Many Canadian investors have been looking towards Bitcoin as the cryptocurrency emerges as the latest investment trend. However, despite recent coverage, Bitcoin is still shown to be a less reliable and less profitable long term return investment than safer options like commercial property investment, advises Richard Crenian.
While there may be some big upside gains ahead, some experts fear it could turn into the biggest bubble human history has ever experienced. Bitcoin has seen sharp increases in the last year, but it has also seen double digit price drops as well.
Bitcoin prices are likely to drive up faster after recent surges in interest and media attention, and some predict that the cryptocurrency could hit $1M after starting the year at only ab out $1,000. However, because of numerous factors such as the lack of regulation and monopoly control, it is subject to extreme volatility and market manipulation.
These unstable fluctuations and unpredictable factors should have long-term Canadian investors concerned, notes Crenian, explaining that that although Bitcoin shows some possibility for short term gain, investors who are thinking about retirement, family wealth, and a legacy should be concerned about putting their money on this kind of instability.