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Bitcoin, with its limited supply and uncorrelated nature, also attracts some of this capital.
However, he recommends having a secure digital wallet to protect your bitcoin investments from cyber threats.
Creek said his team has noticed an uptick in institutional investors buying bitcoin futures to hedge their broader portfolios.
Bitcoin is a strong hedge against inflation and falling fiat [government currency not backed by gold] prices.
Ive seen traders make their money on strategies built on buying bitcoin during market crashes.
The price moves up while fiats strength drops, she said.
Proper diversification helps to spread out the risk ofinvestment loss or portfolio devaluationand increases overall returns, he explained.
That said, Morgan cautioned that nobody should overinvest in bitcoin.
Creek said, So I dont recommend betting the house on it.
Overall, he feels that the future looks bright for bitcoin as an uncorrelated asset class.
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