The cryptocurrency has taken the world by storm, with the total value of all these coins and tokens approaching the massive amount of two trillion dollars, everyone wants to make a lot of money while sitting in their favorite chair.
Taking this in mind, here are some reasons I came up with which I believe are important and which will help you understand why crypto trading is superior to other types of trading.
Let’s begin by
Promise against fiat
So, the most important thing that makes it stand out from other assets is the idea of decentralization and limited supply.
Just look around you. The inflation rate is skyrocketing. There is an unprecedented price rise in oil and other sectors, and there is a lot going on that is changing the world order. And at this point, if we have a tool that is not affected or manipulated to the same extent by changing interest rates and increased money printing, why can't we use it?
Consider Bitcoin, for example. It is designed in such a way that its supply will never exceed 21 million, making it an excellent store of value asset that is resistant to inflation. And it is only one of many.
The second most important reason is that cryptocurrencies' returns are significantly higher than other trading assets. I mean, it's self-evident, isn't it? Gains of 10x, 20x, and 100x are quite common, especially in such a short period of time. Plus, since the inception of cryptocurrencies, many coins have multiplied their value several times.
These gains are the primary reason why people are becoming interested in crypto, which makes it better in ROI as compared to other assets. But remember, trading in crypto also carries significant risk.
The third reason is the increasing number of coins.
Do you remember how many coins were available on the market when you first heard about Bitcoin? There were only a few. But if you look around, there are currently over 15 thousand coins available in the crypto market. Each one attempts to solve a different problem, and each is created in a unique manner.
And with such a plethora of options, people who use fundamental analysis in addition to technical analysis can generate a great profit from this market, as compared to other assets.
Trade at your own time
The fourth is uptime.
When it comes to other trading options, the majority of them are not tradable on weekends, and some of them are only available during the daytime. On the other hand, crypto trading is available 24 hours a day, seven days a week without any downtime.
Now, why should a trader miss two trading days a week just because it's the weekend? They shouldn’t. The always-uptime quality of cryptocurrency trading makes it an excellent choice for all those traders out there, especially for those who trade part-time. They can be more involved in trading because the markets are open and available to trade at all times.
People are noticing
The fifth item on my list is its adoption rate.
Let me tell you a fun fact: in the latest report from crypto.com, global crypto users are expected to reach 1 billion by December 2022. Yes! We're talking about ten zeros after one here. Do you realize that the same Bitcoin that was used to buy two pizzas for 10,000 BTC in 2010 has now increased in value by more than 54000% and it is currently trending at around 40k per BTC?
This, itself, is a success story.
And it only happened because people all over the world are interested in and actively trading in this sector. Now you do the math, whether it is better than other assets or not.
At the end of the day, I just want to say that the more you learn about crypto trading and the world of cryptocurrency, the more eager you will be to make your first cryptocurrency trade. And, as time goes on, it will become more common and mainstream.
Of course, no risk can be completely eliminated, but you can reduce your risk by conducting your own research and investing in crypto without FOMO.
With that note, I will see you in the next blog.