The downturn in the cryptocurrency market after a strong start to 2024 means that such corrections are the natural ups and downs of a bull market, and the best time to invest. Bitcoin is the good old reliable investment. No other cryptocurrency has the security, decentralisation and the 21 million coin cap gives it store of value appeal. Its dominance over time shows that pricing will stay strong into the future meaning that today’s prices might look ridiculously cheap in 10 years. Ethereum is next. Ethereum dominates DeFi from having first implemented the smart contract that opened up the field to endless cryptocoin blockchain applications such as DeFi.
Other than the cryptocurrencies themselves, Coinbase is one of the only ways to invest in the sector, getting broad cryptocurrency exposure without the risks or complexities of owning individual coins. Coinbase has diversified its business in the right ways, refining its model and operating in ways that make sense for the market at different points in its evolution. (It’s even creating its own blockchain, Base.) As long as the market for crypto stays volatile, its stock price will be volatile. But its recent decline could be a buy-in opportunity for those who don’t want to wait to get exposure to the eventual widespread use of digital assets.
Crypto investments, led by the likes of Bitcoin and facilitated by exchanges such as Coinbase, are evolving – a process that tracks a broader embrace and acceptance for crypto use among retail and institutional investors. Corrections such as the current one often serve to discourage some investors, but also afford buying opportunities for those who are looking with an eye toward longer-term growth prospects for crypto.
Source: Yahoo! Finance
