Bitcoin 2025: What Investors Need to Know Before Entering the Market

In 2025, the cryptocurrency market continues to attract millions of investors worldwide. Not only individuals, but large organizations like Grayscale, MicroStrategy, and even the country of El Salvador are actively investing in Bitcoin. As the price of Bitcoin reaches the current level of $88.84K, the question many people ask is: Should I start trading Bitcoin now? This article will provide you with comprehensive knowledge about Bitcoin and the methods of trading coins suitable for each investment goal.

What Is Bitcoin and Why Is It Important?

Created by Satoshi Nakamoto in 2009, Bitcoin is the first cryptocurrency and remains the digital asset with the largest market capitalization. Bitcoin (BTC) is not paper money or metal, but is encrypted with algorithms and stored on a decentralized ledger system called blockchain.

Key features of Bitcoin to know:

Limited Supply - Bitcoin has a maximum of 21 million units. Currently, nearly 19 million have been mined, with plans to mine all by 2040. This scarcity makes Bitcoin called “digital gold” and attracts interest from major corporations.

Halving Event - Occurs every 4 years, reducing the mining reward for Bitcoin by half. This event makes the supply more scarce and has historically led to price increases.

Historical Price Levels - Bitcoin has reached an all-time high of 126.08K USD, demonstrating the strong growth potential of this digital currency.

How Much Money Should I Invest in Bitcoin?

One of the most common questions from beginners is: “What is the minimum amount needed to start?” The answer may surprise you.

In fact, you can start with a very small amount. Each Bitcoin is divisible into 100 million smaller units called Satoshi. You can completely buy a few million Satoshi and begin your long-term investment journey.

If you want to trade with leverage (using margin), you can even start with just 1% of the contract value. For example, with Bitcoin priced around $88.84K, you only need about $900 to trade one Bitcoin CFD contract(. However, this also carries higher risks.

The amount you decide to invest depends on:

• Your short-term or long-term investment goals )short-term or long-term(
• Your current financial capacity
• Your risk tolerance
• Your previous trading experience

Is Bitcoin Safe?

First, it should be clarified that Bitcoin is not a scam. The transparency of Bitcoin has been recognized in most countries, and the blockchain technology behind it operates securely and efficiently.

However, in the cryptocurrency market, there are tens of thousands of other coins and tokens )generally called altcoins###, and some of them may be scam projects or unreliable. Investors need to stay alert and conduct thorough research before investing in any digital asset.

Common scams include:

• “Pump and dump” projects - rapid price increases followed by crashes
• Fake or untrustworthy exchanges
• “Advisory” groups on social media promising unrealistically high profits
• Fake links or scam emails

Methods of Trading Bitcoin Suitable for Your Goals

There are many ways to participate in the Bitcoin market, each suitable for different purposes and knowledge levels.

( Short-term Bitcoin Trading: Seize Volatility Opportunities

The goal of this method is to capitalize on short-term price fluctuations )from a few minutes to several days( to make profits. Although each fluctuation may be small, they occur frequently, creating many trading opportunities.

Advantages:

• Many trading opportunities appear daily
• Can use various strategies like day trading, swing trading, scalping
• Ability to use leverage to increase potential profits

Disadvantages:

• Bitcoin’s high volatility requires high risk management skills
• Trading fees can accumulate with each transaction
• Requires frequent market monitoring

Practical Bitcoin Trading:

This method involves buying real Bitcoin on major cryptocurrency exchanges, waiting for the price to rise, and selling for profit. Steps include:

1. Open an account on a reputable exchange
2. Link your bank account
3. Place a buy order for Bitcoin )using Market order for immediate purchase or Limit order to specify a price(
4. Monitor the price and sell when reaching your target

Important note: Trading fees usually range from 0.1% to 2% depending on the exchange. You only profit when the price increases )cannot profit when the price drops(, and you need sufficient capital to buy at least a small amount of Bitcoin.

Bitcoin CFD Trading )Contract for Difference(:

This approach is more suitable for investors with limited capital or those who do not want to own actual Bitcoin but want to profit from price fluctuations. With CFDs, you and the service provider agree on Bitcoin’s price movements in the real market.

How it works:

• If you predict Bitcoin will rise: open a Buy position, wait for the price to increase, and close the position to lock in profit
• If you predict Bitcoin will fall: open a Short position, wait for the price to decrease, and close the position to lock in profit

Advantages:

• Small capital needed to trade )leverage of 1:10(
• Can profit from both rising and falling markets
• Simple and quick process
• Can trade other assets besides Bitcoin

Things to note:

• Do not use excessive leverage )1:1 or maximum 1:3 for beginners###
• Always set a Stop Loss to limit losses
• Do not hold overnight positions unless certain
• Overnight fees will be charged if you keep the position

( Mid-term Bitcoin Trading: Weekly and Monthly Strategies

This method is similar to short-term trading but with a longer timeframe )from a few weeks to several months(. Instead of being affected by intraday fluctuations, you focus on long-term price trends.

Steps:

1. Open an account on a trading platform
2. Link your bank account
3. Buy Bitcoin at a price you consider reasonable
4. Transfer Bitcoin to a secure wallet )such as Trust Wallet, MetaMask, or Ledger###
5. Monitor the market and sell when reaching your target price

The reason for transferring Bitcoin to a personal wallet is to protect your assets from risks related to exchanges, such as hacking or shutdown.

Long-term Bitcoin Investment: “Buy and Hold” Strategy

Many investors specifically buy a certain amount of Bitcoin, store it in a personal wallet, and only sell when the price reaches a significantly higher target. Holding time can range from several months to years.

Advantages:

• Minimal trading costs since only one buy and one sell
• No need to monitor daily price movements
• Suitable for patient investors who believe in Bitcoin’s long-term potential

Requirements:

• Strong psychological resilience to major market fluctuations
• Confidence in Bitcoin’s future
• Still need to follow important industry news

( Mining Bitcoin: A Challenging Path

You can set up mining rigs at home or join cloud mining systems )cloud mining(. Cloud mining requires paying fixed fees and receiving Bitcoin from the mining process.

However, Bitcoin mining today is very difficult and requires:

• In-depth knowledge of hardware and software
• Large investment in ASIC equipment
• High electricity costs
• Skills in managing and operating systems

This method is rarely recommended for beginners.

Important Conditions in 2025

The Bitcoin market in 2025 is expected to witness some significant events:

Spot Bitcoin ETF )Spot BTC ETF

After years of rejection, spot Bitcoin ETFs are closer than ever to approval. Major financial institutions like BlackRock and Vanguard have submitted applications. Once approved, this will open a new investment channel for institutional and individual investors.

Next Halving Event

Bitcoin halving occurs every 4 years, reducing the mining reward by half. Historically, halving events have led to price increases as supply becomes scarce.

Clear Legal Framework

The cryptocurrency market is entering a phase of establishing clear legal frameworks. This will build greater confidence among institutional investors and may promote wider adoption of Bitcoin.

New Growth Cycle

We are in the midst of another growth cycle, with many analysts predicting Bitcoin could reach $120,000 or higher.

Should You Invest in Bitcoin in 2025?

The answer depends on your personal situation. However, some general observations:

Bitcoin offers higher profit potential compared to traditional investment markets like stocks or real estate, especially in the long term. Millions of investors worldwide and in Vietnam have chosen Bitcoin as part of their investment portfolio.

Although Bitcoin’s price is highly volatile, if you look beyond 1 year, investing in Bitcoin often has significant profit potential. In the short term, you can also profit from volatility, whether prices go up or down, through derivative trading tools.

Advice for Beginners

Do Not Buy Large Quantities When Starting Out

Newcomers to the cryptocurrency market tend to make mistakes. Start small, learn from mistakes, and accumulate experience before investing large sums.

Choose Reputable Exchanges

If you plan to trade frequently, select exchanges with good reputation, large user base, competitive fees, and user-friendly interfaces. Determine your specific needs to find the most suitable platform.

Avoid “All-In” Strategy

This is an important principle not only for Bitcoin but for any investment market. Never invest all your money into a single opportunity, no matter how attractive it seems.

Always Set Stop Loss Orders

When trading, always define the maximum loss you can accept before entering a position. Stop Loss orders will automatically close the position if the price hits that level.

Continuous Education

The Bitcoin and cryptocurrency markets are constantly changing. Spend time reading news, learning about blockchain technology, understanding technical and fundamental analysis to make smarter decisions.

Conclusion

Investing in Bitcoin requires thorough understanding, strategic planning, and strong psychology. The future of Bitcoin and cryptocurrencies in general remains open, but remember not to rush. Large market fluctuations can cause heavy losses if you are not well prepared.

Take time to research, stay calm, and make strategic decisions. With proper knowledge and a smart approach, you have the opportunity to succeed in Bitcoin investment. Good luck!