Should you Invest in Expensive Cryptocurrency? – 2024 Guide

The crisis is also a chance, reads a phrase that we have heard countless times in the past few months, during which the parody of the coronavirus dictates almost all social flows around the planet. When it comes to finances, the basic precondition for turning the current corona crisis into a chance to profit or at least minimize the loss is to have the material base to prove the accuracy of the said phrase.

Those who meet this prerequisite only need to listen carefully to the market, recall previous crisis experiences, and invest their money wisely, and, at least in theory, success will not be lacking. The concept of cryptocurrency has firmly entered the lives of people, even those far removed from mining and the Internet sphere in general.

img source:

What is Bitcoin, Ethereum, and the like is known even in small villages. At the same time, step by step, inexperienced people are learning to invest with digital money, moreover, it is now already possible to pay for real goods with cryptocurrencies. Although not everyone has studied the features of the digital market, just wanting to try to invest money. But not only such people will be interested in the cryptocurrency forecast for 2024 – but experienced investors will also want to know different versions of the price of major virtual coins. As digital money becomes more popular, but there are also significantly more people interested in investing.

However, a huge number of citizens were involved in the process of “games” with cryptocurrencies, but after the fall in the price of bitcoin, many people lost faith in such money. This only affected those who did not understand the features of this type of investment, including the existing high risk. They felt that only rising cryptocurrencies had a noticeable price jump. As a result, when the exchange rate fell, they quickly began selling existing coins, causing a sharper decline in value. Some of these people became frustrated with crypto-investments, while others began to study in detail the process of investing in speculative assets. Such people are looking for the most promising cryptocurrencies, learning to independently predict the behavior of their exchange rate. They are not limited to large and well-known coins, knowing that the investment portfolio must be divided even within the same group. In general, profitable investments with digital money are possible. Even despite the fall of Bitcoin, it remains in the lead.

img source:

To find out how to buy a bitcoin, click here. So far, Ethereum is seriously competing with him, although there will soon be significantly more candidates for leadership. Now the situation has not changed, these two cryptocurrencies are traditionally included in the number of investments not only beginners but also experienced players. Of course, there are also many other, smaller cryptocurrencies worth mentioning – Litecoin, Bitcoin Cash, and many others. There is an old saying that says that every product has its costumer, which is also confirmed in this case, too.

When potential investors study the cryptocurrency forecast for 2024, they are certainly most interested in the two largest currencies. The development of the digital world implies increased competition among cryptocurrencies, which can have the opposite effect. The same bitcoin risks or becomes indecently expensive, or loses its leading position, gradually depreciates and leaves ubiquitous turnover. Just as there are different currencies (EUR, USD, CHF, etc.) in the traditional money market, there are many types of cryptocurrencies when investing in digital money, and the choice of one of them depends on the specific moment when the investor will start the investment process. Investors who started investing in Bitcoin a few years ago, as the first and most well-known cryptocurrency, have achieved significant financial benefits compared to investors who later joined the process. Currently, there are “new” cryptocurrencies on the market that record significant efficiency, which means that Bitcoin has become a ‘mainstream’ cryptocurrency.

img source:

A similar situation will be expected with other presented cryptocurrencies, which after large initial returns will bring their owners a “stable” return on investment based on the growth of the price of a particular cryptocurrency. Such trends, the emergence of new cryptocurrencies with a significant initial return on investment until their stabilization, will be until an appropriate market mechanism is established in the market that will (not) enable the realization of extra profits, ie. until there is some market saturation. As these are still relatively “new” forms of investment, this process will take some time. But that does not mean that after the establishment of a stable market mechanism for this type of investment, it will be possible to expect that cryptocurrencies will bring their owner a “regular” profit, ie. return on investment. Cryptocurrency news now doesn’t happen without mentioning the origins of digital money. Many analysts express their opinion on the Bitcoin exchange rate. Most economists agree that BTC will continue to run short, not giving preference to other coins. Slowly, this currency is moving from private hands to the company’s assets, which it can’t, but only return a good investment tool.

Final thoughts

img source:

There should be no doubt that cryptocurrencies are the currencies of the future, but we should also not forget that classic currencies will be traded and earned for a long time to come. Thinking about investing in cryptocurrencies can be in the way that investments in cryptocurrencies are viewed more like a setback of certain amounts for future needs, and less as instant earnings or extra profits. Extra profit also carries higher risks, so investors who are more prone to risk will opt for a riskier cryptocurrency compared to Bitcoin, which currently sovereignly “rules” the digital money market. Investing in cryptocurrencies, regardless of short-term financial benefits, is essentially investing in the future.

The future in which digital money will gradually take its place in the money market we knew in the past. Digital money exchanges operate on the same principles as all stock exchanges (markets), ie on the law of supply and demand. Although there are opinions that there are important differences between the classical monetary system and cryptocurrencies, the fact that Bitcoin was created as a digital version of gold as money speaks in favor of the thesis that cryptocurrencies are just another surrogate of money such as e.g. check, bill of exchange, bond.