Hello friends!
I have decided to acquire as much learning and knowledge as possible as I begin to dip my two feet into the crypto world. Beyond looking forward to a full time content creator job on Hive and playing games, I want to also make bold moves when it comes to cryptocurrency investment. In my quest for knowledge, my tutor shared few tips which I wish to also share with friends here. Feel free to add the ones you think I've missed and also query the ones you think are not necessary in this list. Let's go!
1. Do your Research
We cannot over emphasize the need for any investor to gather sufficient knowledge for whatever asset she wants to invest in. Follow the market trends and iterate forecasts. Make an extensive research and if you have to make some financial sacrifices for that, do. I think there's a lot of free information on LeoFinance that can guide anyone who desires. You can also look out for top crypto PR platforms like Cointelegraph, etc.
2. Diversify your Portfolio
Never put all your eggs in one basket. Diversify your crypto portfolio. It is wise to allocate your investments and spread them across different cryptocurrencies an projects. This will also help you spread the risk involved. In case one fall, you can still live on the profits of the other and vice versa.
3. Use Secure Wallets only
The profits you would make in the next crypto bull run are as important as that safety of the assets you're buying. We have heard of many hacks in the past months and you don't want to be counted among the victims. Ensure you keep your crypto in secure wallets. Hive wallets are not just secure, you are in full control of your assets.
4. Manage your Risk
It is important to set clear goals regarding your investments. Know your pace and respect it. Set your goals based on your capital and not based on your greed-fed expectations. Determine your risk tolerance and don't stretch it. If you venture into futures, do well to establish stop-loss orders to protect your capital. Lest you lose everything.
5. Avoid FOMO
The Fear of Missing Out (FOMO) has made many investors to invest in a soon to crash project. Do not succumb to FOMO on potential gains. Let your investment decisions be based on a well-thought-out strategy. Don't join the multitude just to be in the trend. Don't be trapped in by manipulations.
6. Avoid Panic Selling
Patience is a key virtue in your crypto investment career. Be prepared for volatility and avoid making decisions based on impulse and short-term fluctuations. During the bull run, always expect a volatile market. Stay on your plan and do not be a victim of panic-selling. You may lose out of big profits from panic-selling. Long term is always better with crypto investments.
7. Don't be Greedy
Greed is always the main reason many people lose out of crypto investment. Always wanting to have more profit than your capital could afford could end unfavourably. Take you profits in bits and maybe reinvest in bits too.
Conclusion
Tying it up, it is important to note that investing in cryptocurrencies is a huge risk and that risk is what prompts the big profits. Don't be trapped in a wrong spot. Remember that there there are no guarantees of profits at all times. Keep your cool and celebrate your little wins. Do not forget to reward yourself each time to take your profits.
Do well to add yours in the comments section. May we be a part of the next crypto millionaires, but we've got to do the needful.