I would look up at the market cap and the supply before buying because the demand and supply of bitcoin affects the market value(price) either negatively or positively. When there is high demand for bitcoin and it is being supplied, it pushes the market value(price) up, but when the demand for bitcoin is low and also followed by low supply, then the market value goes down depending on fluctuations in the market. Presently, bitcoin has a market cap of about 127billion$. Bitcoin is still the king crypto.
If Bitcoin sneezes, all other coins rush to the ICU to get help because they would have almost frozen up. Towards the end of 2017, precisely December 17th, bitcoin attained a value of about 19,783.21$. Bitcoin rose so significantly that it made alot of people rich, as at April 2017, it had a value of about 1,349.13$, so by December 2017 it got people exponentially rich. So imagine how much you would have gained if you had bitcoin before it rose up so high; but now it has fallen so low again to about 7,450.88$, one of the reasons is because China being one of the most involved country has placed a ban on the exchange of bitcoin coin and about 20 other coins and shut down all mainland digital currency exchange so as to develop their own coins. Two of the largest cryptocurrency exchanges in China, OKCoin and Huobi, issued statements saying they would shutdown all trading between bitcoin and the yuan by October 31, 2017 which affected the market value for most digital currencies.
China, home to the world’s biggest community of Bitcoin miners
is cracking down on cryptocurrency activity. From a halt to virtual currency trading on domestic exchanges to banning initial coin offerings, regulators have taken a proactive role in shaping the stratospheric rise of Bitcoin and its peers. The country’s moves come as President Xi Jinping targets financial risk in the economy following a decade of booms and busts in everything from stocks to real estate. The result: China’s once-dominant role in the world of cryptocurrencies is shrinking. But the problem is that their government has placed a ban on the use of other coins which has greatly affected the crypto coin market generally, resulting in the fall of bitcoin value
. It's never a good idea to invest all your money in one place, so I guess people are trying to be careful in case one crashes, but bitcoin won't.
However, I think this is also an opportunity to invest in Bitcoin especially because I believe more people will buy more and more bitcoin over time because it has made great name for itself being the most widely recognized and used, also for the fact that the world is becoming more and more digital as time goes on. We even see that it is being widely used in the world, though more in the developed and developing countries. It's just a matter of time. Over the years people have invested in Bitcoin because it has shown promising results so far. Though it's value started falling from the beginning of 2018 and rising later on, but never the less, it will rise again.
References from https://coinmarketcap.com and http://fortune.com and picture credit to pixabay.com. Thanks.
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