Amid meme-stock mania and a tech-startup-induced frenzy, Bitcoin hit new highs in late 2021, topping out at just over $68,000 per coin. Since then, the price plummeted almost 50% in volatile trading to start the new year.
According to Adam Smith, author of The Crypto Adviser, “Crypto has been one of the best performing asset classes of the past decade, despite a regular flow of negative press coverage that stems from a lack of understanding of crypto and blockchain technology.”
Bitcoin has even gained adoption as a legal currency. “Last year, El Salvador decided to make Bitcoin legal tender. With other countries like Paraguay and Turkey looking to do the same, the future is bright for Bitcoin,” noted Stefan Ateljevic, an entrepreneur in the crypto space.
Bitcoin has been compared to investing in the Internet in its early days, and investors should have a similar long-term outlook. “Investing in Bitcoin is the equivalent of investing in the Internet in the mid-90s,” said Michael Denny, CIO of The Investment Nerd.
If you’re prepared to hold on for the long term, Bitcoin has shown itself to be a strong investment thus far. According to Kyle Asman, co-founder of BX3 Capital, a New York-based investment bank, “We are still in the early inning of the rally in Bitcoin as the metaverse and digital world continue their growth.