Many visitors ask me the question that how can they start investing in cryptocurrency (bitcoin, ethereum, litecoin, etc.). This post is meant to address that issue and will be updated regularly.
In this post, we’ll see the basic requirements and techniques for safe and profitable to invest in bitcoin and other cryptocurrencies.
How to Start investing in Crypto currency
To start investing, we have to follow these steps:
- Make sure you’re investing the money which you can afford to lose, it’s less likely that you will lose, but you should be prepared for worst
- Understand blockchain and cryptocurrencies
- Understand the currency you like e.g. bitcoin or ethereum, and why is it different from others.
- Make sure that the currency you’re using it reliable, secure and useful for the world in long run
- Learn about crypto currencies wallets and types of wallets
- Make sure that you’re entering at the right time, not before a dip, or you’ll be highly disappointed and worried.
- Learn chart analysis and trading if you want to be a trader.
- Ask for an advice from an expert who is into crypto for long.
Now these were some obvious tips and sequence. However things need much more detailed explanation. I’ll try to explain them in different headings below.
How much money to invest in bitcoins?
The amount of money that one should invest in bitcoin, any other cryptocurrency or anything else should be chosen careful.
I know that one feels that if they sell their car, property and everything to go into crypto or any other investment that they consider to be going up, they will benefit a lot.
However, there are risks involved in every type of investment.
So when moving into something new at least, always invest only the amount that you can afford to lose.
Another best way to calculate is that you invest the amount that you can earn from regular income through job or business in 3 months, so that it doesn’t seem like a big burden.
What is blockchain and cryptocurrencies?
Understanding blockchain and cryptocurrencies as a concept is not necessary for someone to use or keep crypto currency or bitcoin. However it’s beneficial.
You can handle and manage the investment easily and in a better way if you know what you’re investing in.
Don’t just follow the herd and crowd and invest in something without knowing its details.
Best way is to youtube for videos related to introduction to blockchain and also for cryptocurrency and you’ll be able to learn a lot. We’ll add our own videos too, but till then check others!
Understand the currency you’re investing in
Once you know about cryptocurrencies. Learn about the famous and best crypto currencies. Once you’ve picked 1 or 2 (3 at max i would suggest), then learn about them. Keep learning and then you can even change you choice if you don’t find it good enough once you’ve read about it.
Never invest in the currency if you don’t know it in detail.
Make sure that the currency you choose is useful and reliable
That’s the most important step before investing in anything. If you’re investing in bitcoin or anything else, make sure that you understand that this thing is useful and needed by the world. If it’s not, then it will fall as soon as the bubble pops. However if it’s genuinely good and useful, it will last!
World’s requirements keep changing. So keep an eye on the usefulness of your invested crypto currency.
Crypto currency Wallets & their types
Cryptocurrency is stored in wallets. Thus read about wallets and types of wallets. So that you can choose the best way and wallet to store and secure your cryptocurrency.
For long term investment, it’s always best to have hardware wallets.
When to enter into crypto world
This is the key for success. Crypto currency keeps fluctuating, sometimes up to 30% or so in price. So if you’ll enter when it’s at peak and about to correct, then you’ll be depressed or confused for a long time, before it reaches back the level you entered.
So get guidance from pros and also do your own assessment and analysis before entering the market.
Learning chart analysis and trading
If you’re into trading and want to learn chart analysis and trade cryptocurrencies then it’s great too. It will help you benefit more from your investment.
However make sure that you don’t lose more money instead of making more. Make it trading, not gambling.
Ask an expert for advice
We can guide you with best of our knowledge. So that you can be part of the successful crypto investors and benefit from our experience and organized strategy.
Please let me know if you have any query or correction for this topic. If you need any help please let me know that too.