Why Bitcoin? 1. A Consistent Performer (Even During Slowdowns)

Consider the double whammy of the COVID-19 pandemic and rising inflation and it’s perhaps safe to say that Bitcoin has become a far more attractive option for many savvy investors than it was at any point in the past.

Case in point: its total market capitalization is now worth nearly $200 billion (lofty for an asset that’s only 10 years old) and each unit of BTC is currently trading in the upper-$12,000s.

While the traditional financial market is still trying to get its footing back, Bitcoin has left the March doldrums behind and has behaved more maturely over the past few months. In fact, data from CoinMarketCap shows that it has continually traded above the $10,000 mark, steadily, since July 2020.

Bitcoin proponents argue that these newly emerging trends indicate a fast-maturing asset that is no-longer as speculation-driven as it was in the past.

Moreover, the more optimistic pundits argue that the asset’s stock-to-flow (S2F) ratio is a clear indication of a price surge in the years to come. For those new to S2F, the model is used to assess the current stock of a commodity relative to the flow of its new production.

Beyond its attraction as an investment vehicle, Bitcoin is also making waves as a payment method. Its utility has surged significantly, with several top companies and stores now accepting the asset for payments. Digital payments are expected to increase as the world recovers from the coronavirus. By offering a quicker and more reliable payment method (especially compared to legacy payment processors), Bitcoin provides a comparative advantage.

Similar to Notcoin - TapSwap on Solana Airdrops In 2024

origin »

196 +