Should Bitcoin be in Every Portfolio?

Some of Bitcoins inherent qualities, notably its price volatility, deter its path to widespread adoption, especially as a stable medium of exchange.

“Its unpredictable swings make it risky for preserving wealth and impractical for pricing goods or services. Until it achieves greater stability, Bitcoin remains more of a speculative asset than a reliable tool for everyday financial use,” Blazdell told BeInCrypto.

In that sense, stablecoins are the more natural choice for common use cases. At the same time, common misconceptions around Bitcoin ownership tend to drive away adoption from retail investors.

Notably, the fact that one Bitcoin alone is worth over $100,000 causes investors to assume that only wealthy individuals can afford such an asset.

“The‬‭ notion‬‭ that‬‭ Bitcoin‬‭ is‬‭ too‬‭ expensive‬‭ often‬‭ ignores‬‭ that‬‭ it‘s‬‭ divisible‬‭ down‬‭ to‬‭ 0.00000001‬ BTC.‬‭ But‬‭ perception‬‭ matters—many‬‭ retail‬‭ users‬‭ still‬‭ equate‬‭ value‬‭ with‬‭ whole‬‭ units.‬‭ Until‬‭ there’s‬‭ better education, this psychological barrier will persist,” Kan explained.

These misunderstandings can lead traders to explore other cryptocurrencies, further driving attention away from Bitcoin.

Why “Affordable” Altcoins Outshine Bitcoin for Some Retailers

Since altcoins and meme coins have a lower price per unit than Bitcoin, retailers often find them more appealing. This is largely due to a misconception and a lack of understanding about how easily Bitcoin can be divided into smaller units or satoshis.

“‬This‬‭ price‬‭ tag‬‭ usually‬‭ scares‬‭ off‬‭ the‬‭ average‬‭ investor,‬‭ especially‬‭ when‬‭ they‬‭ see‬‭ altcoins‬‭ like‬‭ at‬‭ $1‬ or‬‭ $100,‬‭ which‬‭ feel‬‭ more‬‭ ‘affordable’‬‭ even‬‭ if‬‭ they‘re‬‭ riskier‬‭ investments.‬‭ This‬‭ perception‬‭ makes‬‭ people‬‭ think‬‭ that‬‭ at‬‭ this‬‭ point‬‭ Bitcoin‬‭ is‬‭ only‬‭ for‬‭ the‬‭ rich‬‭ or‬‭ institutions,‬‭ when‬‭ in‬‭ fact‬‭ regular‬‭ folks‬‭ miss‬‭ out‬‭ on‬‭ its‬‭ long-term‬‭ potential‬‭ because‬‭ of‬‭ the‬‭ lack‬‭ of‬‭ education,‬‭ which‬‭ is‬‭ a‬‭ shame‬‭ because Bitcoin’s fundamentals make it a solid investment against fiat devaluation over time,” Cardozo noted.

‭Regarding education, Bedzell highlighted that it‘s about grasping Bitcoin’s value and knowing how to hold it. ‭

“Managing private keys, understanding wallet options, and securing funds safely requires a level of technical literacy that many users do not have. This steep learning curve deters mainstream adoption and makes Bitcoin less accessible to non-experts,” he said.

However, widespread education wont achieve anything if Bitcoin lacks a reliable infrastructure to manage increased transaction volume.

Scalability is often cited as crypto‘s Achilles’ heel. Most blockchains –Bitcoin included— suffer from slow transaction speeds. If the blockchain cant handle the demand that comes with global Bitcoin adoption, the entire endeavor becomes futile.

“Bitcoins limited scalability is a major technical hurdle. The network processes around seven transactions per second, which is vastly insufficient for global financial systems that require thousands of transactions per second to function efficiently,” Bedzell told BeInCrypto.

Meanwhile, Bitcoin mining requires intense energy consumption. The steep resource demand and the regulatory pushback that comes with it further hinder widespread adoption.

“Bitcoin‘s Proof-of-Work consensus mechanism consumes vast amounts of electricity, often compared to the energy usage of small countries. This raises significant environmental concerns and clashes with the growing global emphasis on ESG (Environmental, Social, and Governance) standards. As institutions and governments place increasing importance on sustainability, Bitcoin’s high energy footprint could limit its integration into regulated financial ecosystems,” he added.

When all is said and done, Bitcoins remaining hurdles to achieving hyperbitcoinization outweigh its advantages.

Is Saylors Vision for Bitcoin an Overnight Reality？

Even with Saylors strong belief in Bitcoins eventual rise as a superior form of capital, its future dominance will ultimately depend on its ability to overcome the many obstacles it currently faces.

While his strong convictions shouldn‘t be ignored, Saylor’s vision for Bitcoin will not happen overnight. Because of this, investors should proceed with caution.

‬“It‬‭ depends‬‭ on‬‭ the‬‭ individual.‬‭ Bitcoin‬‭ can‬‭ play‬‭ a‬‭ role‬‭ in‬‭ a‬‭ diversified‬‭ portfolio,‬‭ but‬‭ it‘s‬‭ not‬‭ a‬‭ one-size-fits-all‬‭ asset.‬‭ The‬‭ volatility‬‭ and‬‭ regulatory‬‭ unknowns‬‭ mean‬‭ it’s‬‭ better‬‭ suited‬‭ for‬ those who understand the risk,” Kan concluded.

While Bitcoin certainly has a place in the future of finance, its present limitations suggest its more of an optional, high-conviction investment than a standard choice for everyone.