“We need to invest,” often comes from both wealthy people and the middle class. No matter how big a person’s salary is, when hearing the word “investment”, they automatically have green dollars in their eyes, like characters from the cartoon “Duck Tales”.
Let’s find out if it is actually possible to become a successful investor from scratch. And also not a simple, but a cryptocurrency one. Today we will pass the way of a novice investor into such a “high-level” sphere as digital currencies.
(please click the topic to scroll down to it)
- Step 1. Understanding how to invest and minimize risks
- Step 2. Is it profitable to invest into cryptocurrency in 2018?
- Step 3. Options for earning on cryptocurrency
- Step 4. Choosing the best and most promising currencies for investment
- Step 5. Monitoring forecasts and expert opinions
Before diving into the cryptocurrency world completely, you need to evaluate your chances and study the features of this sphere.
- Popularity. You need to earn on what is at the peak of popularity and demand.
- Volatility of the rate. In simple words, this is a quick result, which will be available for days and even hours, not years or months. The situation on the cryptocurrency market is changing very quickly.
- New opportunities. Tokens are created with such frequency that it is not a problem to choose what to earn on.
If you have already firmly decided to connect your destiny with digital money, then we will go further, but before that you must realize that cryptocurrency has both advantages:
- anonymity of transactions (forget about taxes and control by the state),
- decentralization (no one except you decides the fate of your investments),
- the absence of inflation (this is not fiat money, cryptocurrency is issued in limited quantities),
- no cryptotwins (it is impossible to copy digital currency).
- no one regulates anything, and therefore no one is responsible for the safety of your investments in electronic wallets,
- it can actually be banned in your country, and then such activities will be outlawed with all the ensuing consequences,
- do you remember us talking about volatility and quick results? So it can be negative – you invested $100 an hour ago, and some time later you only have $50, and there’s simply no one to complain to about it.
If you are a fearless optimist or a clever realist and yet want to invest into cryptocurrency, let’s dive deeper.
Investing into Bitcoin would have been much more profitable in the autumn of 2017 than in 2018. But who knew, who knew? Therefore we cross fingers and hope that the world’s #1 cryptocurrency will show how it can surprise. But wait, what if you do not have the means to buy Bitcoin? How to buy cryptocurrency then? In such case it is worth considering more budgetary, but no less promising options. Every day The Coin Shark releases articles both with a description of popular cryptocurrencies and reviews of startup tokens. Nobody will ever tell you what to invest in. This is only the matter of your choice and a good analysis of the risks and prospects of investment in the cryptocurrency. This is the only way to learn how to “feel” the changes in the market and not be surprised about the drastic rise or fall. Although, cryptocurrency can sometimes surprise even the most tactical analysts.
You can enlarge your investments in different ways, but these are basically the main ones:
Our patience and your time will not suffice to tell you here and now about all the ways of mining. If you do not even suspect that we have already written for you about all of this in the article “What is mining?“. Then we talked about the popular programs for mining in 2018 and created the material “The most popular pools for mining cryptocurrency in 2018” for the people advanced in this topic. For those who know what cloud mining is, we described the most popular cloud mining services.
Choose and study carefully the most interesting direction for you. As for the opinion of the editorial board on this method of making money, it is definitely:
- you must be technically versed in the process,
- be ready to invest in equipment,
- understand that mining’s being popular today doesn’t mean it will be in demand tomorrow.
2. Trading on exchanges
If your favorite movie is “The Wolf from Wall Street”, then you have come to the right place. However, the fact is that tokens do not like negligence when working with them. You need to understand: if you decide to trade, study the product. In any case, including cryptocurrency, you need to understand what the object of trading is and how it behaves. Can this or that cryptocurrency in your investment portfolio grow or fall drastically? And if it fell, then how quickly will it recover? To understand this, you need to know the history, monitor graphs and understand the technical nature. If you still think that Ethereum and Bitcoin are the same things, then stop reading this and study the topic again.
3. Storing cryptocurrency in the wallet
This method is not for lazy people, it’s for thoughtful ones, these are the so-called “long-term investment in the cryptocurrency”. In fact, you do nothing, you buy a profitable token and wait for its growth. Everything seems pretty simple. However, it is important for this method not only to be able to choose the object of investment, but also to have an electronic wallet. This is important in our time, because hacker attacks are far from stopping.
4.Investments in ICO projects
Only the news about scum appear more often than news about hacking. It is impossible to count how many unlucky investors have already fallen into the clutches of swindlers. And no matter how many portals write that almost half of all existing projects are scams, people still continue to invest. It’s not always true that projects become scam on purpose, it happens, they simply can not realize their idea to the end. Whatever it was, here applies the same rule as with trading – studying.
We have recently written about new and prospective tokens that launched in 2018. There are a lot of such materials today, but it is highly unlikely that someone will tell you what kind of cryptocurrency will grow and 100% “skyrocket.”
There is no such concept as “the most promising cryptocurrency in 2018”. There are always a few of them, and experienced investors understand this.
These days experts point out both known tokens and newcomers. Investors allocate Ripple and EOS as tokens popular for investing, which occupy the 3rd and 5th place in the CoinMarketCap rating respectively. Among the little-known ones, the positive opinion of analysts belongs to Cardano and Verge.
“Investing” is not just being thought out and oriented towards passive income. You can increase your capital only if you know how to do it. You can learn from experienced traders or miners, but, in any case, everything comes with experience. If you decide to dive into the world of cryptocurrency and become a “shark” of this business, be prepared to learn a lot and give up your time and money. It is up to you to decide. However, the main thing is: adhere to the rule of wise investors – invest exactly as much as you are ready to lose.
Subscribe to The Coin Shark news in Facebook: https://www.facebook.com/coinshark/