Bitcoin and its capabilities in 2021

With the passage of time and rapidly growing earning opportunities, many people are trying to earn with Bitcoin. For a long time, this was a hot topic that could be seen everywhere on the Internet.

It is very easy to understand the real concept of Bitcoin. This is a computer file stored in the digital wallet application. Bitcoins can be sent to another person using your digital wallet and vice versa (another person can send Bitcoins to your wallet).

This is not a physical asset, so don’t focus on the images displayed on websites, as they are just a hypothetical representation of what a digital currency might look like. You can also buy Bitcoin and hold it until its price rises.

All transactions in BTC are recorded on a public list known as the Blockchain. It is a decentralized technology that facilitates the management and recording of transactions. However, cryptocurrency is a form of payment that uses blockchain technology.

Cryptocurrency is mainly used for the exchange of online goods and services that are not controlled by one specific organization or government agency. Instead, it is managed by nodes scattered around the world. In addition, this digital currency is protected by cryptography, which disappoints hackers, since it is impossible to forge a cryptocurrency.

There may be 21 million BTC in the blockchain, which can be divided into smaller units. The smallest unit of Bitcoin, also called Satoshi, is estimated at 0.00000001.

Which Cryptocurrency is Winning the Battle

In total, more than 5,000 cryptocurrencies are traded with a total market capitalization of more than $2 trillion. However, the three most powerful cryptocurrencies include:

• Bitcoin, with a market capitalization of $885,810,455,563
• Ethereum, with a market capitalization of $383,152,845,717
• Binance coins, with a market capitalization of $71,342,572,808

Now that you have learned that Bitcoin is the grandfather of all cryptocurrencies. Moreover, it was the first cryptocurrency introduced on the market. After its appearance, other cryptocurrencies, such as DEL, Ripple (XRP), Litecoin, Bitcoin Cash, EOS, Chainlink, etc., attracted attention. Another reason for the worldwide recognition of Bitcoin is that many people have earned a lot of money with it, and have become obscenely rich. Thus, he continued to receive worldwide recognition.

The History of Bitcoin

Bitcoin was the first cryptocurrency introduced in 2009 by Satoshi Nakamoto. However, at the time of its appearance, no one knew or even heard the term “cryptocurrency”.

According to Coinmarketrate.com , until 2013, BTC were being sold for no more than $10 apiece. However, soon after 2013, its cost exceeded $200. Well, after 2015, the value of Bitcoins has increased immensely. In 2017, it exceeded the $1,000.

At the beginning of 2018, the asset price increased to about $10,000. However, soon, after a few months, it fell to almost $6,000. Many assumptions were made to clarify what caused the collapse.

The current price of Bitcoin in 2021 is $47,179. Yes, you heard right!

The reasons for its increase may vary depending on external market factors and other variables. Over the past few years, many cryptocurrencies have appeared, but investing in Bitcoin has turned out to be one of the best. This increased wealth, and turned many people into millionaires.

How to use the features of BTC

Mining

This is one of the best ways to profit with Bitcoin. You can get new coins by solving cryptographic puzzles and adding new blocks to the BTC block chain network.

It includes 2 types of mining:

Personal mining – this type of mining is performed individually. Since Bitcoin is the subject of mass success, it is considered one of the most difficult cryptocurrencies for mining. The supply of the BTC is limited compared to the demand. Thus, you may have to struggle to make a profit after determining the prices of electricity and maintenance.

Cloud mining – Cloud mining is chosen by most people, since this mining process does not require any periodic payments or an increase in energy bills. You only need to pay a one-time fee for the contract. Moreover, it does not require the purchase of any software or hardware. Thus, it has become an alternative to personal mining.

The profit is based solely on the selected plan and the electricity bill charged at the facility where the cloud mining service is based.

All that is required is knowledge and skill before diving into the pool.

Note: you should always check the reliability of the cloud mining company.

Buying and storing BTC

Many people believe in simple formulas. For example, buying a product at a low price, holding it until the iron becomes hot (the price will increase), and then selling it. This approach is usually followed by long-term investors.

The strategy called Hodl is simple to the point of outrage: a trader buys Bitcoins if he believes that his price will rise in the future. As soon as the price rises, he sells them, and makes a profit. This approach is not like short-term investments, and you may have to hold them for a very long time until they meet expectations.

Accepting Bitcoin Payments

Many companies today have started accepting Bitcoin as payment for the provision of their goods and services.

Accepting Bitcoins as payment is a simple process. For example, if a person is engaged in a physical commodity business, he can start accepting Bitcoins by simply putting a small sign in his showroom/store. Or in an online business, using a seller or placing a banner on your home page. Whichever method you choose, the integration of Bitcoins into the payment ecosystem opens up a whole world for the user.

The best part is that it will make the payment secure and speed up the payment process. Moreover, the user can receive payments from anywhere in the world. All you need is a Bitcoin wallet to receive BTC as payment. Thus, it eliminates the dependence on a third party when processing payments, and also helps to avoid losses.

Affiliate program

This is an opportunity to become a partner of Bitcoin, or any other cryptocurrency company, promote their products or services, increase the number of their visitors and receive a commission from each converted sale. The fee amount is based entirely on increasing the customer base and sales.

You can also use your social media followers to influence customers and convince them why they should buy this product / service.

The only thing you need to make sure that this is a reliable affiliate program, since no one wants to buy spam products. Another thing to do is to share links and websites on social networks when promoting a product or service.

Bitcoin Lending

The best thing about making and accepting payments in Bitcoins is that you do not need the permission of any authorities to verify it. Transactions are processed seamlessly without any interruptions. So why not offer loans by giving other people Bitcoins at an interest rate.

Think of it this way: when a trader lets Bitcoin work for him! Isn’t that great?

Many websites help with lending services, including Bitbond, Unchained Capital, BTCpop and many others. Choosing a reliable source of credit is vital, otherwise you can lose all your coins. All reliable credit platforms offer an interest rate of up to 15% per annum.

Micro-tasks

Well, it is acceptable that micro-tasks may not be enough to change fate. Nevertheless, it is definitely a reliable source that helps to cover everyday expenses and meet some of the needs in life. Moreover, let’s assume that you are working with legitimate BTC websites that pay you to open certain websites, click on certain ads or links, watch videos or games. In this case, they can pay with Bitcoins.

Although the payment on these sites is not very high, it is still one of the fastest solutions. Some websites that pay in Bitcoin for completing tasks and completing online surveys include adBTC, Coinpayu, Coinadder, and BTC4ADS.

Trading

At the moment when traders increase their current trade, they close the position to get a profit. The best part is that there is an opportunity to trade in the Bitcoin world 24 hours a day, 7 days a week, whenever it is convenient.

It is enough to choose one of 4 trading strategies:

1. a) Day trading — this is also called intraday trading, in which investors buy and sell a position during one trading day. The main advantage of day trading is that you do not need to pay night fees for replenishing a position.
2. b) Bitcoin hedging is a strategy in which a trader tries to minimize his risks by taking an already acquired position of opposition. This type of trading is usually practiced when the market is moving against you.
3. c) Trend trading – people who practice trend trading choose a position that corresponds to the current trend. For example, if the trend is bullish, it is preferable to invest in the long term, whereas if the trend is bearish, short-term investments are required.
4. d) HODL (buy and Hold) is a strategy in which Bitcoins are bought and held until their price rises. Usually this method involves a long-term investment, and a lot of patience is required.

Tips

One of the most effective ways to earn money on Bitcoin is to help other people, and get a small tip from them. You can use a platform called Bitfortip if you want to receive Bitcoins in tips.

As long as you help other people and help them perform various tasks online, they can provide you with BTC as an incentive. It can include a wide range of tasks, such as providing answers to technical questions, promoting your products or services, streaming video games, finding the right clothes, and many other tasks.

These days, many platforms have integrated cryptocurrency services, and you just need to check out these platforms.

 

The Basics to Follow in the Bitcoin World:

1. Conducting an extensive study
2. Market analysis
3. Foresee all risks and choose a method that meets all requirements
4. Expert advice and reading the article before investing
5. Never put all your eggs in one basket

Bitcoin is worth the time only if you follow the basic principles and do not take risks that you cannot afford. As people witnessed huge profits, at the same time, some people also suffered huge losses in investing in Bitcoins. Obviously, it is preferable to fall into the first category of people. To guarantee this, you need to be patient and careful when you want to enter an unstable market.