Should you buy Bitcoin? A crash course in crypto

  • December 21, 2020

bitcoin vs ethereum which to invest in

Please note that the availability of the products and services on the AQRU App is subject to jurisdictional limitations. AQRU may not offer certain products, features and/or services on the AQRU App in certain jurisdictions due to regulatory restrictions. We’ve created a useful guide in our Help Centre to walk you through the process step-by-step. The team behind Ethereum is constantly working on new improvements and upgrades, and there are many exciting projects in the pipeline that could potentially boost the price of ETH. Ethereum is already used by some of the biggest companies in the world, including Microsoft, JPMorgan Chase, and HSBC, showing real-world demand for the platform and its services.

bitcoin vs ethereum which to invest in

Both dates will be important for risk markets and broader risk sentiment in general. Crypto markets have not been immune to the support from cheap leverage in the fiat markets. After all, crypto offers the tech dream of scalability and regulatory arbitrage.


Instead, you can start small and gradually increase your investment over time. This approach can help you manage risk and ensure you’re comfortable with the market’s volatility level. Ethereum’s decentralisation makes it a desirable investment for many people. Of course, higher returns come with higher risks, and you should never invest more than you can afford to lose. But if you’re looking for an investment with the potential to generate significant returns, Ethereum could be a good option.

Guest likes to keep a tab on all the trends within the crypto industry and treats our readers with insightful content. Finally, Bitcoin has a market cap of about 48% of the Cryptocurrency market, valued at $1.08 trillion. Ethereum, on the other hand, has a market cap of $2.25 trillion, valuing it at 23.4% of the Cryptocurrency market. Bitcoin was initially created to replace national currencies. Ethereum was developed as a platform where its currency is immutable, programmatic, and automated contracts and applications could be facilitated. BTC is designed to replace whereas ETH is developed to monetize and facilitate the Smart Contracts and the dApp platforms. Bitcoin and ethereum are big contenders within the crypto ecosystem, and both can have their place within a diversified crypto portfolio.

What is an NFT and are NFTs a good investment?

Nevertheless, Bitcoin is the original and favorite cryptocurrency for now. The appeal of Bitcoin lies in its decentralized open-source nature. As any one authority does not govern it, it offers the potential for a fairer society.

bitcoin vs ethereum which to invest in

You may wonder how investing in Bitcoin differs from investing in Ethereum, especially if you’re new to cryptocurrency. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 68% of retail investor accounts lose money when trading CFDs with eToro. Cryptoasset investing is unregulated in most EU countries and the UK. Bitcoin and Ethereum are systems, whereas bitcoin (with a lower-case ‘b’) and Ether are the cryptocurrencies used by those systems. When looking at the two, it’s important to be clear whether we’re comparing the technology, the assets, or both.

Bee Money Savvy

Early-stage investors in Bitcoin and Ethereum made huge profits and both coins are still popular choices for first-time speculators. But now that the initial gold rush is over, knowing what your investing in is more important than ever. With $900.9 billion market cap, Bitcoin is the biggest crypto on the block. But with a market cap of $450.4 billion, it won’t be stealing the top spot any time soon. Ethereum and Bitcoin, bitcoin vs ethereum two of the best cryptocurrencies, have been mainstays of many investors’ portfolios. Even the lay investor knows about them, which is why they’re perhaps the two Cryptocurrencies our trading-community friends and students most frequently ask us about. Cryptocurrency investing is a high risk investment, so before you invest in Bitcoin or Ethereum, make sure you’re willing to tolerate the high level of risk.

  • Following its announcement, the first and second blocks were mined on and after January 3rd, 2009, signalling the beginning of Bitcoin mining and the blockchain as we know it today.
  • Cryptocurrency firms may also be overstating how much investors could receive from investing in crypto, while minimising the risks.
  • Bitcoin is the most significant value and exchanged cryptocurrency.
  • At AQRU, we want to make high-yield generating investments like Ethereum accessible to the masses.
  • Here are some of the reasons why you should invest in Bitcoin now.

This will help us to support the content of this website and to continue to invest in our award-winning journalism. The regulatory uncertainty that surrounds bitcoin, and cryptocurrency in general, is one of the reasons so many investors discount it entirely. In 2013, one bitcoin was worth just under $112, and the currency had a total market value – all the bitcoins in circulation multiplied by the price of each one – of just over $1.2bn. Governments and financial regulators in almost every country have warned investors of the risks posed by buying cryptocurrency. Cryptocurrency may be a good investment if you are willing to accept it is a high risk gamble which could pay off – but also that there is a strong chance you could lose all of your money.

What is Ethereum 2.0?

Ethereum has better technology and offers more utilities compared to Bitcoin. But Bitcoin has a lesser supply and provides more liquidity than Ethereum. Either of the two can be an excellent choice for novice crypto traders and investors. However, deciding which one is the best for your preference may take a closer look at your own personal investment goals. Both cryptocurrencies have recently established new all-time highs. However, that doesn’t mean there will be less volatility in their future price performance.

Ethereum was launched in 2015 with innovative features that continue to give Bitcoin stiff competition. The idea is that when prices are high, you can afford less of the asset. When the market recovers, you benefit from having bought more shares at the lower price. Please note that using this strategy will not always result in a profit or necessarily protect you from falling prices. It is easy to get carried away with the fear of missing out. You are probably aware of Cameron and Tyler Winklevoss, who are reputed to be the world’s first bitcoin billionaires with over 100,000 coins. Or what about Barry Silbert, the owner of Grayscale Ethereum Trust, Coinbase and Coinbase?

Author: Vlad Hatze

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