If you’ve decided to finally start investing in cryptocurrency, you’re likely confused about how to get started.
There are now so many cryptocurrencies to choose from and with constant price fluctuations, even seasoned investors are confused as to where the market is going.
Whether you want to purchase cryptocurrency or engage in cryptocurrency trading, you must know the cryptocurrency trends to look out for next year.
Here is the cryptocurrency for beginners guide for anyone wondering about the trends next year.
Altcoins are the catch-all term for all cryptocurrencies that aren’t Bitcoin. These are often controversial. Some cryptocurrency investors find them useful, while others consider them to be scams.
All we can expect is that next year these altcoins will continue to rise in popularity. You have to remember that some serve a functional purpose, others are a form of currency, and others are considered investment assets.
You have to determine your goals when you decide to buy Shiba Inu coin or any other altcoin.
Without a doubt, we will continue to see the rise of Bitcoin next year. With Bitcoin, more people will see it as an alternative and preferred form of currency.
When Bitcoin first came out, many investors saw it as a scheme to buy a digital asset and then sell it for a higher price. But certainly next year, more people will see it as a form of money.
We will see more businesses accept Bitcoin. You might even see companies only accept Bitcoin and physical cash. As the threat of CBDCs is becoming popular across the world, many will see Bitcoin as an option to opt out of this system.
While this is a hard one to predict, if Bitcoin continues to grow in popularity, it’s likely that it won’t be best to trade crypto next year.
This is because most people will want to hold Bitcoin. This means that they’ll want to accumulate as much as possible. This is the digital equivalent of hoarding gold and silver during an inflationary crisis.
Your focus should be on building your portfolio rather than constant trading. While cryptocurrency trading will always be there, next year might not be promising for building wealth.
As Bitcoin becomes more popular and threatens central banks, we expect to see more regulation of Bitcoin.
You want to make sure you remain compliant at all times. You can expect increased taxation toward Bitcoin, especially in Western countries.
Now you know the cryptocurrency trends that might come about next year. These can help you make decisions when deciding what to invest in.
Altcoins will continue to become popular, but you must be vigilant in determining the best options for your needs.
Bitcoin will continue to become popular and more people will accumulate Bitcoin as an alternate form of currency. However, this will bring increased regulation toward Bitcoin as well. You can also expect cryptocurrency trading to slow down.
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