Why Bitcoin is the Best Cryptocurrency to Buy With $500 Right Now
Blog Agent Posted On January 7, 2026 Why is the Best Cryptocurrency to Buy With $500 Right Now
The crypto market is down. Top coins have dropped 10% to 30% in the last month. Bitcoin trades almost 25% below its all-time high of $126,000 from October. This looks scary. But smart investors see a chance. Buying the dip has worked well for Bitcoin over time. If you have $500, now could be the time to buy the
The Current Crypto Dip: A Hidden Opportunity
Crypto prices are falling across the board. Many wonder if any coin can rise by year-end. But one stands out: Bitcoin. It is down 25% from its peak just one month ago. Yet, it has the strongest history in crypto.
Bitcoin’s long-term trend is up. Over 15 years, it has grown a lot. Dips like this let you buy cheap. History shows these drops lead to big gains later.
Bitcoin’s Amazing Track Record
Look at Bitcoin’s yearly returns from 2012 to 2025:
- 2013: +5,428%
- 2017: +1,375%
- 2020: +305%
In seven years, it grew over 100%. The worst year, 2015, still gave +36%. No other crypto matches this.
Why? Bitcoin is the king of crypto. It has the biggest network, most users, and real-world use. Companies and countries hold it as a store of value like gold.
The 4-Year Bitcoin Cycle: What It Means for You
Bitcoin moves in 4-year cycles. This ties to its halving events. Every four years, miners get half the new Bitcoin. This cuts supply growth. Prices often rise after halvings.
Past cycles show this:
| Year | Event | Result |
|---|---|---|
| 2012 Halving | Supply Cut | Big Bull Run |
| 2016 Halving | Supply Cut | Peak in 2017 |
| 2020 Halving | Supply Cut | Peak in 2021 |
The bad years? 2014, 2018, 2022. Each four years apart. This hints at a dip in 2026. We may be near the end of the current cycle.
Can Institutions Break the Cycle?
Some say no more big drops. Big investors like BlackRock and Fidelity pour money into Bitcoin ETFs. Inflows hit billions. This could smooth out wild swings.
They argue drops will be small, like 25%, not 60%+. But cycles have held for 15 years. History warns of caution.
How to Buy Bitcoin with $500: Your Options
You have choices:
- Direct Buy: Use exchanges like Coinbase. Buy BTC outright. Easy, but needs a wallet.
- Proxy Stocks: Buy miners like Marathon Digital or firms holding Bitcoin like MicroStrategy. They track BTC price.
- Spot Bitcoin ETFs: Best for beginners. Trade like stocks. Top one: iShares Bitcoin Trust (IBIT) at ~$55/share. Gives 1:1 BTC exposure.
ETFs shine under $100. Perfect for small buys.
Dollar-Cost Averaging: The Smart $500 Strategy
Don’t dump $500 at once. Use dollar-cost averaging (DCA). Buy fixed amounts over time.
Example with $500:
- Week 1: $100
- Week 2: $100
- And so on for 5 weeks.
When prices drop, you buy more BTC. When up, less. This cuts risk. If dip worsens, you win big.
Tools: Set auto-buys on exchanges or ETF apps.
Why Not Other Cryptos?
Ethereum? Good, but more complex. Solana? Fast, but riskier. Altcoins crash harder in dips. Bitcoin leads every bull run. Your $500 is safest here for big upside.
Risks to Watch
Crypto is volatile. Regs change. Hacks happen. But Bitcoin is safest. ETFs add protection.
2025 and Beyond: Bullish Outlook
Post-dip, history says boom. Next halving in 2028. ETFs grow. Adoption rises. $500 in BTC now could multiply.
Prediction: DCA now. Buy low in dip. Sell high later.
Final Thoughts
The
Ready? Open an account, pick your method, and buy.
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Disclaimer: Blockmanity is a news portal and does not provide any financial advice. Blockmanity's role is to inform the cryptocurrency and blockchain community about what's going on in this space. Please do your own due diligence before making any investment. Blockmanity won't be responsible for any loss of funds.
