Crypto Casino Gambling During a Bull Run
In this article we explain the ins-and-outs of crypto gambling during a bull market, how it can add to the rush of your casino or sports betting experience, and how best to take advantage of it to maximize your potential winnings.
The Benefits of Gambling at a Crypto Casino During a Bull Run
One particular characteristic of bitcoin and cryptocurrency that can make gambling with it more exciting than with traditional (fiat) money is the fact that they are highly volatile, meaning they can move up (or down) drastically without a moment’s notice. In terms of the long term trend set by the history of bitcoin and most major coins to follow, this type of volatility has been in the favor of the crypto gambler, as the crypto market as a whole has historically spent more time going up than down.
While the years of 2014 and 2018 were largely exceptions to this rule, 2019 ended up being an extremely good year for bitcoin, as it was for the rest of the cryptocurrency market. 2020, on the other hand, has seen a definite downswing — yet with each passing day we are moving away from the lows set in mid-March, closer the long-awaited halvening, and perhaps a new phase of exponential price growth. If the previous two bitcoin reward halving events were any indicator of what is to follow this time around, we can expect to buckle up for some serious price action in the second half of this year.
1/ The next Bitcoin halvening is approaching, yet debate about its impact on asset prices remains mired in controversy.
Two camps have formed. One believes the halvening is already priced in by market participants, while the other does not. pic.twitter.com/ui4AWXB32E
— CoinMetrics.io (@coinmetrics) March 31, 2020
So, what does a positive shift in market sentiment mean exactly for crypto gamblers? It means that chances are better now than before of compounding your winnings with rising crypto prices for an even bigger cashout potential. Likewise, the blow of gambling losses can be softened and offset by ever-increasing coin prices. This is one advantage that gambling with cryptocurrency will always have over fiat casinos. However, it can of course be a double-edged sword if the price of your gambling crypto of choice drops as well.
How exactly does this work mathematically? Well, for example: let’s say you win 0.25 BTC in a bitcoin casino over the course of 2 days, and the price of BTC jumps 10% in this period of time (not unheard of by any stretch of imagination), from $6,000 to $6,600. This means that a profit that would have been worth $1,500 at the start of the 2 day period is now worth $1,650, meaning that upon cashout of the BTC to dollars you will have pocketed an extra $150 by simply deciding to gamble using bitcoin instead of dollars.
This phenomenon may also occur in reverse if you incur a net loss during the course of your BTC gambling and the price of BTC falls at the same time. Basically, when you are gambling with crypto, you are also betting that the price of the coin which you are gambling with will go up during the course of your playing (whether on purpose or not). You are therefore gambling on top of gambling. However, as throughout the lifespan of its existence the market has tended to go up instead of down, the “house edge” is basically in your favor when it comes to indirectly playing the crypto market.
The Pros & Cons of Gambling During a Bull Run
- Pros: As touched on above, you have the chance of accruing some extra wealth in terms of fiat currency (USD, EUR, etc.) should the market make a sudden move up during the time between your crypto casino deposit and withdrawal. Upward market action can help your casino winnings grow exponentially or buoy your losses – especially if you are using one of the more volatile cryptocurrencies as your gambling currency of choice. Interestingly, reputable crypto casinos are the victims of hacks far less frequently than exchanges, so keeping your coins at a trustworthy may render them less subject to a theft or hacking attempt than if kept on an exchange. Bull markets = rising crypto prices = more hacking attempts.
- Cons: It is important to remember that the inverse of this phenomenon can happen as well. If the price of your gambling coin goes down during your playing period and you lose money, then your losses will be even greater than if you had been using fiat currency. Another thing to consider is that should the market make a sudden upward move and you find yourself in a position where you want to sell your coins, a lengthy withdrawal process from a casino could hamper your chances of cashing out at the exact price you wanted to sell them at.
Crypto Sports Betting While the Market is Moving Up
Although correlations are not clear cut based on the small amount of data available, there seems to be a general trend of bitcoin and the crypto market as a whole tending to peak during the last quarter of the year, and fall during the first quarter of the year. The reasons behind this are complex but may follow general stock market theories, in that traders spend more time on the internet during the late year holidays and winter months and then sell off their holdings for tax purposes in the early year months.
This pattern certainly does not hold true every year, but it is strong enough to suggest that seasonality might play a role in bitcoin price movement behavior. Therefore, it may be important to take this into consideration when betting on certain sporting events and leagues. For example, American football (NFL) begins in the early fall and ends in the early winter, meaning that (sans post season play) your crypto has a greater-than-average change of increasing across the breadth of the football season. Baseball (MLB) begins in the spring and ends in the fall, which means you have a chance of catching some decent gains during the course of the season as prices shift from lower to higher. The English Premier League season starts in August and ends in May, meaning prices may have cooled down by the time the season ends.
If you plan on placing a sports bet far in the future, for instance on the outcome of a prize boxing match several months away, or betting on the victor of the NFL Super Bowl at the beginning of the season, keep in mind that the volatile nature of the crypto market can render the size of your winnings in terms of fiat currency quite different from what it would have been at the time of the wager. Sports seasons are anywhere between 3 and 6 months long, and as we all know, quite a bit can happen to the price of crypto during that period of time. Therefore, if you have a good feeling that the market may be headed up for an extended period, (as seems to be the case now), it might be a great time to put in a bet for an outcome 4 or 5 months from now.
Crypto Poker During a Bull Market
Of course, poker tournaments are relatively short-lived events, but even just a slight increase during the course of tournament play might be enough to help cover your tournament fees, making it another area of crypto gambling where the player is helped by strong bull market conditions. Unlike professional sports seasons, there probably won’t be much of a change in the price of your gambling crypto of choice, but potential for extra “winnings” in the form of a higher price are always nice.
One factor that does change with the arrival of a bull market is an increased number of players at the poker tables, which does make things a bit more interesting. Some crypto poker operations may go from only a handful of active tables to several hundred over the course of a couple months, all because the price of bitcoin is reaching new yearly highs. The virtue of a bull market brings a greater amount of players, and this means there will be enough demand for a variety of different types of games, blinds, limits, tournaments, etc. More real players also means cutting down on the chances you have of playing at a table filled with bots or multi-tabling players.
One final thing we want to re-emphasize is the importance of choosing a trusted crypto casino. Regardless of whether or not you plan on leaving your coins at a casino for an extended period of time, you will want to choose a casino that has a longstanding reputation for taking care of their customers’ funds. This not only includes casinos with good security practices but those who are adept at processing withdrawals in a timely fashion, and honoring the payout requests of their customers.
To get a good idea of which casinos we are talking about here, visit our Casinos page and pick from any one of our top 5 casinos, as these are brands that have withstood the test of time and built reputations for themselves by consistently providing a good business operation. For American-based gamblers, we suggest FortuneJack and Bovada, as they both have a large selection of casino games and more-than-adequate sportsbooks. For international players of table games and slots, mBit Casino and Bitcasino.io are our go-to favorites. For international sports bettors, we highly recommend Cloudbet.
Have any questions or comments about this article? Is there anything we missed, or that you would like to know more about? Feel free to let us know in the comment box below, and we’ll be sure to get back to you as soon as we can.