The cryptocurrency market has been rather underperforming since the incredible bull run in 2017, but it’s not reason enough to feel discouraged. According to many investment experts, now might be the perfect time to buy more cryptocurrencies.
In fact, even though the market is a bit slow, both private and institutional investors are rushing to invest in cryptos, and so should you.
In the following post, we’ve collected seven reasons as to why experts are convinced that it’s not too late to invest in cryptocurrencies. So let’s get to it.
They’re Available 24/7 and They Are Here to Stay
Firstly, cryptocurrencies, unlike all other securities and assets, are available 24 hours a day, 7 days a week, which creates more opportunities to make a profit than traditional investments. In today’s day and age, it’s all about availability, and nothing is more available than cryptocurrencies.
Just make sure you spend the time needed to analyze the assets you’re buying and make sure you have long-term plans for your investments. Or look into how you can swing and day trading digital currencies. Bullmarketz.com’s trading guide is, for example, a great resource for beginners.
There Is a Financial Bear Market Looming
We all know that the global stock market is at an all-time high and, in many ways, financial stability is what 2019 will be remembered for. However, experts are also agreeing that we are about to hit a ceiling and that an upcoming bear market is looming.
Therefore, it’s recommended that investors take their profits and place them elsewhere, for example, in gold or cryptocurrencies. Just remember to do this before it’s too late.
Also, with the recent increasing tension in the Middle East, we can expect the bear market to come sooner rather than later.
The Market Cap is Low At the Moment
Not only can we expect that more traditional markets such as stocks and commodities, will hit a ceiling soon, but cryptocurrencies have been in a bear market for quite some time. In turn, this means that you can get a great deal if you invest now instead of later and you should really make use of this opportunity.
The golden rule of investments is to buy low and sell high and now is, most likely, the perfect time to buy cryptocurrencies at a low.
Increased Regulation Will Only Help Cryptocurrencies
There has been talk about regulation in the cryptocurrency sphere for many years and during the past 12 months, we have seen a lot happen in that field. With that said, there is even more regulation to be expected and it will only do the market well.
Also, since the SEC has made an official statement saying that cryptocurrencies are not securities, it’s now more clear than ever what type of investment this really is. And that goes for both private and institutional investors.
The Market’s Potential is Still Very Much Real
Let’s not forget the impact that cryptocurrencies and blockchain technology have had over the last couple of years, even though their value has been in a bear market.
In fact, we can all agree that cryptocurrencies have a huge potential to shape the future of our world and that will, without a doubt, help the market and its value to increase.
Diversification is Important at All Costs
This reason goes hand in hand with some of the others we’ve mentioned, especially if you agree that the stock market might be headed for a bear market in the near future.
You see, it’s always good to diversify your portfolio and the best way to do so is to diversify with markets and assets that are not closely connected, meaning cryptocurrencies is the optimal diversification for a stock or commodity portfolio.
Institutional Investments Will Only Grown Bigger
The combination of stricter regulation and increased potential to use cryptocurrencies and blockchain on a large scale will increase the potential value for institutional investors. We’ve already seen some of this happen in the past 12 months with big banks and corporations entering the market, and we can expect more of that to happen during 2020.
Naturally, when this happens, cryptocurrencies will experience and incredible upswing that could take your investments to the next level.