Image from icostream more investors are transferring their funds into cryptocurrencies

Despite of FUD More Investors Are Transferring Their Funds into Cryptocurrencies: Reasons & Trends in 2018

2017 was a big year in cryptocurrency market. Bitcoin reached almost 20 000$ a share. Anyone who had invested in Bitcoin early 2017 is proud of their decision. The role of Bitcoin has become even clearer, and it is expected that the value will keep on rising. Mostly due to the tension between the US and North Korea, people have started adopting the habit of investing in Bitcoin in hopes of a stable asset. This trend shows that people are shifting to investing in cryptocurrencies as it is one of the safest currencies and best for times of instability of the global market and economy.

Due to the uncertainty between the US and North Korea, there has been a rift in the economic certainty all over the globe. As time has passed, this ambiguity has grown deeper, and many financial analysts have kept track of and noted the backlash caused.

The result from all this is a shift in the investment portfolio. Now, people look more towards Bitcoin and other forms of cryptocurrencies to trade. These are the assets that have been claimed to be safe for long-term investment as they will bring in a good ROI.

Another reason for this shift is that investors find it as a way to diversify their investments. In case a downturn occurs in any one market or two, the blow on the investor’s pocket will not be too hard. The thing with cryptocurrencies is that they are not correlated to other kinds of assets. The niche market has opened up, and a wider audience base is adopting this pattern.

ACCEPTANCE OF CRYPTOCURRENCIES
The market statistics of cryptocurrencies is mind-blowing. The market stands at $595 Billion with a daily trade volume rising to $37 billion. This is why one cannot argue that this form of currency belongs to the niche market.

However, the market is strictly regulated, and only traders or investors who have been verified get their hands on high liquidity. Due to the high growth potential and the increase in the practice of cryptocurrencies, many major banks, and other financial institutions have now started to encourage customers to invest in them, further increasing their market value.

SAFETY OF CRYPTOCURRENCIES
With the sudden rise in demand, the value of Bitcoin and Ethereum went its highest. People are starting to believe that cryptocurrency is now becoming digital gold as it is safe and its value keeps growing.

As long as people invest in Bitcoin and other cryptocurrencies as a form of safe investment in times of economic instability, it is highly likely that the value of these will keep increasing in the future.