For me, this is kind of a huge investment, but should I actually do it?
What are the risks of doing this?
1,000 is not a very big amount for me. But I don't know about your situation. If you are a student or someone with outstanding loans, then I would advice against investing in Bitcoins. I agree that the exchange rates have increased by more than 400% during the last 12 months. But some of the analysts are saying that there will be a major correction very soon. So be careful.
Analysts always say that there will be correction, recession, market collapse, the bitcoin price can't sustain itself etc.
But they also said many times that real and 'true' price of bitcoin is 2000 or 5000 or 10k - depending on who is behind the calculation.
The reality is - when you buy bitcoin - you most likely will earn money from that investment, not matter how high you bought it, at some point price will be higher.