Bitcoin and Ethereum: Why cryptocurrencies are currently performing so well and how investors should act now

Bitcoin and Ethereum: Why cryptocurrencies are currently performing so well and how investors should act now

According to a report by www.boerse-online.de,
Cryptocurrencies such as Bitcoin and Ethereum are currently performing significantly better than the stock market. This can be attributed to two main reasons: Firstly, due to crises of trust in banks, Bitcoin is considered a safe haven and alternative to the traditional financial system. Secondly, cryptocurrencies are sensitive to interest rates, the US dollar index and market liquidity. The recent developments regarding interest rates, the US dollar index and liquidity have therefore created a positive trend for cryptocurrencies. Bitcoin has risen by 72 percent since the beginning of the year, which is a significant development.
The subsequent analysis shows that there are currently uncertainties regarding the further development of Bitcoin and Ethereum. Technical analysis suggests that Bitcoin still needs to overcome some resistance before determining how far the rally will carry. Investors are urged to be careful and invest funds in cryptocurrencies, especially in small amounts. It is recommended to invest around 5 to 10 percent of the portfolio in Bitcoin and Ethereum, depending on the individual risk profile.
It should be noted that a certificate on the BÖRSE ONLINE Best of Crypto Index is traded in Germany, which offers an easy way to invest in various cryptocurrencies. Despite Bitcoin's current rise, the risk and volatile nature of cryptocurrencies is highlighted, so investors should always be prepared.