Judging by the recent price increases for digital currencies, more and more investors are considering the idea of getting their very own digital currency portfolio. However, as easy as it may sound, having a crypto portfolio with a high-yield potential can often be difficult if certain tips aren’t followed, and especially if investors are on a budget.

Therefore, when making digital currency investments, it is often essential to reach a perfect balance in your portfolio, by finding smart ways of diversifying it. In return, this will lead to an increase of the potential yield, while also reducing possible loses, based on market volatility.

During the last couple of months, we have often heard economic analysts state that bitcoin is likely a bubble, about to burst, thus bringing forward a huge price decrease. Yet, this never actually happened, regardless of having the digital currency express its volatility during the last few weeks, with trading volumes going below the $3,999 threshold, and then rising back again to newer all-time highs.

However, it isn’t that hard to understand why numerous investors, bankers, finance enthusiasts, and of course market analysts tend to believe bitcoin is a bubble- because they’ve never seen anything like it. Since 2009, Bitcoin has managed to become the world’s most valuable currency, with no medium of exchange worth more than bitcoin is at this moment in time. When compared to traditional, fiat-based currencies, which have only gradually modified their value with time, it is understandable why bitcoin really took the world by storm.

In a recent article, we talked about the main advantages and disadvantages of investing in bitcoin. While the currency continues to evolve, its underlying technology, the blockchain is seeing an even quicker growth.

With this in mind, blockchain technology can be regarded as one of the hottest trends in the financial market at this moment in time, as it has the potential of completely transforming traditional business models in numerous sectors. Numerous banks, governments and financial institutions have openly discussed about their plans to adopt blockchain technology, which is why more and more people are actively looking for ways to invest in the blockchain boom.