Skip to content
theflyslip.net

theflyslip.net

investing in cryptocurrency

8 tips for investing in cryptocurrencies

Olivia Souter, February 18, 2019

There is not a week today without talking about cryptocurrency. These almost providential financial assets have made a few rich people in the blink of an eye. But digital currencies are more and more numerous on the market, and not all of them carry great promise. You will only benefit from this financial windfall if you know what you are doing investing in cryptocurrency.

  1. Know your cryptocurrency

Indeed, in the same way that all commodities cannot be traded profitably, not all crypto-currencies are good investments.

The full return on your capital lies in the investment choices you make. It is therefore imperative to separate the wheat from the chaff. You must train yourself.

Do not hesitate to do some research on the cryptocurrency you are interested in. It is thus necessary to compare the evolution and the reactions of each cryptocurrency with the increases and decreases in the price of Bitcoin.

  1. Keep your cool and avoid running on instinct

Even if you feel good, the market can play you fatal tricks. As you may already know, the volatility of the cryptocurrency market is its biggest asset. But it is also the biggest risk to which your capital is subject. Prices can go up quickly, and go down even faster. So do not bet everything on a single cryptocurrency. This is the best way to prevent this risk.

Young shoots have enormous potential for rapid growth. But these are also the ones with the greatest risk of collapse. So diversify your portfolio by investing in stronger cryptocurrencies like Bitcoin or Ethereum.

  1. Do not fall in love

Also, avoid developing an emotional connection with the cryptocurrency you own. Basically, if you bought them, it is in order to resell them more expensive. Do not hesitate to do so as soon as the opportunity arises.

  1. Buy when the market is at its worst

When we hit the bottom, we can only go back up. This rule is (to a certain extent) as true for the cryptocurrency market.

In fact, the FOMO (fear of missing out, the fear of missing out) pushes many investors to rush to a cryptocurrency as soon as it engages in a significant upward movement.

But it could be that the cryptocurrency that has just jumped 40% or more and towards which you are heading stops growing at this level. Worse, her course could immediately plunge if she is subject to market manipulation. Small cryptocurrencies are the most exposed to this factor.

It would be best to adopt the opposite behavior. Buy low, when it’s flat calm, when the price of cryptocurrency stabilizes after a significant fall. Thus, you will have much more chances to see your investment appreciate.

  1. Panic is a very bad counselor

And it is the beginners who are most exposed to this hazard. The cryptocurrency market is inherently volatile. Do not panic when the market is pitching. There is no cryptocurrency whose evolution curve is straight. Even when it is gaining value, the curve of its growth evolves with its ups and downs. It is therefore useless to rush to sell all its cryptocurrency as soon as the market undergoes a few shakes.

  1. The value of cryptocurrency can play tricks

It’s not just the unit price of a cryptocurrency that counts. Its market cap (market capitalization) , the total value of its money supply, is something that will give you important information on its upside potential.

  1. Eyes bigger than the belly, it can hurt

History will remember that in the cryptocurrency market, any asset that is experiencing a flamboyant rise eventually ends up undergoing a similarly violent correction. With experience, you will learn to spot the peak of the climb to sell your assets.

  1. Ban the overconfidence

Finally, do not make the mistake of thinking that you are a genius because you have done two or three good things. Overconfidence will undoubtedly push you to take thoughtless risks.

Finance

Post navigation

Previous post
Next post

Categories

Archives

Buy Facebook Comments from CommentsHero

Looking to supercharge engagement on your Facebook posts? Your solution is right here with CommentsHero! Buy Facebook comments to boost interaction and credibility on your page, enriching your online footprint. Whether you're pushing your business or sharing personal stories, increased comments translate to enhanced visibility and deeper connections with your audience. Explore the endless opportunities at CommentsHero today and skyrocket your Facebook posts to unprecedented levels!

Recent Posts

  • Relaxed Fit Short for Mens

  • Butterfly Hairclips

  • Shelf Walmart

  • 90s Vintage Windbreaker

  • Computer Tips – Some Beneficial Computer Tips For Normal Computer Customer

  • Mesh Long Jackets Mens

  • Top 10 Best Penn Battle Ii Spinning Fishing Reels Combo Comparison

  • Top 10 Best Bluetooth Headset Stereo Microphone Comparison

  • White Denim Jacket Mens

  • Celebrity Denim Jackets Mens

  • Men’s Short Elastic Waist

  • Black Turtleneck Sweaters for Men’s

  • Best Suits for Men 2018

  • What Are Bermuda Short for Men?

  • Diesel Denim Jackets Men

  • Win At Sports Betting – Important Factors You Need To Know About Online Sports Betting

  • Top 10 Best Fishing Line For Trout Comparison

  • Top 10 Best Diy Rope Trivet Comparison

  • Nj

  • Top 10 Best Penn Clash Spinning Fishing Reel Comparison

  • Top 10 Best 100 Lb Fishing Line Uk Comparison

  • Top 10 Best Compare Sprint And Tmobile Coverage Comparison

  • Black Punk Jackets Mens

  • Top 10 Best 20 Lb-test Nylon Fishing Line Comparison

  • Men Distressed Leather Winter Jackets

  • Top 10 Best Ikea Trivets Uk Comparison

  • Pink Leather Jackets for Men

  • Columbia Sportswear Men Flash Forward Down Jackets

  • Black Military Sweater Men’s

  • Flower Bomber Jacket Men

©2025 theflyslip.net | WordPress Theme by SuperbThemes