Betting on Bitcoin

Betting On Bitcoin

Ladies and gentlemen, this is your captain speaking. Please strap yourselves in and prepare for gains. The near-term forecast shows that betting on Bitcoin is highly likely to become ridiculously profitable. However, there will be turbulence, so make sure to sit back, relax, and try to enjoy the journey.

Welcome to my guide to betting on Bitcoin. It’s getting exciting in crypto land, and the whispers of a new Bitcoin bull run are growing louder. Pretty soon, I predict that people will begin shouting and eventually yelling from the rooftops that the next Bitcoin all-time high is near.

Eventually, it will crash and retrace like it always does, but not before we place our bets on Bitcoin and lock in tidy profits.

Let me guide you through the world of Bitcoin gambling.

I’ll show you what it is, why it’s highly likely to increase substantially in value, and how to place real money wagers on BTC quickly and easily.

Betting on Bitcoin – A Short History

If you’re already familiar with Bitcoin’s origins and historical price action, you can skip this section. If you’re new to Bitcoin, you should read it because it will explain some fundamental things about how to predict the price of Bitcoin and where it’s going next.

When Bitcoin was first released by the mysterious computer programmer Satoshi Nakamoto, it wasn’t worth anything. Geeks and cryptographers “mined” it with computer software and traded it between themselves. Nobody knew if it would ever be worth real money.

On May 22, 2010, a computer programmer called Laszlo Hanyecz bought two pizzas for 10,000BTC. At the time of writing, those Bitcoins are worth $180,000,000. This was the first time Bitcoin had ever been exchanged for real-world goods or services. Soon, the first Bitcoin exchange called Mt. Gox popped up, and people started trading Bitcoin for real money.

Through various cycles, Bitcoin rocketed up thousands of percent, crashed just as quickly, and ground its way up again. It’s one of the most volatile assets in the world, and for gamblers like us, volatility has always spelled opportunity.

Over time, people figured out that there are some fairly reliable ways to predict the price of Bitcoin. We’ll get into those later in this Bitcoin betting guide. For now, let’s just say that Bitcoin’s price history has been a wild ride, and fortunes have been made and lost along the way.

So, that’s a short history of Bitcoin’s price. Let’s now look at what drives it.

Bitcoin – Supply and Demand Drives Price Action

Before you bet on Bitcoin, you should gain a fundamental understanding of what drives the price. You do not need to understand how Bitcoin works to grasp this, but you do need to get what Bitcoin is to understand what’s likely to happen next.

Please Note:
For years, people thought of Bitcoin as digital cash. Many saw it as some sort of revolutionary payment network. While the price continued to increase in value over the long term, people rightly wondered why these random digital coins should be worth anything at all.

Slowly, a different narrative has taken hold. Most people now see Bitcoin as digital gold. It shares many of the same properties as gold in that it is scarce and can’t be inflated. Many argue that it’s superior to gold because of how easy it is to store and move by comparison.

So, if Bitcoin is digital gold, then it’s a commodity.

And what drives all commodities like oil, gold, or coffee beans?

The law of supply and demand.

The Bitcoin Halving – Why Bitcoin Explodes Every Four Years

What many first-time Bitcoin gamblers don’t understand is why it’s scarce. After all, Bitcoin is digital, and digital things are notoriously easy to copy. Why can’t someone just create an infinite number of Bitcoins?

New Bitcoins are created through a process known as mining. Without getting into geek territory, vast quantities of computing power are dedicated to solving mathematical puzzles to unlock new Bitcoins. It’s impossible to fake this. There will only ever be 21 million Bitcoins, and they’re released in new blocks every 10 minutes after the key to unlock the next block is solved (hence, the name “blockchain”).

Now, here’s the kicker:
Every four years, or thereabouts, Bitcoin undergoes something called a “halving.”

That means the number of new Bitcoins in a block will be cut in half. This happened for the third time in May 2020. It will continue to happen again and again in the future for as long as the Bitcoin network runs. Eventually, in over 100 years, no new Bitcoins will be created.

When you think about this, it means that Bitcoin is the only thing on the planet that’s guaranteed to get rarer and more scarce over time. That’s why many people argue it’s an excellent store of value like gold. Historically, Bitcoin’s price increased dramatically after these halving events. Take a look at this chart to see what’s happened previously.

Bitcoin Price History

As you can see, the market responds positively to Bitcoin halvings. It’s almost as if people can intuitively sense that this is something truly rare that can’t be printed to infinity by central banks whenever they feel like it. If you’re into gold and silver or are of the school of thought that debasing a currency’s worth is wrong, Bitcoin would be a natural fit for you.

Whether you believe in all of that Bitcoiner ideology or not doesn’t matter.

What matters is that you can make money betting on Bitcoin after these halving events because the price increase almost becomes a self-fulfilling prophecy.

People expect the price to increase, so they buy, causing the price to increase. This causes more buying, and so on, until the funds available for buying are exhausted. Eventually, when this happens, Bitcoin tops out, and the price begins to retrace.

Enter the Billionaires

I’ve owned Bitcoin and have been watching the cryptocurrency space closely since 2017. During that time, I’ve placed several real money bets on Bitcoin.

Ever since as far back as I can remember, prominent Bitcoin advocates have been tweeting, writing, and telling whoever would listen that “institutional money is coming” and that the biggest bull run was still to occur.

Truthfully, I was always skeptical of these claims, and I dismissed them as wishful thinking. However, over the course of the last year, I’ve been proven incorrect. The billionaires are buying Bitcoin, and they’re coming thicker and faster than I imagined possible. Here are five stories you can read to illustrate this point.

Do you think that maybe these guys are onto something? I mean, love billionaires or hate them, they tend to be pretty smart with money. For me, this is yet more evidence that there’s potentially massive upside in owning and betting on Bitcoin.

Consider This:
If the world’s richest people decide to put even 1% of their collective wealth into Bitcoin, the previous bull runs will look like bull calves stretching their newborn legs by comparison. Remember, there can only ever be 21 million Bitcoins. A feeding frenzy could quickly break loose.

Even if that doesn’t happen to that extent, the price has already increased substantially since the halving and will probably continue to do so if history is anything to go by. It’s happened twice before, and lots of people seem to be betting on Bitcoin again.

How to Bet on Bitcoin Online

Hopefully, by now, I’ve convinced you that betting on Bitcoin is worth the risk. All gambling entails the potential to be wrong, of course, but Bitcoin gambling is growing in popularity as the price action heats up.

One of our top-rated gambling sites offers real money action on Bitcoin. At Bovada.lv, you’ll find odds on one of the simplest Bitcoin bets you can make, whether it will be up or down within a specific window of time.

At Bovada, the Bitcoin betting windows last for two hours.

For Example:
You can bet on whether it will be up or down from the current price between 6 PM and 8 PM ET. You’ll get -115 odds on both outcomes.

Bovada uses the Global Bitcoin price index to settle this, so it’s 100% fair and transparent.

Bovada Bitcoin Betting Odds

If this sort of betting doesn’t appeal to you, you could always bet on sports of play in the casino at Bovada or BetOnline.ag, then cash out your winnings in Bitcoin. These are both Bitcoin betting sites, so they’ll both accept and allow you to cash out in Bitcoin.

And if you’re working with a smaller bankroll than you’d ideally like, this could be a fast way to accumulate lots of Bitcoins before the big run starts in 2021.

For Example:
If you wager $100 on slots and win a $20k jackpot, that’s enough for a whole Bitcoin at today’s prices, plus you’d have some left over to have fun with.

If Bitcoin goes anywhere close to $100k or more, which many people believe it will, you don’t need me to spell out what that means for you. I’ll be playing some slots and making some smart sports bets to try to increase my Bitcoin holdings as much as possible since I’m more interested in holding for months or years to get maximum value.

If you do win Bitcoin at either of these sites, you can then withdraw it to a secure wallet and sit on it until you’re ready to sell it on an exchange. Then again, if Bitcoin becomes as big as they say it might, and if you have a long-term perspective and some extremely “strong hands,” you might not need to sell it at all. Maybe you’ll be like the guys from 2010 who still hold their Bitcoins that are worth millions now. They’re waiting for the day when they can spend it directly.

Betting on Bitcoin – Summary

Bitcoin is not a “get rich quick” scheme. It is a new digital asset, and no matter how many people say it’s dead, it keeps rising and reaching new all-time highs.

I have no idea whether we’ll be looking back in 2030 and saying, “Wow, Bitcoin was only $20k back then,” but I do believe Bitcoin will increase in value by a lot in the next year or two as the new cycle kicks in. I’m all about getting as much profit as I can.

Betting on Bitcoin online is the smart move for late 2020 and early 2021. Even if it doesn’t work out, the risk of not betting on Bitcoin is greater than the risk of doing so. Thanks for reading, and may the odds work out for you!

Gavin Lucas / Author

Gavin has been writing about online gambling since 2015. He developed a love for it when it enabled him to travel the world while working from his laptop. Since then, he’s settled down, and his traveling days are over, but his love for casino games never left. Gavin is based in the UK and is a regular slot and roulette player. He’s deeply interested in cryptocurrencies and their intersection with gambling. He also obsessively follows politics and often writes about betting on elections and other political outcomes.