Dr. Martin David Weiss is the President and founder of Weiss Group LLC, the company that provides information to investors. He has a PhD from Columbia University and more than eight published books to his name. He recently published a blog post listing12 of the weakest cryptocurrencies. Thankfully, they don’t include Bitcoin, Ethereum or any of the other top 10 cryptocurrencies.
When Do Prices Crash?
According to Weiss, social media and ‘quick money’ frenzy is the reason behind sudden declines in cryptocurrency prices. Newcomers are overwhelmed with unclear information fed to them via different sources. They start buying cryptocurrencies blindly, exchanges become ‘overwhelmed’ and the result is unfavorable for everyone. So far, the statement is quite true – 2017 bought an enormous amount of attention to cryptocurrencies. From The Big Bang Theory to Snapchat, everyone was covering this famous topic, and so the entire crypto market was highly valued in December 2017. However, on February 2018, we saw the worst decline in cryptocurrencies.
Weakest Coins Based on Weiss Ratings
Considering investor risk and reward, as well as cryptocurrency adoption and technology, the lowest cryptocurrencies are:
Auraracoin (D-)
Comet (E-)
Electroneum (E+)
Expanse (E)
Gulden (D-)
Matchpool (E)
Magacoin (E-)
Novacoin (E)
PotCoin (D-)
Quark (E-)
Rise (D-)
SaluS (E-)
In order to avoid investing in losses, Weiss listed six simple instructions for investors. Firstly, don’t invest your all your savings into cryptocurrencies: “Limit your stake to about 5% of your liquid assets.” Secondly, don’t overbuy when the market is falling sharply. Instead, buy in small amounts slowly. Thirdly, don’t buy famous cryptocurrencies – even if you want to, do your own research and understand the coin before getting one for yourself. Fourthly, keep a look out for weak cryptocurrencies and maintain a safe distance. For instance, the twelve cryptocurrencies mentioned above are not the ones you should be collecting in your wallet. Fifthly, don’t keep your coins on an exchange: instead, buy a cold storage wallet. Lastly, share your private keys and login information with someone you can trust, just like you would name successors in real life investment.
Weiss has mentioned some important points in his post. Unfortunately, he has received hate from Bitcoin advocates because his company gave Bitcoin a rating of C+. “For investors an A rated crypto would be one that rarely crashes, and right now, there’s no such thing. But we do understand where developers are coming from. They tell us they don’t care about market fluctuations. They feel our ratings should reflect strictly the quality of their work and its relative success in the real world,” said Weiss on the topic.
Quotation from https://bitrazzi.com.