Why is cryptocurrency bullish in the long-term

[Liamttw]

Buffett said, never depend on single income,make investment to create a second source.
Investment is very important, and now more and more young people like to invest in cryptocurrency. Why are they so optimistic about the crypto market and how do they analyze and profit from it?

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[mk4]

When we're talking about the huge majority, it's mostly because cryptocurrencies are sort of the "thing" right now. Funny how we're talking about a second source of income, because most of these people are going to end up losing money and getting totally burned by "investing"(a.k.a. gambling) in obvious shitcoins.

[jackg]

Holding is the best way to profit from being in crypto if you can't trade. Even holding something that's backed like dai and exchanging it for cdai means you're making a few % passively without trusting a third party much (auditable smart contracts reduce the risk of losses).

A lot of stocks aren't moving anywhere in price too and some people are nervous of having a bank account and stock investments (even a pension can be considered risky these days).

I think there's also the fees to compare when talking about crypto too. A €60 fee is very low for an international transfer and is what you can often expect to pay if dealing with banks. These transactions are also normally limited by the slowest bank so can take 3-14 days for money to be received which means crypto is the better choice in this case too - even if it's a stablecoin.

A lot of younger people in crypto too, mightve bought in at <$1000, even $10000 is cheap for bitcoin now and those people will likely be quite relaxed now - along with those people who bought eth for a cent and who mined some cryptos on their cpus.

[TheUltraElite]

Nectar attracts bees. Thats the point here. People want to get rich and make money by putting in least efforts. That is why they get FOMOed and start buying things that are high.

I am not trying to dissuade anyone willing to buy bitcoin, but they see the profits that they could make if they bought bitcoin a few years back.

Why are they so optimistic about the crypto market

I cant say from their perspective, but hype is defenitely a part of it. Maybe some of them actually understand how bitcoin works and they believe this to be having an important utility in future.

and how do they analyze and profit from it?

I assume you are asking as a newbie. So as advice to newbies, stop listening to youtube videos about crypto. Learn how it works and see its use-fullness, then go for analyzing charts. If you have a background of stocks you will not find it difficult at all.

About making profits, spot trading is what I suggest to all newbies but point of entry should be low. That you have to decide on your own and defenitely is not 40k USD - that would be a loss at this time. Only go for margin trading if you are well-versed in it, otherwise not.

[dota2bestplayer]

As the most popular investment field in the Internet field, cryptocurrency is well-loved by the public for its safety, rapidity, and prevention of inflation. And cryptocurrency has increased rapidly in recent years, far exceeding investment projects in other fields. In the eyes of the public, you only need to hold cryptocurrency for a long time to get very considerable income.

[Felimon]

In my opinion, the field of cryptocurrency investment is now mostly loved and known by many people. Like today's young people, they are curious and they like venture capital. But before investing in any coin you need to learn more about chart analysis as well as the future background and long-term direction of the project. but if you invest in shitcoins it's just a game called gambling and your risk of losing everything will be very high if you don't learn about this cryptocurrency market.

[Kiley33]

In the long run, the volatility of cryptocurrency reflects the recognition of consensus, a game between longs and shorts. When most people reach a consensus and everyone gradually realizes its value, the volatility will naturally stabilize. The volatility of Bitcoin, a cryptocurrency, will become smaller and smaller. Now some countries have announced that Bitcoin is legal tender, and Bitcoin has risen a bit. In the future, cryptocurrencies will definitely get better and better.

[Henrobakkara]

Buffett said, never depend on single income,make investment to create a second source.
Investment is very important, and now more and more young people like to invest in cryptocurrency. Why are they so optimistic about the crypto market and how do they analyze and profit from it?

It is obvious that in the past half-decade that investing in cryptocurrencies has begun to bring big profits for its investors hence you see that most of the younger generations today and even the older generations and institutions have decided to set up crypto investment as another source of investment for income generation. History they say is the best teacher and from that, some cryptocurrencies have proven to be very profitable as part of your Hodlings for the long term, so you would find investors investing in those crypto coins/tokens that have that capability for a long time HODL/Profits gains.   

[Wexnident]

Well, it is loved by the people right now and I reckon it wouldn't really die off for a few more years. We would actually see it stabilizing into a steady price once the supply reaches close to its peak since that simply means supply increase would now be locked. Tbf though, most people invest in Bitcoin due to its past, its history. Starting from 0 to a price of 5 digits? Who wouldn't think that it's a way for an easy profit? Well, it'd be those that haven't exactly entered/tried trading. Some people though do believe that crypto has the potential to reach higher values, and it's due to Bitcoin being, well, Bitcoin.

[noorman0]

-snip-
... and now more and more young people like to invest in cryptocurrency. Why are they so optimistic about the crypto market and how do they analyze and profit from it?

Young people are very vulnerable to influence. Looking back on the bullish trend of late 2017 where cryptocurrencies were mainstream on every news and mass media site, this is history repeating itself.
They know crypto because of the portfolio posts of other young traders on social media where trading has become a trend these days. That is the reason for their interest in the crypto market, which considers cryptocurrencies only speculative thing that can make them rich overnight as they have seen.

Of course, this understanding slightly deviates from the actual intent and purpose of crypto which can prevent them from learning further, especially the mechanism and security if they fail to invest at first.

[Reid]

But the cryptocurrencies we are talking about here are the memecoins right?
They ain't bullish in long term but worse they can be scam attempts that sought differently when they found the public's reactions.
Still, you can't deny the fact that they can exit anytime they want unlike with Bitcoin where it's the people who support it that needs to get out before the value goes down which is doubtful to happen unless another one will be better than it.
There are a few but it's been always Bitcoin on the frontlines. Why?  

[BrewMaster]

people think it is bullish because of two things.

first is that bitcoin has been going up and also has a very bright future so it has created this illusion that if anything else including shitcoins are categorized under the same thing as bitcoin (that is being a cryptocurrency) they should also go up the way bitcoin did.

and second is that there is a lot of fake promise to these newbies that the shitcoins they are buying is guaranteed to go up. so they always fall for the lie and buy into the hype.

suffice it to say that this is why there are so many people with a huge amount of money lost that they will never get back just because the shitcoins they bought were dumped in the long run.

[Oceat]

In the long run, the volatility of cryptocurrency reflects the recognition of consensus, a game between longs and shorts. When most people reach a consensus and everyone gradually realizes its value, the volatility will naturally stabilize. The volatility of Bitcoin, a cryptocurrency, will become smaller and smaller. Now some countries have announced that Bitcoin is legal tender, and Bitcoin has risen a bit. In the future, cryptocurrencies will definitely get better and better.

I still have a doubt if everyone would be pleased or even realize that the value is increasing since most of them use Bitcoin just like a normal currency making transactions in and out plus those weak-hands that won't last for too long if there's a fud circulating. It's just few people can make profit with this market and the rest is gambling with either altcoins or Bitcoin.

But it's always a good choice to diversify your money or never put your all capital in a single investment. That's why there are good altcoins to invest if you want to divide most of your money in order to minimize losses.

[Lucius]

Why are they so optimistic about the crypto market and how do they analyze and profit from it?

They are optimistic because they have read some facts from the past, and throughout its past Bitcoin has brought people a profit. If I heard from some that it used to be possible to buy 100 BTC for less than $100, then I bought 1 BTC for $200 and turned them into $20 000, then sold that BTC and bought 6 BTC for the same money. Today, my $200 investment is worth more than $200 000 - and these are stories that attract people to invest, although the past is never a guarantee that the same will happen in the future.

The key is to never invest what you can't afford to lose, and then you can sleep and live with a clear conscience no matter what happens. Being optimistic and being reasonable are two different things, and most people do pretty stupid things that they most regret later.

I think people are bullish towards crypto because for some it has become the only hope that they will change something in their lives - and it is better to live in hope than in despair.

[Hispo]

I personally feel bullish because:

• It has the possibility to separate money from state.
• Can't be sensored
• Growing innovation
• Limited supply in many cases
• Allow people to control their money
• ... So changing the way we see money

 

[pinggoki]

Buffett said, never depend on single income,make investment to create a second source.
Investment is very important, and now more and more young people like to invest in cryptocurrency. Why are they so optimistic about the crypto market and how do they analyze and profit from it?

Indeed, very on point! Don't be contented on having a single income always think a way on how you will be able to double your income by just for example having an investment for some companies by buying some stocks or shares on them in order to have an investment in the near future. Contentment is not a human habit so you must need to work hard in order for you to be successful in life.

[Hydrogen]

Why are they so optimistic about the crypto market and how do they analyze and profit from it?

Pre regulation ICOs offered accredited investment opportunities to low bracket earners who are normally barred by law from participating. I doubt anyone would claim ICOs were free from risk or danger. But that level of opportunity isn't easy to find in traditional finance.

Past eras of history have seen opportunities explode in the form of gold rushes and the silicon valley dot com bubble. Opportunities produce excitement. Its very easy to make money in a bull market like the one crypto enjoyed 2020/2021. Some crypto like bitcoin are considered inflation protected assets which further increases their value during times of inflation and potential recession.

There are a few I've seen who are trying literally every crypto opportunity they can get their hands on, while blogging about the experience. People do it because, it works. They can witness firsthand the time and energy invested in crypto being transformed into financial rewards. The methods differ and don't necessarily repeat. But the end result remains the same.

[Fortify]

Buffett said, never depend on single income,make investment to create a second source.
Investment is very important, and now more and more young people like to invest in cryptocurrency. Why are they so optimistic about the crypto market and how do they analyze and profit from it?

Buffett was never talking about Bitcoin or cryptocurrency when he made such a statement. He is actively against the whole idea of it and warns people to avoid it. Whether he is correct to make such a statement, only the future and time will be able to tell. Some people have been big winners in crypto and some have been big losers, like many investments this is high risk. When Buffett said that he was talking about investing in company shares, businesses that make a profit each year and return it to their owners (shareholders) every year either through dividends or re-investing it wisely. That is what he means by having a "stream of income" and obviously the risk falls if you start to buy into high quality companies in many different fields. Compounding money is a brilliant way to get rich.

[Leviathan.007]

Generally, because of the inflection rate all over the world saving any kind of assets such as gold and cryptocurrencies can be profitable if you are patient enough to don't do any panic sell. In the other hand, the market of cryptocurrencies is moving super fast during the short term and this can make some people act emotional and do panic sell and buy at high prices that's why many people will lose some money if they do invest in the short term. Otherwise, due to the huge demand between investors and the evolution of financial systems, this can be bullish and profitable for long-term investors.

[iv4n]

...

• ... So changing the way we see money

...

I think this should be the first on the list! Before everything else, crypto is teaching us about something new! How to see the money and economy from a different angle! How many people knew about decentralized platforms before crypto?!
Think about how long it takes to move money from one part of the world to another?! With crypto, the entire world is connected, and transactions are almost instant! Should we mention the cost of moving money and crypto from one part of the world to another!?
Crypto is a brilliant invention because for the first time in human history we can have a free market, open for all!!! And as people are learning more about the crypto, decentralized economy, how crypto works, and what crypto can do, they are joining and the crypto world is becoming bigger... every day/month/year! And it's like a fact!