I have this friend who is starting to research the world of crypto and has decided she has $5000 to invest.
"What should I do with it?" she asks.
"Well, that depends on a number of factors", I reply.
Let's take a look at some of the considerations when deciding to invest.
Tolerance for risk - How well can you handle seeing your investment go up in flames? Crypto markets are very volatile and risky, and even getting a nice return doesn't guarantee it gets back to you if you don't take precautions to protect your electronic currency (Witness what happened to those who used Jaxx for a crypto wallet).
Day, Swing or Long Term Hold- Are you looking to trade daily, making a return by taking small percentages out of the market, or a trade over a few days for larger margins, or maybe just a buy and hold strategy?
Technical or Fundamental trader - Do you pour over the charts looking for patterns and indicators to guide your decisions or are you an avid reader of the latest reports, Reddit and rumor mill?
What are your goals? "I want to double my money in 90 days" would require a far different strategy than "I want to be able to draw a monthly income in 5 years".
So here is the beauty of the Steem Community. There are so many knowledgeable people here, I would like to get your opinions of strategies that you believe would be successful under the following 2 scenarios:
A. Getting the value to $10,000 by the end of the year or
B. Having a system that would allow you to withdraw $1000 per month indefinitely within 5 years.
I'll share with you my ideas in a later post, but as I am just a mere minnow, I would love to hear from the whales out there in the crypto ocean!
Stay safe and keep Steemin!