The popularity of Bitcoin in the market is growing depending on its price, and as the current value of Bitcoin is at almost the highest levels in history, the popularity of cryptocurrencies has been increasing in the last week.
Crypto investors who already have Bitcoin in their portfolio are certainly wondering these days how they can make the most of their crypto capital and is idle and HODL the best option?
According to the 2020 Crypto Research Report (CRR), which monitors cryptocurrency price movements and therefore analyzes and projects prices in the future, bitcoin is expected to continue to grow and reach above $ 20,000 by the end of 2020. CRR also states that Bitcoin will be at just over $ 340,000 in 2025. The report claims that if Bitcoin continues on its current growth trajectory, it will reach a 10% breakthrough, with a price tag of nearly $ 400,000, by 2030.
There are many ways in which money can be invested in Bitcoin. Currently, the situation is that the crypto market is booming and that price booms can be used to change currencies daily for fast, risky, but potentially high returns. On the other hand, it is very popular to HODL and keep Bitcoin until it reaches the value you set and then sells. At this risk it is drastically lower, but your cryptocurrencies are dormant in that situation and do not generate additional profits. The next method that exists in the crypto market is crypto arbitrage, an investment strategy that is generally known to be one of the forms of the lowest risk, and often achieves extremely high returns.
How does crypto arbitrage work?
Crypto arbitrage requires the speed and efficiency of an automated algorithmic trading system, which means it can be traded on your behalf without the person being present on the platform. At the same time, it is not necessary to know about cryptocurrencies or monitor price changes on a daily basis. Cryptocurrencies or fiat currencies are placed on the platform that performs crypto arbitration, and the algorithm starts working automatically. As an example we can take one of the most popular crypto arbitrage platforms that is regulated and works with a license in the European Union - ArbiSmart. The way the platform works is to scan 35 different exchanges at the same time, 24 hours a day noticing “opportunities” with defined parameters and thus performing huge tracks at once.
What are the benefits of crypto arbitrage?
Depending on the size of the deposit, platforms such as ArbiSmart can generate a profit of up to 45% per annum. Of course, the amount of return is closely related to the amount you invest, and on such platforms there are often calculators that show how much you should invest to achieve a certain profit in a certain period of time, but it is always important to study the platforms and their sites. convince them of their credibility. You are looking for platforms that have a reputation and presence on social media, that have well-established support and that will respond to you, and you are always guided by investing funds that you can live without.
ArbiSmart in Europe!
The ArbiSmart platform, in addition to being a crypto arbitration platform, enables companies to have the right to provide wallet services. The platform’s plans for 2021 announce that there will be a wallet with interest for fiat and crypto, which means that instead of letting your Bitcoin stagnate, you can also earn interest on them up to 45%, depending on the size and currency of the deposit.
Wallet owners will be able to choose a flexible account, on which profits can be withdrawn at any time. Since the growth of cryptocurrencies, arbitrage platforms offer opportunities for crypto investors to have returns through low risk, but you are always guided by not investing funds that you are not ready to lose.
Very well explained. Thank you for that