5 Tricks all Cryptocurrency Investors Must Know!

If you don't have knowledge, you're nothing but a gambler, and you better remember - the house ALWAYS wins
If you don't have knowledge, you're nothing but a gambler, and you better remember - the house ALWAYS wins

When starting off your way towards financial freedoms, you should learn for peope who did before you, here some tricks I learned from some top investors.

The Path to Sophisticated Crypto Investing

Being a fresh cryptocurrency investor, kicking off your shoes and taking your initial steps throughout the path of The Blockchain, you’ve certainly found yourself asking the following questions: did the bitcoin bubble burst, is this a good time to get started, and what are the most effective tricks to profit from this newly emergent investment space?

While you’ve been asking yourself these questions, along with millions of others, you’ve perhaps observed the prolonged bear market cryptocurrencies have been facing the past year. Seeing from a more historical view, I observed that this is only the most recent bear market, of which there have been many before. Similarly, for every bear market, there is a bull market; an ongoing cycle of perpetual balance. Hence, even after the recent major drops, cryptocurrencies are far from being done, and the path to cryptocurrency investing nirvana stands stronger than ever.

The famous securities platform SharesPost reported that 72 percent of cryptocurrency investors are looking to purchase more holdings in the next 10 months. You should, therefore, be prepared to see some serious traffic on your journey and pack your bags accordingly. As with any rewarding trip, it’s better to be as prepared as possible. In this article, I’ll provide you with the five vital tricks to help take you to your desired state of cryptocurrency investing enlightenment.

1. Don’t Pay Attention To The “Noise”

Many pessimists in the media and financial sectors may tell you that cryptocurrency is just a fad, over-rated and over-hyped speculation, or even a pyramid scheme. On the other hand, an expanding population has started to embrace the financial prospects and practical applications of cryptocurrency assets. Both sides have loud voices and tend to make a lot of noise.

This level of noise is not going to go down anytime soon, as Satis Group predicted cryptocurrency trading activity for personal investors will increase by 50% in 2020. In order to be heavily rewarded in this space, it is recommended to simply buy and hold what you believe in while ignoring all the noise around you.

2. Be Ready For Everything

But, significant volatility is a real thing in cryptocurrency markets which just cannot be neglected. Seasoned cryptocurrency investors are used to massive price swings that you never really see in traditional markets.

By being mentally prepared for these unfavorable, and occasionally terrifying, investment performances, the wise crypto investor will be able to act sensibly instead of emotionally in times of unexpected price drops.

3. Don’t Fall Prey To A Bad Investment strategy

A typical mistake for rookie cryptocurrency investors is joining what is known as a “pump and dump” group. Specific social media communities or ‘gurus’ might even promise investment tips and tricks regarding a particular coin. You need to stay away from such places at all costs; when investors go down these roads, they don’t often come back.

The major problem is that because derivatives trading is a zero-sum game, there has to be a winner, but more crucially a loser as well. Until and unless a robust investment or trading strategy is in effect, blindly following such advice is the fast track to losing all your investment to modern-day snake oil salesmen.

4. Do Your Research

In today’s digital world, there is even Wi-Fi on the path to crypto investing enlightenment, thus there is no excuse to invest with little to no knowledge of the basic asset. The majority of the coins have easily accessible whitepapers online. And just like having maps in the car, the savvy traveler must be prepared.

From the highly traded to the most niche, resources such as the All Crypto Whitepapers will help any investor boost their knowledge on potential future investments. If it is not possible to predict how the coin operates and more importantly, make money, then it would be intelligent to look for another investment opportunity.

5. Invest In Multiple Coins

Basic investment sense dominates when it comes to cryptocurrency investment: diversification is vital. Just as financial advisors suggest taking positions in several types of stocks and other investments, diversification is also key for any healthy cryptocurrency portfolio. Now that you’ve done your research, grasp the opportunity to invest in multiple coins. As one example, you can invest in various sectors that serve different cases. Just like it’s always safer to travel as a group than as a single person when you’re in a new country, making a diversified portfolio will assist you throughout your path toward recognizing possible future cryptocurrency gains.

 

And this one is another good article taht will get you closer toy our goal