Investing in bitcoin can be quite stressful and intimidating especially for cryptocurrency beginners. If care is not taken, as a beginner, you can have your feet sweep off. Cryptocurrency is very volatile and requires knowledge to a certain extent. There are important tips that new bitcoin investors should put into consideration when starting to trade bitcoin. This article would discuss these tips and show you how to get it right in bitcoin investment. Some of these tips are:
Learn how to buy and sell
This is the first thing every cryptocurrency newcomer should do. Of course you’re new to crypto, you need help with the strategies in buying and selling. It is not advisable to invest money without much knowledge about how to play your way around trading. Take your time to read e-books or published books on cryptocurrency. Learn safe places to buy coins at a normal price and how you can sell to accumulate profit. Knowledge on the rudiments of buying and selling bitcoin is very important for new investors.
Learn Technical Analysis
Unarguably, bitcoin is very volatile and the trading requires much care. There are lots of technical analysis associated with bitcoin performance prediction. Putting your money into cryptocurrency also requires that you’re ready to learn crypto technical analysis. Your goal as an investor is to make profit. For you to achieve this goal in bitcoin trading, you must have crypto technical analysis knowledge as this would give insight as regards when to accumulate and sell coins. All new bitcoin investors should be ready to learn technical analysis. This can be done by studying bitcoin analysis books online or acquiring knowledge from crypto gurus.
Proceed with care
This is very important as to prevent being scammed. Trading bitcoin can be quite risky, I’m sure you’ve heard this times without number. Cryptocurrency is untraceable. If you mistakenly send your coin to an unknown wallet, you can’t trace the coin, it’s all gone. New investors are thereby persuaded to take great caution when dealing with trades. Make sure you buy coins from a trustworthy sources and be careful when sending coins.
Prepare for Downtime
This might sound weird to you but that’s just the truth. As we’ve always said, cryptocurrency is very volatile. The value of coins can drop at any time, so be expecting your value in normal currency to also drop at that time. We’ve heard several stories of new investors dumping crypto because of downtime. If you’re just starting to invest in bitcoin, be prepared for downtime as it can happen without sign. If you’re much prepared for it, it’ll have less effect on you when it happens.
Learn to Diversify
This is another helpful tip for newcomers in cryptocurrency investment. There are numerous coins to trade, you don’t necessarily have to invest all your money on a single coin. Learn to diversify and trade more than one coin. If it happens that one coin is experiencing downtime, you can keep up your trades with the other ones if they’re doing fine. Diversifying in cryptocurrency might require much capital but it’s actually a good option to consider.
Buy Low and Sell High
This is an important tip for new bitcoin investors. You must acquire coin at low prices and sell at higher prices. This is a way of making profit from your trade. Purchase coin at the least possible price and try to sell at a profitable rate. If you sell at the same rate you buy the coin, then that’s not investment, it’s more like playing games or so.
Accumulate as much as you can when coin is dipping
This is the easiest way to make much profit from cryptocurrency trading. It is advisable to accumulate much coin when the market value of the cryptocurrency is dipping. At low cryptocurrency worth, you’ll need less flat currency to acquire much coins. Once you notice that the price of cryptocurrency is dipping, find every possible means to accumulate coin at the lowest possible price. When the worth of the currency increases, be ready to sell them off and make your huge profit.
Use the right Wallet
This is very important for bitcoin newcomers. You can get frustrated easily if you’re using a wrong wallet for your business. There are numerous cryptocurrency wallets and as a beginner, there are vital things to look out for when selecting a wallet. If you’ll like to know more about this, check our previous article on Things to know before starting to trade cryptocurrency- Beginners guide.
Be Security Conscious
If you’re new to bitcoin trading, then you’re more prone to scam. There are lots of hackers out there seeking wallets to intrude. You must make your wallet login details so confidential. Make sure your login details are unknown to anyone. Some browsers ask if you’ll like to save your login details, always make sure it’s not saved in your browser. Take the pain of inputing the details anytime you want to access your wallet. Security is very important.
Acquire more Knowledge about Bitcoin Day by Day
Of course no one knows it all. Cryptocurrency investment can be so wide than you can ever imagine. Always try to acquire new knowledge day by day about how to become more successful as bitcoin investor. You can engage yourself with bitcoin experts or successful people that have been in the business before you. You can also join several online forums like bitcoin groups or trends just to learn more about it.
Unarguably, bitcoin trading can be tasking and
breathtaking especially when you’re new to the system. You really have a lot to
do as a new bitcoin investor if you want to be successful. Generally, I can
tell you, bitcoin trading is not difficult as you think, it only seems
difficult because people fail to follow the rudiments. As a new investor, if
you can strictly follow these tips provided for you, you’ll surely go places in