There are several things that you learn during your time in the crypto market. Although the basics of the trading remains the same but each person develops their own style to keep up with the markets. So I think it would be more helpful to cover the basic rules that can be universally applied.
Please keep in mind that you asked the question about trading crypto and not about generally investing in crypto, because there are differences between the two. So I am going to treat the question as I see it. Here are a few rules to keep in mind before you start trading crypto:
1. Invest only what you are willing to loose. This mantra doesn't really means that you don't trust the market. The idea behind this is to invest that amount of money, over which you can take cool, calm and objective decisions. People loose money over emotions and gain money by being objective and logical.
2. Research, research and more research. Take a careful look at the projects that you want to start investing in. You don't have to be a technical wiz to listen to videos and read reviews, so don't worry about your lack of knowledge of the crypto world. You'll learn as you go along.
3. Look up on the technical analysis of the price movement of the coins. TA is something that is absolutely essential if you want to become a good trader. From the biggest to the smallest traders, all use TA to get a future projection of markets.
4. Have a strategy - Day trading, weekly trading, monthly trading, etc. Stick to it and don't get greedy because it will cloud your judgement. Greed will make even a logical mind stupid.
First of all decentralized technology is still new to the world. Its market penetration and adoption is still negligible.
With the passage of time as more and more people are aware of this technology, it is becoming more and more popular.
Now even many countries has started accepting this as currency and many other are in the process of adopting.
So in future a more countries will jump into it and it will gain more trust of people. Its value will also increase.
Honestly speaking, crypto has still lot of potential in it. Especially if someone is targeting it for a longer period.
If someone intends to invest in this business, one should be very careful and have proper study of the crypto currencies, which he/she intend to buy.
One should also be very clear which type of investment he/she wants to make i.e short term or day trading, medium term and long term.
It seems that prices are at the lower side and eventually will go up if invested for the longer period. The point here is one should invest only that much of amount which he can afford to hold for a longer period.
If someone is will for short term, he should have proper market research before entering into some coins. It is also advisable to have some market to form an opinion.
Another point where many of us make a mistake is that one should not invest all the money in one coin instead invest should be diversified. analytical tools available in the
One should not make all the investment at once in one time instead investment should be made in steps.
There are several things that you learn during your time in the crypto market. Although the basics of the trading remains the same but each person develops their own style to keep up with the markets. So I think it would be more helpful to cover the basic rules that can be universally applied.
Please keep in mind that you asked the question about trading crypto and not about generally investing in crypto, because there are differences between the two. So I am going to treat the question as I see it. Here are a few rules to keep in mind before you start trading crypto:
1. Invest only what you are willing to loose. This mantra doesn't really means that you don't trust the market. The idea behind this is to invest that amount of money, over which you can take cool, calm and objective decisions. People loose money over emotions and gain money by being objective and logical.
2. Research, research and more research. Take a careful look at the projects that you want to start investing in. You don't have to be a technical wiz to listen to videos and read reviews, so don't worry about your lack of knowledge of the crypto world. You'll learn as you go along.
3. Look up on the technical analysis of the price movement of the coins. TA is something that is absolutely essential if you want to become a good trader. From the biggest to the smallest traders, all use TA to get a future projection of markets.
4. Have a strategy - Day trading, weekly trading, monthly trading, etc. Stick to it and don't get greedy because it will cloud your judgement. Greed will make even a logical mind stupid.
Thanks for the tips.
First of all decentralized technology is still new to the world. Its market penetration and adoption is still negligible.
With the passage of time as more and more people are aware of this technology, it is becoming more and more popular.
Now even many countries has started accepting this as currency and many other are in the process of adopting.
So in future a more countries will jump into it and it will gain more trust of people. Its value will also increase.
Honestly speaking, crypto has still lot of potential in it. Especially if someone is targeting it for a longer period.
If someone intends to invest in this business, one should be very careful and have proper study of the crypto currencies, which he/she intend to buy.
One should also be very clear which type of investment he/she wants to make i.e short term or day trading, medium term and long term.
It seems that prices are at the lower side and eventually will go up if invested for the longer period. The point here is one should invest only that much of amount which he can afford to hold for a longer period.
If someone is will for short term, he should have proper market research before entering into some coins. It is also advisable to have some market to form an opinion.
Another point where many of us make a mistake is that one should not invest all the money in one coin instead invest should be diversified. analytical tools available in the
One should not make all the investment at once in one time instead investment should be made in steps.