer tremendous amounts of profits, then run off with the money.

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In Bitcoin’s case, you can often see projects and strategies stating how people can be offered returns of up to 10% per month. These offers are definitely Ponzis. With this scheme, scammers are always on the lookout for new investors. When scammers feel like they are close to being identified and the scheme runs out, they just vanish and find new victims.

The Exit Scam

The exit scam has been gaining popularity in the Bitcoin network recently. Here’s how it works. Scammers take the customers’ coins and start trading with them. But they provide the clients with false data on the profits and number of exchanges. They are simply playing the accounting system. Hence, the balance on their wallet does not reflect their real state since the coins are gone. When the clients start requesting withdrawals, they shut up shop and disappear.

The Stop Drive

The last scheme to be on the lookout for is the stop drive. This is a rather sophisticated scam; some scam exchange sites will ramp up the Bitcoin value just so that they can motivate you to invest money. Just before you invest money, they drop the prices, and you lose money. After you’ve made an investment and lost money, they just ramp up the numbers back to normal.

Bitcoin fell on Monday morning after reaching a new record-high price over the weekend.

The world’s most highly valued cryptocurrency broke through the $60,000 barrier for the first time during weekend trading, reaching a high of $61,674 on Saturday. However, the price went into retreat at the beginning of the week, falling 4.4% to $57,847 at 9:15 AM in London.

This latest Bitcoin price shock comes amid reports that India will propose a law banning cryptocurrencies altogether, potentially blocking its use in one of the world’s largest markets.

Reuters reported on Sunday that senior officials in India’s government are looking to impose “one of the world’s strictest policies against cryptocurrencies,” which will impose fines on anyone trading or even holding digital assets. Bitcoin miners will also be penalised, sources claimed.

Under the proposed bill, cryptocurrency holders would be given six months to liquidate their digital assets, after which penalties will be levived.

Should the ban become law, India would become the first major economy to ban the use of cryptocurrency altogether.

As normally follows when Bitcoin suffers a price shock, the broader cryptocurrency market also went into retreat on Monday morning. Ethereum, the world’s second-largest cryptocurrency, was trading 5.7% lower against the dollar at a rate of $1,785.49 at the beginning of the week. The cryptocurrency market as a whole declined 4.5% over 24 hours.

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Despite this latest price plunge, the crypto market is still performing markedly better than it was six months ago. Bitcoin has rallied over 400% during this period, owing to interest from established players such as Tesla and Square. Adoption by PayPal has also helped to pull cryptocurrencies closer to the payments mainstream.

Gold is one of the longest-standing assets in the history of human investment. The asset has long been a store of value for hedging the economy. For some time, gold was even the basis for the US dollar’s value. However, a new asset has come into play: Bitcoin.

Considered by many to be digital gold, the next step in the precious metal’s history, investing in Bitcoin is debatably a good idea. If you’re unsure as to which is the best place to put your money, this guide is for you. We’ll break down the pros and cons of each investment, ensuring you know just where your funds should go. That, and we’ll establish the best places for you to invest in such assets.

Investing in Gold in 2021

Long-term investors might recommend still investing in gold. It’s what they know, after all, and it’s what made them successful in the past. They’re not entirely wrong, either.

For one, gold is still a reliable asset. It’s not too volatile, nor is gold going anywhere anytime soon. There are multiple ways to invest in it, as well.

Online gold exchanges, for instance, allow you to invest anonymously and with just a debit or a credit card. You simply have to create an account on the exchange and go from there. You can purchase the assets on the exchanges without much trouble, thanks to their various trading methods. They also allow you to hold the assets in a wallet - much easier than storing them with traditional gold.

Otherwise, investing in gold is expensive. You’ll need enough funds to afford a whole unit of the metal to start. On top of this, you’ll need to pay extra in vendor and convenience fees. Then you have storage fees.

Gold is still a reliable asset. It’s not too volatile, nor is gold going anywhere anytime soon.

Storing gold is pricey. You can’t just keep it in your home. You need a safe to put it in. Safes can be expensive, though they’re worth it to protect your investment. Otherwise, you can pay a monthly fee to store it in a third-party space. However, note that you’re putting control of your assets in someone else’s hands if you do so. This is also an endlessly recurring cost on your investment.

Also, while gold is a fantastic stable investment, it’s not a great one for short-term profits. Sure, the asset may rise in the long-term, especially when considering the global economic climate, but otherwise, it stays around the same price. It could be years before you see a significant profit on your gold investment.

If you’re risk-averse, then this is great news for your investment personality. Otherwise, you may want to put funds elsewhere.

Investing in Bitcoin in 2021

Bitcoin is based on a blockchain. There’s no intermediary to go through, meaning transaction fees are much cheaper than otherwise. It’s also a global currency, allowing you to convert Bitcoin to any fiat, and vice versa, no matter where you are in the world.

On top of this, there is a limit on Bitcoin. There can only ever be 21 million of the asset, preventing inflation that fiat currencies are susceptible to. No one can create more Bitcoin - only that which is in the market can be traded. Bitcoin is verified by miners, users that take advantage of their computer’s power to ensure there isn’t any double-spending or similar bad activities.

Becoming a miner is difficult, but they are rewarded handsomely in Bitcoin. The more miners that are out there, the more Bitcoin that is put into circulation. Over time, this makes the asset less rare, eventually causing the price to stabilise. However, note that getting in early, assuming the asset is successful, would mean holding such a rare asset once it stabilises.

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Speaking of stabilisation, Bitcoin is much more volatile than gold. The price has gone up or down by the thousands in just a day, throwing off many investors. Those who aren’t a fan of risk might want to heed this activity. Of course, this is great for short-term profit if you’re smart. The long-term prospects of Bitcoin are yet to be decided.

Conclusion

Now you’re aware of both Bitcoin and gold. Decide which is best for your investment portfolio in 2021. That way, you’ll be better off in the future with your funds.

In the present era, every person strives for economic sustainability. People struggle to make ends meet financially, as jobs are paying average wages and businesses are merely covering the running costs under this economy. At a time when there are not many profitable business opportunities, the trading of cryptocurrencies has emerged as a feasible mode of financial investment. Digital currencies have taken the economic world by a storm and it has completely altered the concept of traditional currency.

The global economy has seen major fluctuations over the course of the last two decades. The financial crisis of 2008 proved to be extremely hurtful to businesses, and it was an indication that the traditional concept of currency was unable to tackle modern complications. This is when cryptocurrencies, like Bitcoin, started to make their way into the mainstream financial world.

New investors and traders are now inclined towards digital currencies like Bitcoin. There is an increasing demand for Bitcoin in the digital market. The boom in the prices of bitcoin in 2017 came as a shock to the financial world, and many of Bitcoin’s early investors were able to gain thousands and millions of dollars in profit. Since then the business world has kept a keen eye on the performances of Bitcoin in the market.

The Reason Behind Bitcoin’s Success

The traditional banking system is deemed incompetent by the public, as the general perception is that it has too many complications and complexities. Plus, there is a governing body over these banks which keep a regulatory check on every transaction made from a single account. People have to go through a lengthy process even to open an account.

Bitcoin, on the other hand, is an independent entity, and it has provided an easier alternative mode of transaction for the public. Without any external controls, transactions through Bitcoin are more safe and secure. Furthermore,Bitcoin can be traded and mined from anywhere in the world, as it unites the digital world in one forum. However, banks usually do not allow international transactions, and if they do the cost is much higher. The global economic market sees bitcoin as a more feasible and profitable mode of transaction.

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Feasibility of Trading Bitcoin Through Mobile Applications

Bitcoin is used by millions of people all over the world, and this fact has forced major brands to recognize Bitcoin as an acceptable mode of transaction as well. However, there are still many complications to this new concept which are not simple to comprehend by the general public. This is why there are platforms that guide new traders and investors in the field.

These platforms provide demo accounts to provide practical experience to the traders, and even allow their accounts to function from a minimal investment. They have no extra charges, and they provide market analysis and predictions to the users, which later helps them in gaining trade profits.

These platforms have a high success ratio, and they use modern technologies like blockchain and artificial intelligence to make predictions. Accessibility and feasibility is another benefit of trading through these platforms, because they are easy to use and can be accessed at any time to trade bitcoin on your phone. They allow manual and automated training as per the convenience of the users and give traders a chance to make their own decisions.

With the growing influence of bitcoin and other cryptocurrencies, these platforms are expected to play a vital role in training and guiding new traders. Also, these platforms have a minimal risk of loss which encourages new investors in the industry.

Cryptocurrency hedge funds have made significant gains through 2020, vastly outperforming non-crypto funds.

Crypto Hedge Fund Vision Hill Composite Index, launched in 2018 to track the performance of actively managed cryptocurrency hedge funds, showed a 126% return in 2020. At the same time, BarclayHedge – which tracks over 7,1000 hedge funds – reported that non-crypto hedge fund sectors were also in positive territory, but posted comparatively modest gains of 1.70% through September.

One of the reasons behind crypto funds’ strong performance during 2020 stems from the emergence of decentralised finance, or DeFi, according to Vision Hill CEO Scott Army. “DeFi” refers to crypto platforms that facilitate lending outside of traditional banking institutions. These sites run on open infrastructure and make use of algorithms that track supply and demand to set rates in real time.

Data from industry site DeFi Pulse showed a total of $11.1 billion worth of loans on DeFi platforms as of Thursday, an increase of 180% from the roughly $4 billion recorded in August.

Michael Anderson, co-founder of $100-million venture capital fund and DeFi investor Framework Ventures, said that he believes DeFi will soon break into the mainstream. “Users are trying to vote with their dollars in terms of how they view the capabilities of DeFi,” he said, noting that some DeFi platforms have gained more volume than the far larger digital asset exchanges.

Hedge funds were also boosted by the strength of bitcoin. After a record market slide in March, the currency bounced back quickly, jumping more than 10% in April and going on to rise 80% above its 2019 price. The surge drove rallies in the crypto market, with a knock-on effect on hedge funds.

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Adding to crypto’s attraction, large-scale organisations have entered the market this year, accelerating the progress of crypto’s adoption into the mainstream. Earlier this month, PayPal announced plans to allow the trading and holding of cryptocurrencies on its platform. This triggered a new surge in the value of bitcoin, which jumped above $13,000 following the news.

While many are excited about the industry's growth potential and understand turbulence comes with innovation, others wonder how they can still invest in digital assets with a semblance of stability.

Many herald stablecoins as a solution. Palladium-backed cryptocurrency all have bullion as a reserve asset. They will never fall below the underlying asset price but can eclipse the spot price depending on the coin's popularity and trade volume.

Understanding Crypto Backed by Precious Metals

The idea of virtual currency backed by bullion like gold and silver has been tried numerous times. Arguably the most successful before the advent of cryptocurrencies like Bitcoin was E-Gold, co-founded by Douglas Jackson. The coin proved to be very popular at its peak in the 1990s, with at least 1,000 new accounts made each day. However, authorities cracked down on the coin and mandated Jackson to adhere to a variety of financial regulation rules and standards, turning E-Gold into a shadow of its former self.

An ideal modern-day stablecoin should be able to perform main functions. It should have the capability of acting as a medium of exchange to permit holders to buy and sell goods, function as a saving asset (without loss of value), and be used as a unit of account to compare the cost of goods and services.

Stablecoins backed by precious metals stand out for a few reasons. Cryptos backed by fiat currency, like Tether's USDT, remain the most well-known class of stablecoins. But many are wary of fiat currencies' long-term stability, especially in 2020, as national governments pursue a variety of artificial stimulus to keep economies afloat during the coronavirus.

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The Advantage of Metal as a Reserve Asset

Countless civilisations have treasured precious metals like gold, silver, platinum, and palladium for their utility and beauty. Bullion is recognised and accepted across the world for buying and selling.

While many think precious metals are only valuable as a monetary tool, many have a wide range of industrial and manufacturing uses. Palladium is a vital component in catalytic converters to remove hydrocarbons, carbon monoxide, and other potentially harmful gases from vehicle exhaust emissions. The converter is one of the most expensive parts of a vehicle - often costing up to $1,000 alone.

The vast majority of silver mined in the modern world is a byproduct of manufacturing. The industrial uses of precious metals give them an additional allure of value, making them in the eyes of some a stronger stablecoin base than fiat currencies (or other crypto-collateralised) stablecoins like Basecoin.

Understanding Popular Crypto-Backed Stablecoins

Perth Mint Gold Token (PGMT) is one of the market's most popular crypto-backed stablecoins. While some projects are vague about their bullion reserves, PGMT tokens are backed by gold from the Perth Mint, managed by Australia's government.

The Mint offers the GoldPass app that issues a certification with all issued gold bullion. PGMT holders can simply use the app to confirm their digital assets are backed by a gold reserve. Government-backed gold bullion gives PGMT a large degree of legitimacy and viability in the cryptocurrency world, making the token a popular choice for investors interested in crypto-backed stablecoins.

Another well-known choice for those making their first foray into the cryptocurrency stablecoin world is PAX Gold (PAXG). PAXG coins are backed by one ounce of a London Good Delivery Bar. Like PGMT, PAXG coins are seen as highly legitimate in the precious metal backed-cryptocurrency industry due to their connection with a government entity.

The industrial uses of precious metals give them an additional allure of value, making them in the eyes of some a stronger stablecoin base than fiat currencies (or other crypto-collateralised) stablecoins like Basecoin.

PAX Gold's parent company, Paxos, is a New York State Trust Company and received approval from financial entities in New York to operate. Having to adhere to a wide range of US laws and regulations gives Paxos a degree of credibility in the crypto world - boosting the popularity of its flagship precious metal-backed stablecoin.

What to Watch Out for When Buying Precious Metal-Backed Backed Stablecoins

Investors need to be careful when choosing a precious metal-backed stablecoin to buy. They should carefully study the project's website to confirm they have audited bullion reserves conducted by a legitimate third party.

Investors should confirm the project has a seamless bullion redemption process that is fair and economically viable. Investing in the wrong project can lead to a loss of money and other headaches.

PayPal announced yesterday that it will enable its customers to buy and sell Bitcoin and other cryptocurrencies through their PayPal accounts, which could then be used to buy products from the 26 million sellers that use its service.

The payments platform’s announcement brought a surge in Bitcoin prices, rising as much as 4% to $12,381 on Wednesday – its highest level seen since July 2019. With this latest jump, Bitcoin gains rose above 75% for the year.

Mike Novogratz, founder, CEO and chair of Galaxy Investment Partners, described the announcement as “the biggest news of the year in crypto.”

“All banks will now be on a race to service crypto,” he wrote in a tweet. “We have crossed the rubicon people. Exciting day.”

Though it has existed as a form of payment for more than a decade, Bitcoin and its fellow virtual currencies have struggled to see widespread use. Though cryptocurrencies’ volatility has made them attractive to speculators, it poses risks for shoppers and sellers. Transactions are also generally slower and costlier than more mainstream payment modes.

However, PayPal has expressed confidence that its new system will be able to address these issues, as payments will be settled using more the dollar and other traditional currencies. As a result, it will manage the risk of price fluctuations while merchants receive payments in virtual coins.

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"We are going about it in a fundamentally different way to make sure we provide the maximum amount of safety to our merchants," PayPal CEO Dan Schulman said in an interview, adding that the platform is already in discussion with central banks regarding the use of Bitcoin in transactions.

PayPal will issue new buying options in the US in the coming weeks, with a full rollout to come in early 2021. In addition to Bitcoin, it also plans to add Bitcoin Cash, Ethereum and Litecoin to its roster of supported cryptocurrencies. The company confirmed that customers will be able to store these currencies “directly within the PayPal digital wallet”.

Shane Neagle explores the results of a study into attitudes towards Bitcoin and what it could mean for the future of crypto.

You may have noticed that the stock market seems to retain remarkable resilience despite the cascading economic recessions affecting all developed nations whose economies have been impacted by the COVID-19 pandemic and resulting lockdown measures. This year has seen mass unemployment claims, obliteration of small businesses, and entire industries scrapped.

Amidst such a calamity, governments had little choice but to enter emergency salvage mode. In doing so, the Federal Reserve and the Treasury broke many people's conceptions of what it means to have money and incur debt. With trillions upon trillions of dollars pumped into the economy, and more on the way, it is easy to lose confidence in fiat currency.

For the time being, the Fed’s strategy rallied the stock market — but uncertain times lie ahead. Bitcoin (BTC) is emerging as the bulwarking choice against such uncertainty. More and more people view Bitcoin as an insurance policy against inflation. After all, BTC remains a unique alternative as it resides outside the ecosystem of governments, central banks and fiat currencies.

Updated BTC Adoption Survey Shows Increased Confidence

The Tokenist conducted an important comparative survey in April 2020, covering nearly 5,000 respondents across 17 nations. Surveying at the pandemic’s peak gives us an insight into people’s attitudes compared to three years ago, when BTC achieved its highest performance.

Speaking to Bitcoin’s increased credibility compared to traditional financial institutions, almost a third of respondents view Bitcoin with greater trust than in 2017:

Male and female millennials are tightly clustered together in the “more trustworthy” group. Covering all age groups, a solid majority of respondents, over 59% consider Bitcoin as a “positive innovation” in the realm of digital technology and finance. This represents a significant increase of about 27% compared to those surveyed three years ago.

Predictably, male millennials, with female millennials behind, report the most positive attitudes toward Bitcoin. Equally predictably, the age cohort over 65 shows little enthusiasm for Bitcoin. They are most likely to never use Bitcoin, no matter the degree of familiarity.

As far as millennials go, it bears noting that 44% of them would be interested in acquiring BTC in the next 5 years. Those older than 65 make for a stark contrast when expressing the same desire – merely 3% show interest in acquiring BTC in the next 5 years.  

Incidentally, we can see the same elderly reticence when it comes to cashless and contactless systems as a whole, with security concerns popping up as the main obstacle for adoption. Still, even when taking into account highly publicised crypto exchange hacks over the years, significantly fewer people across all age groups consider BTC to be some kind of “bubble” ready to pop.

Millennials appear to be far more confident in the fundamentals of BTC, with just 24% viewing it as a bubble. However, twice that many in the over-65 age group would agree with the sentiment that BTC represents a risky fad. Notably, BTC has a long road ahead to assuage people of its worthiness to replace fiat currency, as one-third of survey participants, spanning all age groups, report doubt.

Perception of BTC In Terms of Usage

Although Bitcoin has been integrated into major online stores as a payment method, among them Microsoft’s Xbox Store, Whole Foods, Starbucks, Overstock, and even some invoicing software making it a means of payment for small businesses, Bitcoin’s utility resides in the form of digital gold. Meaning, BTC serves as a store of value first and foremost. The recently popularized term “HODL’er” testifies to this trend, as it describes people who hold cryptocurrencies instead of selling them, no matter the weekly fluctuations.

As you can see from the graph below, over half of millennials show interest in holding onto Bitcoin, with 27% interested in selling it. The over-65 age group holds no such confidence, with only 13% showing interest in holding BTC and 44% suggesting they would sell it immediately.

The HODL trend has remained implacable recently, as both the KuCoin crypto exchange hack and CFTC coming after BitMEX resulted in no substantial BTC price drop. In previous years, each of those events separately would likely have caused a significant price disruption.

One could interpret such results to suggest that the perception of Bitcoin as an insurance policy against the ventures of central banks has become even stronger since this survey was conducted in April.

Conclusion

Having been conducted prior to June, when decentralised finance (DeFi) really took off from $1 billion to an over $10 billion valuation, this comparative BTC adoption survey is quite conservative. That is to say, the significant gains in BTC adoption from three years ago have likely jumped higher since.

When people witness trillions of dollars injected into the cracked economy, it brings a shock to the system. While some portion of the cryptocurrency sector may be manipulated by big crypto whales, BTC stands out as a haven for many in the upcoming financial storm.

Nobody is in a position to tell if the stock market can be kept afloat with further Fed interventions, or how the turbulent presidential elections ahead may impact it. What we can see is an indication that Bitcoin is seeing increased adoption. One would rationally think the current political and economic climate would only accelerate its adoption even more.

Bitcoin, Ethereum and Tether, three of the most traded cryptocurrencies in the world, have achieved a joint market capitalisation of $207 billion as of last week, according to data released by BuyShares.co.nz.

This represents a jump of 40% compared to the cryptocurrencies’ standing at the beginning of the year, and an indication that their investment appeal has grown as stock markets have faced steep fluctuations. As cryptoassets are decentralised and inflation-resistant, they can offer shelter during times of market volatility.

The market cap of the three cryptocurrencies in question stood at $148.86 billion at the start of 2020 before crashing to $106.51 billion on 15 March as world economies were struck by the COVID-19 pandemic and ensuing lockdown measures.

This slump did not last, however, as the cryptocurrencies’ collective value proceeded to increase by an astonishing 90% between March and July, reaching $202.37 billion by June.

Ethereum appears to have experienced the sharpest increase in relative value, having stood at a market capitalisation of $14.22 billion at the beginning of January and risen to $26.91 billion as of the end of last week.

In comparison, Bitcoin’s individual market cap currently stands at $170.87 billion, up from $130.54 billion at the beginning of the year (an increase of 31%), and Tether’s has risen from $4.1 billion to $9.19 billion (a 35% increase).

Bitcoin trading can be complicated for beginners. In fact, the cryptocurrency space is risky for everyone, both the beginners and the experienced investors. Unlike in stocks trading, the crypto sphere has no central body that offers guidance to investors. You see, horror stories, hype, and rumors rule the internet, and it is sometimes difficult to separate facts from hearsay. Riding on hearsay and rumors is a recipe for failure in Bitcoin trading.

According to Crypto Head, most Bitcoin investors who have lost money didn’t conduct proper research. Just like in any other investment venture, you should have all the facts straight before getting your feet wet. Below are important tips for new Bitcoin investors.

1.    Research

Bitcoin trading has been here for a few years now, and a lot has changed since its emergence. If you are just getting started, you need to conduct your own homework. Understanding what you are getting yourself into will help you make informed investment decisions. Cryptocurrencies provide a brilliant investment opportunity, but they are not without risks. Ignore the hype and dig deeper. Learn about the underlying Bitcoin technology and how the whole system functions.

2.    Learn the basics of buying and selling Bitcoin

Before you run, learn to walk. You need to understand the basic mechanics of Bitcoin trading. Learn how to sell and buy Bitcoin, and the easiest and the most secure platforms to start buying Bitcoin. Coinbase is a good place for new Bitcoin investors because of its intuitive interface and ability to begin buying other major cryptocurrencies such as Litecoin, Ethereum, and Bitcoin Cash.

Like with all other financial investments, it is important to learn how to guard your assets. In this case, you need to protect your digital assets from scammers and cyber attacks. You can store your Bitcoin in Ledger Nano S wallet, which is regarded as the most secure Bitcoin wallet. TREZOR is also a good option.

3.    Baby steps

After a few weeks of deep research, you may feel like you know almost everything about Bitcoin trading. Well, you may know a lot, but that does not mean that you should invest blindly. Risk is inherent in all investments, and it is the same with Bitcoin trading. Digital currency is still developing, and you need to tread carefully. The risks involved are incredibly high, which implies you can either win big or lose your entire investment.

First invest small amounts and see how things turn out before increasing your investment. Don’t chase Bitcoin prices; let them come to you instead.

4.    Diversify

Putting your eggs in one basket can be a grave mistake. Well, at least when it comes to investments. Apart from Bitcoin, there are other components in the crypto space that you can invest in. Diversify your investment effectively. You can invest in Litecoin, Ether, Bitcoin Cash, and Ripple.

If you're embarking on a Bitcoin investment, the above tips  should hopefully provide useful information as you enter the crypto space. But you need to buckle up because it's possible the ride ahead is going to be wild one. It's well known that the digital currency market is incredibly volatile, so you will need strategies to manage price fluctuations and see return on your investement.

Already one of 2020’s best-performing assets, the price of the world’s largest cryptocurrency by market capitalisation could rise to $20,000 before the end of the year, according to analysts. To date, the price of Bitcoin is already 30% up from the start of the year, following wider positive investor sentiment, with the cryptocurrency’s price volatility hitting a three-month low at the time of writing, with 30-day volatility falling to 40% - the lowest level since 6^th March. Furthermore, 60-day volatility declined to 52.18% - the lowest level since 11^th March. However, I believe that the leading cryptocurrency will likely increase further in value throughout the remainder of the year due to three principal factors.

1. Central banks around the world are launching massive quantitative easing programmes.

This large-scale money printing devalues traditional currencies, yet bolsters other recognised stores of value, such as the likes of Bitcoin and gold.

In the United States, should the Federal Reserve decide to drop the interest rate below zero in the near future – a move which is "inevitable", according to Bankrate's Chief Financial Analyst Greg McBride – this will drive the value of digital currencies such as Bitcoin skywards, according to many market strategists and economists. Paul Tudor Jones, the billionaire founder of the hedge fund Tudor Investment echoes this sentiment: "Bitcoin reminds me of gold when I first got into the business in 1976. If I am forced to forecast, my bet is [the best asset] will be Bitcoin."

2. The coronavirus pandemic has dramatically accelerated the demand and need for digital currencies.

The Federal Reserve is doing “whatever it can” to shore up the wavering US economy impacted by the COVID-19 crisis and has already released trillions of dollars in stimulus to do this.

Renowned cryptocurrency investor and Chief Executive of Bitcoin hedge fund Galaxy Digital Mike Novogratz previously told CNBC: “If there was ever a time-debasement of fiat currencies, monetisation of trillions of dollars of debt, this is the time for Bitcoin.” Novogratz added: "If at the end of the year Bitcoin’s not a lot higher, I’m going to scratch my head and say: 'Look, what the heck is going on?'"

Indeed, the Fed’s “do whatever it takes” attitude in terms of what it called "quantitative easing to infinity" could ultimately undermine confidence in the traditional financial system, leading more and more investors to contemplate decentralised, non-sovereign cryptocurrencies.

3. Bitcoin is a legitimate hedge against inflation concerns over the longer-term.

Bitcoin derives its value from speculative interest as a hedge, coupled with deflationary, controlled money supply. The cryptocurrency is capped at 21 million Bitcoins, so at some point, there will be fewer Bitcoins available than demand requires, so in value terms, the price will increase as the supply decreases.

Influential Bitcoin trader and well-known Bitcoin bull Tim Draper believes that an increasing number of people will now look to Bitcoin as it has a fixed supply, unlike billions in fiat currency that is being printed by banks around the world. He stated: “This is going to be a really interesting time where people say ‘well, why don’t I just use Bitcoin?’. I know there are only 21 million of them and we don’t have to worry about whether a government is diluting their currency by printing tons of it, we can instead just use a currency we all agree on and it’s all a part of the economy and it’s already frictionless and open, and transparent, and global.”

Geopolitical factors such as the escalating US-Sino tensions, the US presidential election and Brexit will also likely bolster Bitcoin.

Draper also added that he thinks digital financial innovations such as Bitcoin, AI and smart contracts will result in governments competing at “virtual level” to offer improved services at “lower cost” to attract talent. This will consequently offer people more choice and freedom: “It doesn’t matter whether you are from the US, China or Russia, or India, or Europe, or whatever, we are an open world and then the geographic borders are going to mean less and less.”

Moreover, global client interest in Bitcoin and other digital currencies has soared over the past month alone. There has been a 25% month-on-month rise in enquiries for deVere’s crypto exchange app, deVere Crypto. This is mainly down to the fact that the coronavirus crisis has led to a collective focusing of minds on the need to adapt and become accustomed to a so-called new normal.

Of course, our lives will inevitably become ever-more fuelled by technology, particularly our financial lives. As such, cryptocurrencies such as Bitcoin, as well as other FinTech solutions, will play an ever more prominent role.

Geopolitical factors such as the escalating US-Sino tensions, the US presidential election and Brexit will also likely bolster Bitcoin. Indeed, investors will increase their exposure to digital currencies such as Bitcoin, to help protect them from the potential issues within the traditional markets. Combined with the fact that Bitcoin and other cryptocurrencies are digital and global, and the world is becoming increasingly digitalised and globalised; that demographic trends are on its side; and that institutional investors, central banks and major corporations are all coming off the sidelines, the long-term trajectory is inevitably upwards.