Bitcoin Explained 2023

People believe that either price of bitcoin is about to go up or a bitcoin crash is coming?

Now they might have valid reasons behind both opposing views, so lets explore in this video some of the factors behind it.

What is Bitcoin :

Bitcoin as a digital currency has become increasingly popular in recent times, so what is Bitcoin?

It is a decentralized digital currency created in 2009, where transactions are recorded on a public ledger called blockchain.

It operates on a peer-to-peer network, as transactions take place directly between users without any middleman like bank or government.

With a limited supply of only 21 million bitcoins in existence, it can be used to purchase goods and services like we do with fiat currency.

It is one of the many digital currencies that has an early mover advantage and a sort of cult like following, which makes it stand out.

Price:

In the world of bitcoin news, price of this digital asset is one of the most discussed topics.

While some experts believe that bitcoins price will continue to rise, whereas others are betting on a coming bitcoin crash.

Since inception it's price has remained highly volatile where supply demand and speculation has played a huge role like any other currency.

In last one year, BTC has moved from over $64,000 to under $17,000.

Experts who do bitcoin analysis, which is to study its price movements and market trends to predict its future, are very hopeful that it has got what it takes to have a long-term sustainable future.

Crypto News:

As this is an ever evolving technology, therefore people are very curious about the crypto news & newer developments both in blockchain as well as it’s applications.

Apart from bitcoin, Ethereum also called ETH is the second most popular digital currency.

NFTs are latest unique digital assets which can be used to store value of art, music virtual real estate etc.

Surely staying up-to-date for any prospective investor is a must, which can be challenging if you want to have exposure in this evolving digital space.

Only then you can make informed decisions with your hard earned money, right.

How to Buy Bitcoin:

I know buying bitcoins for the first time can be a daunting task where some of the main steps are,

First, set up a bitcoin wallet where you can store your digital assets.

Second, choose a crypto exchange which is like NYSE but for digital assets that has their own fee structure.

Third, create an account with that exchange by completing their paperwork.

Fourth, Fund your account with fiat currency.

Fifth, Buy bitcoins in that funded account and finally transfer those bitcoins that you just bought to your digital wallet for safekeeping.

But keep in mind, buying or selling all digital assets comes with their inherent risks, so take informed decisions.

How to Mine Bitcoin:

People ask how to mine bitcoins, which is simply adding new transactions to Bitcoin blockchain.

It requires significant computational power and electricity, that is why specialized mining computers are required to make the whole operation profitable.

There are many entrepreneurs who are mining all sorts of digital currencies, but usually they prefer to set up shop where electricity costs are low.

That does not mean you and me can’t mine bitcoins on a personal computer or PC, but we may not be as profitable.

Surely, computer with a powerful graphics card and sufficient processing power is the first thing, then you need to have a Bitcoin wallet and finally join a mining pool.

Bitcoin Crash:

It’s price is highly volatile, but a Bitcoin crash refers to a significant drop in it’s price all of sudden.

Here contributing factors could be many like a negative sectoral news or even market manipulation.

Surely it is a decentralized digital currency that has become increasingly popular in recent years. But staying up-to-date with it’s news, basic Bitcoin analysis and Bitcoin’s price predictions is essential for anyone interested in the world of cryptocurrency.

We all remember FTX exchange, the second largest crypto exchange that went under because of a possible fraud.

Here investors lost billions of dollars worth of digital money, as digital wallets on the exchange went to simply zero.

So you need to do your risk assessment and due diligence, as the regulation is still catching up with this fast evolving technology.

Disclaimer :

As a disclaimer, I’m not a financial advisor please consult one before investing based on your personal financial situation.

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