What are cryptocurrencies?
Cryptocurrencies or cryptocurrencies are currencies that have no presence in reality but exclusively in the digital world. However, on the web, you can trade with them in the same way as with national companies that are supported by central banks regal assets.
What is the most famous?
There are about four thousand different brands flying over the network, like the ones we mentioned at the beginning. Of all of them, one currency reigns above the others: bitcoin. Created in 2009 with a value less than the dollar, a decade later it combed all nine and has had historical peaks. With a short but full path of avatars, its profitability, according to some experts, will continue to rise during the next months of this year 2020.
What is it for?
In addition to investing (the topic that concerns us here), we must not forget that, thanks to its greater popularity, bitcoin is a currency that can also be used as a payment for goods and services between individuals. Although it still has a low degree of acceptance, its usability has allowed some companies to begin integrating it into their operations.
How can I invest in bitcoins?
The first thing is to get hold of a portfolio of bitcoins. For this, you can go to exchange houses, although normally many users choose to use applications or hardwares. Once you have that purse, which would be the equivalent of opening a bank account, the next step is to fill it. For this, you can change currencies through card payments or transfer, although we can also find change to bitcoins at ATM machines located in large cities or use our PayPal funds. Only in this way can we begin to trade these currencies with other users.
How can I know when is the best time to invest?
You have to plan well. The volatility to which these types of currencies are usually subject advises to resort to the help of professionals. There are lists of brokers in terms of reliability or success and each offers different products depending on the type of investment you want to make, with different minimum deposits. Thus, trading tools such as financial robots are available to the user, capable of handling a huge number of data and calculating possible scenarios at high speed. Finally, a similar concept should be outlined, that of forex signals: either manually or based on complex automated algorithms, the companies that supply these signals are able to design the most profitable strategies to bet on a specific moment in the market.
What advantages and risks do they present?
All investment involves risk and that is something that must be taken into account. But, in the case of bitcoin, there are some distinctive elements. Advantages include freedom to pay, low rates, and independence. Among the difficulties, its development still to be completed and its modest implementation against traditional currencies.