Cryptocurrencies are becoming increasingly popular – and for good reason. Compared to 10 years ago, when Bitcoin was only $29.60, there has been a lot of development in the market. Today cryptocurrencies like Bitcoin and Ethereum have an average price of around $38.500 and $2.500, respectively. While the price fluctuates every now and then, it seems like cryptocurrencies are high-risk high-reward deals.
That’s why it makes sense that more and more people (and companies) are looking to get into the world of NFTs and cryptocurrencies. However, there is one crucial problem everyone faces when starting out: what exactly should you be doing as a beginner? We’ve outlined a few tips below that should help make your crypto journey off to a smooth start.
Decide which Cryptocurrency you want to invest in
As cryptocurrencies rise in popularity, there are a lot of new coins popping up. Some may look promising and others just aren’t worth your time and money. You’ll want to visit CryptoRunner to compare cryptocurrencies, and you can even purchase them on the spot when you make your decision. It all boils down to following the trend of which cryptocurrencies have a good market. However, it also depends on what you believe you can make a profit from.
Deciding how much to invest in cryptocurrencies is something everyone has trouble deciding. The markets for cryptocurrencies are sometimes unstable, and prices can fluctuate in either direction. If you invest too much, you can lose a lot of money for no reason. That’s why it’s safer to start small, and never invest more than you can handle losing.
Keep your Crypto safe
After buying a cryptocurrency, your first step should be finding a way to store it safely. That’s why cryptocurrency wallets exist. Depending on your preferences, you can choose to store your crypto in online or physical wallets. Physical wallets, AKA, paper wallets, are essentially scannable printouts – meaning your money is stored offline.
While it’s less convenient to keep your crypto, well, literally on paper, and have to scan it in order to trade and use it, it’s also safer. Considering it’s getting easier to hack online wallets, many experienced crypto traders opt for the physical route – at least for a portion of their stash. If you’re new to investing, you could stick to online wallets for now. Consider having an offline wallet when you know you’re ready to get serious about cryptocurrencies.
Stay in the loop
The worst thing you can do after buying cryptocurrency is forget about it. You won’t profit from it overnight, but you definitely won’t profit from leaving it lying around for good. Profiting from your investment requires staying updated and tracking the trends to know when the perfect time is to buy and sell.
Don’t panic when value drops for a currency you own that has a historic pattern of dropping and rising, but don’t rush to sell it on the first spike you see, either. Be patient and lurk for a while before you decide what to do. In short, it’s a taxing process, but a worthwhile one nonetheless.
There are a lot of tips and tricks to learn when it comes to investing in cryptocurrency, and the ones we’ve outlined above are just a few. Some things you can only learn from experience, but there are also some things guides can help you with. That’s why it’s important to keep reading and learning about how the world of cryptocurrencies works. There are a lot of good news sources that update and publish new information about crypto daily, all that’s left is to find them. Good luck on your crypto journey!