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The Bitcoin craze had hit fever-pitch in late 2017 when the price for Bitcoin went as high as $ 19,700. This is a large number of eyeballs towards cryptocurrencies: and a great investment opportunity. People from 18-28 were the most interested in investing in cryptocurrencies. Millennials are getting more involved in the crypto-world: the Bitcoin generation has a lot to benefit from this technology.
Classic investment options such as stocks and bonds do not really interest the younger generation of investors, who want quicker and bigger returns on their investment. This is what cryptocurrencies offered to them. With the likes of Ripple booming by over 36,000% last year, millennial interest in cryptocurrencies is higher than any other age group Millennials understand that investing in cryptocurrencies is a high-risk investment, yet they are willing to take this leap of faith in the search of profits.
In the blockchain space such as John McAfee are claiming that the price of cryptocurrencies is likely to hit north of $ 15,000 to $ 20,000 in the short run. Some like Thomas Lee also preached the price of Bitcoin to surge past $ 25,000. Bitcoins would surpass $ 150,000 in the long run, in the cryptocurrency ecosystem.
In addition to this, they have been shown to invest in Initial Coin Offerings (ICOs). ICOs are similar to what IPOs are to stock markets. ICOs – giving them more credibility. Based on their backing, a number of millennials invest in these ICOs, expecting a high return in the long run.
It can be really high returns on investments. To the cost of the trip: this, however, depends upon the markets: Millennials are making use of cryptocurrency . If the markets are bearish they might even end up losing their investments.
How Millennials Can Take Advantage of Cryptocurrencies
Savings are very important – and millennials need to understand that they should start early. Cryptocurrency investments tend to have high payoffs from time to time. They can start up their futures and save money for a period in their life, or for emergency situations.
Travel is a great educator. Millennials and young adults must explore the world. This develops not only empathy and understanding, but also helps them gain a wider view of things.
The returns on cryptocurrency investments can also be used to start off small-scale business ventures, maybe even startups. This would help them ensure that they are self-sufficient and do not need external help.
- Utilizing Smart Contracts:
Millennials who are good at coding and programming can also learn how to make decentralized applications on blockchain platforms.
Ethereum Price Canada
An education in cryptocurrency and blockchain technology is likely to take a long way in the future. Blockchain technology is already being hailed as 'Web 3.0' – a breakthrough innovation which is all set to change the way we see technology to be. It is likely to take them forward to long way. This is a good opportunity for millennials to educate themselves.
Where Millennials Need to be Careful About Crypto
While the opportunities are abundant, there are a number of threats as well, Considering that millennial investors, who are investing in cryptocurrencies in large numbers are mostly first-time investors, there are things that they should be aware of before they make an investment:
Sometimes, investors do not look at the market capitalization while they invest in a currency. While the price growth is important, the market cap's stability also matters a lot. Per currency. The higher the market cap, the better and more.
Investors tend to set a strategy but not stick to it if the markets behave differently. One needs to understand that they need to follow a strategy and not fall for the bear traps or the bull traps of the markets. Down Sometimes, markets are manipulated by large investors. Smart investors need to invest soundly.
It is critical to set-up a stop-loss when it is a stop-loss. If you are not sure, you will not be able to do anything like this.
- Investing What You Can Afford to Lose:
The final bit of advice that the millennial investors need to take care of is "Never invest more than what you can afford to lose". This is the most critical advice and one must always stick by cryptocurrency! This is not a risk that you should take!
