Bitcoin and its peers had an incredible run starting in the middle of 2020 and went through the spring of 2021. In May, due to various factors, the crypto market came to a halt, and Bitcoin and its peers encounter a great loss of value.
However, the price of Bitcoin has started gaining momentum after dropping below $30, 000 last month. Its price is currently below $46, 000. This market seems to be poised to be violent turbulent and quite volatile.
Investors looking to invest in cryptocurrencies should get acquitted with volatility. Canadian looking to join this market should thus be well aware of the risks. Here are signs that Bitcoin should be bullish in the next stage.
Bitcoin Gaining Momentum
The precious metal lost their value in the first half of 2020, and digital currencies started to record monetary gain in the broader market. Institutional investors joined the frenzy, and Bitcoin and its peers had incredible endorsement over the past year.
The Future of Cryptocurrencies
The crackdown of crypto infrastructure is bound to continue increasing as Bitcoin and its peers become more mainstream. For instance, the United States policymakers are planning to establish regulation on crypto infrastructure, a deal which seems to be closing soon. Despite all, Bitcoin is poised for a greater run yet if it can avoid negative publicity.
How to Invest in Bitcoin
For Canadian investors looking to get exposure to Bitcoin Purpose Bitcoin ETF (TSX: BTCC.B) is the best platform to use. The purpose is the first ETF to launch in Canada. Though its shares had previously dropped by over 15 percent, it has since rallied up by 39 percent month over month.
Cryptocurrencies attract the attention of investors, especially at this time the risk of delta variant continues to threaten the economic recovery. It will be an alternative asset as inflation rates continue to increase in Canada and the United States. It is risky to invest in Bitcoin, but investors looking for big rewards may still seek exposure to cryptocurrencies today.