Cryptocurrencies can be a tool for wealth long-term

Even though it’s a highly volatile asse，xmilfvideox cryptocurrency can help investors build wealth, especially if they invest in digital coins over the long-term.

 
It’s a portfolio play that’s gained traction in recent months and is catching up to stock trading as something that Americans are looking at for growing wealth. Some 13% of Americans have purchased or traded cryptocurrencies in the past year, according to a recentxmilfvideox survey by NORC at the University of Chicago. In the same time period, 24% traded stocks, the study found.

Bitcoin has whipsawed lately, showcasing the volatile nature of many digital coins. On Friday, the asset fell to about $32,000 per coin, xmilfvideox but rebounded to about $40,000 on Monday, the highest price it’s hit since June. On Tuesday, the cryptocurrency slumped again, trading down 5% around $37,000.

That’s a big drop from the all-time high of about $63,000 hit in mid-April. Still, bitcoin is up roughly 30% year-to-date.

“ xmilfvideox It does have a place, especially for those that are younger,” said Tyrone Ross, CEO of Onramp Invest, a provider of “cryptoasset” management technology for financial advisors.

Part of a larger portfolio and plan

To be sure, investing in cryptocurrencies should be second to having a solid financial plan that includes emergency savings and solid retirement planning, according to Ross.


“Have a financial plan first and figure out where crypto fits into that,” said Ross. “If you don’t have xmilfvideox a plan, what are you doing?”

Once that’s in place, however, it can make sense for investors to consider crypto as a key part of their long-term xmilfvideox  portfolio.