When is the best time to buy Bitcoin?

In 2010, Laszlo Hanyecz, a programmer from Florida, persuaded someone to accept 10,000 bitcoins he mined with his computer in exchange for two pizzas. At that time, when Bitcoin was just born, 10,000 BTC was worth only $25. Now, according to the exchange rate of the exchange, it would cost about $11 million to eat two pizzas.

Bitcoin had little value at the time, so it was cool to be able to exchange it for pizza.

Hanyecz told The New York Times:

No one could have imagined it would grow to what it is today.

Bitcoin’s Unprecedented Success

Let's go back to 2017. Time has changed Bitcoin, and this change is so great that even large banks, venture capitalists and forward-thinking people have become more and more interested in this currency. When the average daily confirmation volume of Bitcoin transactions did not reach 300,000, there were already 150,000 companies around the world accepting Bitcoin payments.

Unlike 2010, the current price of Bitcoin is around $1,100, having reached a peak of $1,300 this month. The fate of the Bitcoin ETF in the near future will be a decisive factor in the rise in the price of the currency (the SEC has already rejected the application for a Bitcoin ETF).

So, given the digital currency’s six-year steady rise in price, is now the right time to buy Bitcoin?

Is there no more opportunity to make big money with Bitcoin?

An article on the Motley Fool website states:

The days of making big money with Bitcoin are over, and investment risks remain high.

Although some people may disagree with this view, there is some truth to what this article says.

Judging from the current price of Bitcoin, the investment threshold of this currency is getting higher and higher. Not only that, the price volatility of the currency is still very high. The bankruptcy of Mt. Gox in 2013 and the Chinese government's investigation of exchanges in January this year have caused the price of the currency to plunge. If the price of Bitcoin really falls, no central bank of any country will lend a hand to it.

However, although the investment threshold of Bitcoin is high, now is the best time (or the last chance) to buy this currency.

Portfolio diversification is key

Analyst Adam Davies recently told CNBC that the price of Bitcoin could reach $3,000 by the end of this year, a growth rate of 150%. In addition, due to the limited supply of Bitcoin, its price will only rise over time.

David Motta, a corporate financial advisor and investor, said he believes bitcoin prices will continue to rise.

However, I think it is wise to invest $10,000 in something that you can control. For example, you can invest $0.4 and get a return of $1. You can't use all $10,000 to buy Bitcoin and wait for the price to double.

He added that people should diversify their portfolios, saying that a diversified portfolio reduces risk and has a higher chance of making big money in the long run.

Diversification is key to building a portfolio, and buying some Bitcoin can help. So if you buy Bitcoin now, this asset will perform better and better over time. But like all investments, the price of the currency will always go up and down.