Cryptocurrencies have been all the rage in 2024 after the Security and Exchange Commission, SEC, approved exchange-traded funds, ETFs, for Bitcoin in January and Ethereum in May. The changes have seen Bitcoin set a new all-time high of $ $73,780.07 and the same is expected for Ether as it rallies above the $3700s, even though ETH ETFs won’t be available for at least a year. Many expect SEC to approve more crypto assets in the future while others like JP Morgan cast doubt on this expectation. However, the consensus is that cryptocurrencies are becoming more popular than ever and even being considered a reasonable option for investors in retirement portfolios. Here’s an overview of crypto as a worthy asset for your retirement portfolio.
Cryptocurrencies for Retirement Planning
Bitcoin was first introduced in 2008, becoming the first cryptocurrency to take the world by storm. Over the years, Bitcoin has grown into a mainstream payment option, used by e-commerce stores, retailers, hotels, banks, peers, and gaming platforms. You can even use Bitcoin at the best sweepstakes casinos to purchase Gold Coins for more gaming experiences. This is a popular practice as you can win Sweeps Coins, which are exchangeable for real money. Bitcoin and other cryptocurrencies are also available in real money casinos, so you can use them to explore slots, roulettes, blackjacks, baccarat, poker, craps, live shows, and more.
In fact, some casinos only accept crypto payments and others feature exclusive bonuses for Bitcoin deposits. However, for many years, cryptocurrencies were merely a form of payment. This changed in 2024 with the emergence of crypto ETFs that let investors integrate the asset into their portfolio without owning the coins. With Wall Street embracing standalone crypto assets, some are now willing to consider crypto as a viable option for retirement planning portfolios. If you’re saving for retirement, crypto assets are not an option you can afford to ignore given the current circumstances. These assets are here to stay, as evidenced by Bitcoin and Ethereum, which have been available for over a decade, and their value only seems to rise.
Bitcoin Investment for Retirement Planning
There’s no doubt about what the biggest cryptocurrency is. Bitcoin has been around for a while and became the first to have an ETF for investors who prefer stocks rather than actual crypto holdings. Bitcoin ETFs were approved in January 2024 and the crypto’s value is well into the $70,000 mark now.
With the most recent halving happening in 2024, fewer BTCs are expected from miners. This will only increase the crypto’s value, and industry experts anticipate the price to exceed $100,000 in the coming years. Bitcoin is the most reasonable crypto investment for those looking to diversify their retirement portfolio. The crypto has led the race for most performing assets worldwide, outperforming all assets within the 2011 to 2021 timeframe.
Bitcoin delivered a return of 230%+ per year, which is enough reason for any savvy investor to consider the crypto a worthwhile asset. For comparison, tech stocks came second within the same duration at a dwarfed 20% return per year. In 2023 alone, Bitcoin brought forth a 150% return for investors and is already over 60% in 2024. Experts expect BTC value to hit $150,000 by 2025 with some speculating the crypto could trade for up to $1 million within the coming decade. Now with the option to invest in Bitcoin ETFs, more people are willing to consider the cryptocurrency as part of their retirement plan. The projection seems attractive enough and investors can easily liquidate their assets for something better at any time.
Ethereum Investment for Retirement Planning
Ethereum has been having a rally of its own in 2024, and might comfortably break into the $4,000 mark within months. Spot Ether ETFs were approved by SEC and are expected to hit exchange websites sometime in 2025. Like Bitcoin, Ether has delivered more than people expected in terms of returns over the past decade. The crypto was just worth $0.30 when it launched in 2015 and is now valued at $3,700+, which is tremendous compared to other assets. While past returns are not a reflection of what might happen in the future, Ethereum’s growth prospects are more promising after SEC approved the ETFs in May. More encouraging is the fact that Ether has the most diversified blockchain ecosystem and is engrained in nearly all niches.
Ethereum already launched its technical transformation with The Merge in 2022, which provides the groundwork for its next phase of growth.
With the ETF approval in the rearview mirror, experts now expect the cryptocurrency to gain more popularity among traditional investors who only deal with stock and similar exchange-site products. Although investment firms must first submit their S1 files for SEC approval, this is expected to be a much smoother process after the 19-4b forms were approved in May. Once Ether ETFs are available for investors, they might become a valuable asset for retirement planning.
Key Takeaways About Crypto Retirement Investments
Despite the incredible returns over the years, cryptocurrencies are still plagued by their high volatility and uncertainties. News articles, political climate, changing regulations, and crypto whale actions can all impact the value of Bitcoin, Ethereum, and other digital coins. Some years have seen Bitcoin and Ether lose more than half their value, which can be a stressful phase for investors. However, when things go right, even a small investment can yield fortunes. Spot ETFs further reduce the risk for investors, so crypto is a viable investment for retirement.
