How To Start A Crypto Investment Journey and Make Profits

Cryptocurrency BitcoinCrypto market is growing with high pace and is becoming an attractive investment platform. These days, many people are looking forward to investing in digital currencies which yield high profits.

But since it is an ever-fluctuating market, it may end up giving you a bad experience. So here, we are highlighting some important points and strategies that should be kept in mind before investing in crypto coin and while being on the crypto journey.

Points To Be Considered Before Investing In Cryptocurrency

  • Comprehensive Research

Comprehensive research on the crypto market before investing in crypto helps in cracking profitable deal. Make sure to choose a currency that uses reliable and credible use of exchanges and wallets. The tip here is, to begin with, the safest currency followed by diversification.

  • Analyse The History of Crypto Market

Crypto Market is active 24X7, but prices generally change in the morning hours. Sometimes it elevates enormously, sometimes it takes a big downturn and sometimes it remains stable for many months. Investing in crypto after analysing history makes your investment future-oriented and safe.

  • Understand the Volatility of Market

Before investing in cryptocurrency, understand that the crypto market is highly volatile. It will help you make better decisions, be emotionally stable and prepare you for future risks. If you are ready to relinquish 80 to 100% of your investment than only you should move ahead.

  • Reasonable Approach

A conservative approach will let you invest moderately. This will restrict your crypto investments to 1-4% of your capital, spared for investment, and buy-ins to the limit not exceeding 10% of that.

  • Trade With Mind, Not Emotions

Use your mind and data to choose a cryptocurrency. Your gut feelings and intuitions may not work here, but your rational decisions may help you save your hard-earned money.

  • Begin small

Begin with investing a small amount of money. Increase the investments once you start earning profits. Don’t make a mistake to invest everything you have in the volatile market.

  • Comply with the tax regulations

Before investing in cryptocurrency, go through the applicable tax rules and regulations. Step ahead towards investment only when you are sure that you can comply with the prevailing norms of government.

Strategies To Invest In Crypto Market

Buy Low, Sell High

Buy at low prices and then foresee to sell when prices elevate. If you can’t give 24/7 attention to the ever-changing crypto markets, aim to trade with only a small percent of your entire investable funds in buying a coin when the prices are low, keep them and sell them ASAP price reaches higher.

Trade crypto-to-crypto

Crypto-to-crypto has an advantage of relinquishing in crypto when you try to increase your stock of a particular cryptocurrency. It can save you from complicated situations that can make you skip good chances.

Begin with an average position and then HODL

Averaging in and HODLing is the best strategy for fresh investors as well as for a more risk more reward asset like Bitcoin, Ethereum, DogeCoin, Titan Coin, Beetle Coin, etc. Slowing entering and withdrawing positions over the time-period let you alleviate risk when you make investments.

Say “No” to Go all-in

Don’t make a mistake to put in all your investment funds at risk as it may end up with the disappearance of all your wealth without any choices except nullifying loses or waiting.

Written by Amit Gupta

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