(ORDO NEWS) — It is almost impossible to make a reliable analysis and forecast about the rate of bitcoin or any other cryptocurrency. Because the price of bitcoin is influenced by many factors independent of the market. Which ones are key?
The first and main one is the redundancy of the money supply of the US dollar. That is, bitcoin is growing when dollars, in fact, have nowhere to invest. The more dollars are printed and the more they are in circulation, the more the value of bitcoin rises.
Another factor is generational change. People under the age of 25-30 are more willing to invest in bitcoin. Thus, they transfer money into this currency and increase capitalization. As a result, the price of bitcoin is also growing. The third factor is negative or positive developments regarding the Bitcoin market itself.
However, it is impossible to make any fundamental analysis at the rate of cryptocurrencies, and bitcoin in particular. Therefore, on bitcoin, you can both win very well and lose very much. Accordingly, such a currency can be attributed to a “gaming”, gaming financial asset, given that this is a very high-risk investment. You need to invest in such instruments no more than five percent of your capital. If they get lost, it will be a small loss. And if it leads to a win, then the capital, relatively speaking, can grow three times. I believe that only such an investment strategy is possible in this segment.
There are alternatives in the form of securities – stocks and bonds. Promotions also have an element of “casino”. Stocks represent specific companies, and for these specific companies you can see the financial condition, forecasts, calculate the dynamics and invest accordingly. However, the share of investments in shares should not exceed 30 percent of the capital.
With investments in real estate now is not entirely clear situation. Real estate is greatly reduced in value. There is a very strong pressure on this asset, so now, I think, it is worth the wait and then it will be possible to invest at the minimum price. The main asset to invest in is bonds. There are first, second, third levels in bonds.
The first – the most reliable – government bonds, for which there are practically no risks. The second level – bonds of large Russian companies, the third – high-yield bonds with increased risk. Accordingly, I would recommend dividing the remaining investment amount into three levels depending on risk appetite.
There is another alternative as well. The digital currency also serves as a tool for accumulating excess money supply. Accordingly, the prospects for national digital currencies are very large, because all the advantages of ease of settlement, their speed, the advantages of the blockchain in this currency are preserved, and the disadvantage in the form of risk and uncertainty will go away. However, one should not confuse the digital ruble, backed by Russian oil products, energy resources, goods produced in Russia, and conditional ethereum, dogecoin, bitcoin and other currencies.
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