Through All Economic Crashes, Gold Has Proven To Have Held Its Value.
But that’s because gold keeps its value. The stocks we’re specifically referring to are often called the fang stocks (facebook, google, amazon, netflix). Bitcoin, on the other hand, had rallied more than 840%.
There Are Two Types Of People In Crypto.
Unfortunately, cryptos are not immune to this. It hasn’t established a track record. Buying cryptocurrencies is like buying stocks because buyers are matched to sellers of digital assets, and the price is determined by supply and demand.
And That Alone Makes Digital Currencies A Riskier Investment To Dabble In.
People who work to get rich. In our discussion of stocks here, we’ll focus on the major tech companies’ stocks. This makes cryptocurrency somewhat more speculative than stocks tend to be.
Both Stock Trading And Crypto Trading Have Inherent Risks Involved.
But over the past couple of years, it's cryptocurrencies that have run circles around the stock market. “the #crypto market is going to start behaving like tech stocks. A pure cryptocurrency, ultimately, is only worth what the next investor is willing to pay for it.
For Example, During 2021, Bitcoin Lost More Than Half Its Value In A Few Months And.
However, imagine a cryptocurrency like bitcoin or ethereum. Cryptocurrencies are taxed like stocks or any other capital asset. This makes cryptocurrency a generally less liquid asset than stocks.