The evolution in the prices of cryptocurrencies in the last 5 years that you cannot miss.21/ 09/ 2021
Any cryptocurrency is at the mercy of fluctuations, because of the supply and demand of the market. Therefore, knowing the right time to invest, taking advantage of bullish times is key. It is also important to understand the evolution of their prices.
Knowing the evolutionary behavior in the prices of cryptocurrencies gives you the benefit of projecting yourself on your investments. This way you can have a clearer idea about what could happen in certain situations and take precautions.
Since its value is not determined by the economy, but by various fluctuating factors. That is why this is a point that we must know and understand to make safer and smarter investments.
How has the evolution of cryptocurrency prices been in recent years?
Taking the most famous cryptocurrency, Bitcoin, as an example, it has a high growth rate. At the time of its creation, the value of this digital asset was practically nil, but this changed over time.
Do you remember Laszlo Hanyecz? In 2010 he bought two pizzas valued at $ 40 at that time with no less than 10,000 BTC. Incredible!
At that time, Bitcoin was trading at less than $ 0.01. But in mid-2016, Bitcoin was already worth $ 430. And it would hit its best price that year in December at nearly $ 1,000.
The following year, he achieved a record high of $ 19,000. What does this phenomenon indicate? Bitcoin is the most traded crypto asset on the market today, but what about the rest of the digital currencies?
When analyzing the total capitalization of the crypto market in 2016 and 2017, it was 16 billion dollars. This amount rose sharply to $ 612 billion, as the price of cryptocurrencies soared to its all-time high.
Only 70 crypto assets in 2016 had capitalizations greater than 1 million dollars, a figure that climbed to 689 cryptocurrencies in 2017. Of course, all have experienced an upward and downward evolution, fall, and recovery.
Ethereum, for its part, has also suffered ups and downs. In 2017 its value was $ 340, reaching $ 1,386 in 2018 and falling the same year to $ 172.
This pattern is repeated over and over again throughout the crypto universe, on each of the existing cryptocurrencies. In addition, the impact generated by COVID-19 has also influenced the crypto market.
The year 2020 began with a spike that peaked in February, but later collapsed in March with a cryptocurrency sell-off. The answer is the uncertainty of the users due to the pandemic, looking for a means of protection.
However, the evolution of the market has been imminent, recovering little by little, providing higher and higher growth.
When is considered the best time to invest in cryptocurrencies?
Cryptocurrencies are an escape from the economic crisis, protecting the investor or trader. They work like very safe assets, despite the risk and volatility, as long as you start by educating yourself.
Now, when to invest in cryptocurrencies? First, it is necessary to study the existing alternatives. Choose an exchange platform well, where you trade your cryptos safely.
Ask about the wallets available to store your digital assets and start buying or exchanging. Remember to inform yourself about the entire Exchange process and trade your cryptos intelligently.
Positive implications of price developments in recent years
The evolution of cryptocurrency prices has created an optimal and favorable environment for negotiations.
The crypto market is dominated by the giant Bitcoin. This, coupled with the exponential growth of other cryptocurrencies, creates an environment of opportunities.
You can make transactions anywhere in the world and without excessive costs. It is a decentralized system marked by increasing user trust.
How to deal with a price hike in the crypto world?
The rise in the prices of cryptocurrencies will be favorable, as long as you consider these useful tips for the evolution of your finances.
Make cryptocurrency loans and charge interest
There are 2 factors to execute this idea: the exchange platform and the cryptocurrency of your choice. You can charge interest of between 5 and 10%. Short-term loans generate higher annual interest rates.
Holding cryptocurrencies and selling them as there are considerable increases
Remember, HODLing means holding your cryptocurrencies and selling them when you see their price rise. This is recommended for new investors who want to maximize their profits.
Practice trading by evaluating different price hike scenarios
Take advantage of the rising season of cryptocurrencies and start generating your income. If you don't know how to trade, it's time to learn, find solid information, and practice without fear. For this, there is nothing better than taking a specialized course in crypto.
If the trend is up, it is never too late to invest
This is part of the evolution of the crypto market; analyze your situation for your benefit. Take the precautions, study the options at hand and invest at the time of the rise.
Accept cryptocurrencies as means of payment in your business
If you have your own business, you can start integrating them into the dynamics as a means of payment. Currently, there are many options available and you will only have to choose which one to use.
Paying for goods and services with cryptocurrencies is a way, in addition to expanding your projects, of improving the commercial crypto environment.
Trading cryptocurrencies is a view to the future since the evolution of their prices has developed a very extensive market. Each cryptocurrency has its characteristics and different ways of obtaining profits.
In the last 5 years, the use of crypto has become widespread, which represents a solid potential to trade whenever you want.
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