It is generally known that cryptocurrency trading especially Bitcoin (BTC) carries a lot of risks. Due to its high price volatility, investors are always advised to invest responsibly. Sometimes, potential suitors are implored to invest with spare fund. On the contrary, a motivated crypto trader recently claimed that holding zero Bitcoin is the risk, claiming that BTC has many reasons to hit $1,000,000.
The prices of all cryptocurrencies except stablecoins are volatile. This makes it advisable for any investor or potential suitor to steer clear of plunging all his/her life’s asset into it.
In business, there is always a time of gain and loss. These are the normal phenomena that constitute investment, and these don’t exempt cryptocurrency.
Only stable coins like Tether (USDT), the forthcoming Facebook’s Libra and some others have very low volatility. These coins may have little or no investment value, but they also possess there priceless utilities that might not be found in other types of coins.
Sometimes, it takes Bitcoin price few minutes to soar by $500, and vice versa. About 2 week ago, a Bitcoin whale reportedly made a huge transaction of about 25,000 BTC. The transfer was made from an unknown address to Binance exchange wallet.
Few minutes after the transaction was completed, Bitcoin experienced a significant price plummet, which also applied to other digital currencies that replicate the price uptrend and downtrend of BTC.
The scenario of the historical bear market of 2018 is a very good reference. Some investors accumulated a lot when it was trading around $20,000, which is its All Time High. The hope of many got dashed after the market went notably bearish. Bitcoin dropped to relatively $3,200 in a limited interval.
Volatility in cryptocurrency makes it tradable. Bitcoin situation presently in the market is still stable. No distinct price drop or rise, but any of the two options is possible in few minutes. At press time, Bitcoin (BTC) is trading at $9,295, with 1.6% price surge in the last 24 hours.
Bitcoin Investment Can Save You from Bankruptcy Says a Crypto Trader
There is much hype around Bitcoin, especially from those supposed BTC whales, who stimulate the price and stirs some cryptocurrency trading novice to plunge in and invest with a number of tweets.
A crypto trader identified on twitter as Rhythm recently aired his opinion about the bright future of Bitcoin. He said there are few reasons for BTC to become valueless, but many reasons for the digital currency to spike and hit $1,000,000.
Read the statement below:
“There are a few reasons why bitcoin could go to zero. There are a many reasons why bitcoin go to $1,000,000…”
He continued by pointing that not holding any BTC deserves to be tagged risky than investing in it. He concluded by saying that the cryptocurrency has the capacity to save whosoever investors, even when the whole country goes bankrupt.
“The risk is not owning any bitcoin. It can help you with bankruptcy, mostly when you entire country goes bankrupt.”
Could we conclude that his assertion is true? The answer could be NO or YES. The best is to be disciplined as a trader. Trading in all cryptocurrencies attracts a host of risks, only the victims of 2018 bear market can tell how disastrous it was.