Top 5 best investing strategies to make money with Cryptocurrency

in #top7 years ago (edited)

       Welcome! If you are like me, and the many others out there  who want to start making money with Cryptocurrency, then you have come to the right place. In order to be successful and make some awesome money, there are five tips that you need to know and follow. If you follow these tips, I promise you will be making money in no time. That's what you want right? If so, I am honored to inform you that you are in the right place. So, lets begin with the first one.

1.) Start

       This one may seem a little obvious, but it is the biggest hurdle that any potential investors face. Even some investors who have been in the Cryptocurrency game for some time now will often struggle with this. Every minute you wait second guessing yourself whether or not you should start, you are missing out on potential profits. I understand the learning curve is difficult and the concept of Crypto Currency may sound foreign especially if you can't afford to lose any money. However, you need to get into the race if you want to have any chance at winning (or making money).

       I can't tell you with certainty where the best place to start would be, but I can certainly tell you that it just needs to happen. For me, it was getting approved on Coinbase.com and purchasing a single Ethereum coin. There are many articles on Steemit that show how to get started, I recommend giving one of them a try. I wasted a lot of time being overly cautious before I started, which meant that I missed the chance to make a lot of money (especially with Bitcoin and Ethereum).

2.) Patience

       Ironically, the concept to follow is patience, which occurs after you have started to invest. Yes, you may get lucky and make 10, 100, or even 1000 times your investment, but that isn't always the case. This is where the self discipline to wait and see your investment grow comes into play. Or as the Reddit community likes to say "Hodl" (meaning hold your investment). I have witnessed people get impatient because their currency was gaining interest slower than others, which resulted in them selling their currency for another, just to find out that the tables had turned and they were now missing out on what would have been an amazing investment if they kept their original coins. Yes, in some cases you can be impatient, but it is important to have some of your currency in what is called a "long term hold". For example, some early investors purchased thousands of Bitcoins for next to nothing. The patient people let it sit and turn into millions of dollars. The impatient people sold it, which resulted in probably the biggest mistake of their life. So please, please be patient. You are going to make money and lots of it, even if it isn't over night.

3.) Human Psychology

       The next tip is what I find the most fascinating, how the human brain reacts to certain stimuli. It is a dog eat dog world in the Crypto investing world, which paired with the stress of losing money, can make people do some pretty strange things. That being said, it can be quite predictable in some scenarios, which may work into your favor if you don't fall into the same pattern as that of the general population (usually new investors). What I am mostly talking about here is panick buying/selling. 

       I often see new investors panic when they notice that the price of a coin is drastically going up. As a result, they panic buy without looking at the charts, hoping to "join the train to the moon" (again, Reddit). More often than not, they end up purchasing it at the peak of the coins worth, which means the experienced buyers are about to sell (and makes lots of money). When these experienced investors start to sell, the price starts to sky rocket back down, resulting in the amateur worrying that they are about to lose their money,  so in response, they sell. The problem with this is that they end up selling for less than they bought the coin for in the first place which means negative income, not good. Back to the patience concept, you need to be okay with seeing your currency go down in value, it is how the market works. If you sell every time you see that, you are going to be broke very quickly. Don't always follow the masses, especially if you are late to the party because what goes up must come down (Unless you are Bitcoin/Ethereum). 

4.) Research and Learn

       I won't go into too much detail on this, perhaps I will write a few blogs on the subject in the future. What I want you to take away from this though is that education is key. You need to do research on how to read charts, best security practices, which coins are coming out with new features, etc. There is way too much to learn about Cryptocurrency in a single blog, so you need to start doing research everywhere you can now and get ahead of the competition. You are already way ahead of someone who is considering to start investing because you have read this article and are going to start right after. 

       Yes, the market is volatile, there are scammers, exchanges get hacked, etc.. However, the market can also be predictable once you know what to look for, you can make more money than you ever imagined (definitely better interest than having your money in an ordinary bank), and there are ways of keeping your currency secure. On the subject of security, don't trust anyone (even your cat), and I would suggest looking into a hardware wallet such as the Nano S (usually sold out and takes a while to ship, so order pronto). 

5.) Control

       The last tip I can give you is self control. It can be an exciting time, especially if you are making money. Just remember, you can't let it consume your life and who you are.  You also can't get money hungry and invest more than you are willing to lose, no matter how great of an opportunity it may seem, be careful and skeptical. Odd things happen that nobody can predict, which is why you need to play it safe. You also need to ensure that you step away from the screen and that you are getting the correct amount of sleep, exercise and nutrients. Otherwise you will be miserable and unhappy. What is the point of having money if you are unhappy? So be happy and make money!       

*I hope you enjoyed this blog, there will be many more to come. Thank you for your time and don't hesitate to follow or share. Good luck, and don't hesitate to reach out -@over-caffeinated