In 2021, Bitcoin celebrated its 12th anniversary, and today it is more popular than ever before.
Institutional and private investors are gravitating towards the cryptocurrency market, favoring Bitcoin, whose price is reaching new highs every day.
The market capitalization of the cryptocurrency market is approaching $1 trillion.
Nevertheless, this attractive asset has its pros and cons.
Pros
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Bitcoin boasts one of the best ROI (Return on Investment) metrics compared to other financial assets.
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In 2020, Bitcoin outperformed gold, stocks, oil, and other assets.
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Bitcoin is the world's first cryptocurrency.
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Bitcoins act as a hedge against inflation.
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The number of Bitcoins is limited, which adds to their value.
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Cons
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They are extremely volatile, and price drops can be dramatic due to low liquidity relative to other assets.
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Bitcoins may face significant regulatory restrictions in the coming years.
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Bitcoins could potentially drop to zero.
