Cryptocurrencies are without a doubt the hottest investment opportunities right now. Cryptos are dynamic and as their exchangeability improves by the minute, they are poised to become the most reliable global currencies mainly due to the fact that they are free from manipulation. If you have not yet invested in cryptocurrency, now would be a good time to get in. The following is a cryptocurrency list of things to do to help you succeed.
Here is a cryptocurrency list of 7 things to do when starting out:
Research on cryptos
Knowledge is power. And in crypto space, it is more than power – it is money. You want to spend as much time as possible researching and understanding the principles of blockchain technology and anything worth noting in the crypto world. The more knowledge you have, the better investment decisions you will make.
Buy your first crypto
As soon as you are ready, buy your first crypto. Most people begin by buying Bitcoin and Ethereum because they are the most popular cryptos. History has proven that the value of these coins always increases over time so you can just buy and hodl.
Secure your investments
If you do a Google search of “lost my bitcoin” or “lost my ethereum,” you will find thousands of users complaining on Reddit and other social media of how they lost their investments to hackers. In most of these cases, the novice investors were just sloppy and that cost them a fortune. Take security seriously by storing your coins in a secure wallet and make sure to enable 2FA on your exchange and wallet.
Diversify your portfolio
Once you have invested in Bitcoin and Ethereum, take time to research other available alternatives in order to diversify. There are thousands of alternative coins aka altcoins that you can invest in. Some of these coins often spike periodically and you could easily make a fortune with them.
Look out for ICOs
An Initial Coin Offering (ICO) is a marketing strategy in which creators of new altcoins offer the general public an opportunity to invest in their coins before they are availed for trading. But be wary of any ICO that is overpromising investors because it could be a scam. Look for ICOs that have a solid problem they are trying to solve and research to find out who is behind the team before investing in it.
While buying and holding is a great crypto strategy, there is even more money to be made with trading. The only thing to remember is to first take time learning how to trade because if you go in blind, you could easily lose your money. With the right strategy, however, you can grow your account exponentially.
Cryptos are quite volatile. It is, therefore, a good idea to take profits whenever you can. You can sell a percentage of your investment once you are in profit and continue doing this as the charts rise. Eventually, the prices will have a pullback so you can buy back in at a lower price.
While investing in cryptos can be an easier way to make money, it can also be an easy way of losing money. The difference between those who make and lose money is information. Informed investors profit while ignorant ones continue making losses. Follow the steps suggested above in the cryptocurrency list of things to do and you will be safer.