Advice for beginners in the crypto industry
Some days ago I was talking to @belemo about how I accumulated up to 0.8Btc and how I carelessly sold it for a price that was not worth it due to fear and my naivety.
Recently doge had a spike of over 800% and I sold it just about 5 days before the spike after keeping it for 3 years and this brings me to the meat of today's post.
A lot of people have been wowed as a result of the hype of the crypto industry and are tempted to go into this market without prior knowledge of how risky the game is and when they get burnt they come out crying and saying all sort of things. In today's post, I will be giving tips that might help you when investing in the crypto industry.
My first advice to anyone who wants to delve into the crypto industry is to read, read and read. Never get tired of making your research. Most times a lot of people just go and buy coins just because they were told to buy it and next thing is that it falls below their expectation. So learn how to make your research. When you make your research you will be confident as to why you are holding a coin or why you are dumping it.
Warren Buffet was talking about an analogy of being given 25 punch cards for a lifetime and the number punch card represented the number of opportunities one had for the lifetime. He later went In to say that everyone would be successful because people will do a lot of research before making use of their punch cards.
The whole thing this story is trying to teach us is that one should do extensive research before investing in anything.
The next advice I will give anyone about delving into the crypto industry is the good old advice of buying low and selling high. The question might how low is low. Well, the answer to that question will be based on your research so go make your research.
A lot of people don't know about risk management and I must say that as a crypto trader you can meet your doom faster than usual if you do not stick to risk management rules. This is so important because 100 dollars you out in today could turn into 5 dollars after it has been dumped. Therefore, know your risk threshold. I remembered when I was new in the crypto market back in 2017 I remember buying a particular coin tron to be specific and after two weeks it had reduced to half of it's value and I felt bad.
Finally, trading and investing is a game of the mind and you must have a great mindset and must be able to control your emotions. Every successful trader has mastered the art of having a stable mind. Most traders have not moved the fluctuations in the market because they have trained their mind on how to trade without emotions.
That will be all for now. Thank you for reading my post.
In these cases I think it is important to be guided by those who handle large accounts as they are a reference.I also want to say that the country factor must be taken into account, they have or suffer from high hyper inflation, it is very risky to make these investments.In the particular case of the country where I am (Venezuela), it is very risky to do so, Well, the financial conditions are not the best.
However, it is very important to follow the advice that he offers us because it is very important to do a lot of research and be guided by those who have more experience in this field.And it will always be very prudent to investigate before investing our money, go buy at a low price and then sell when it is a high price.
You missed the pump and I bought the top, it hurts but losing is part of the game.
I've bought some coins purely through recommendation and on account of the fact that it is traded in Binance 😄
It boils down to how much research we can make, when proper research is made some mistakes can be avoided and then opportunities can be appropriately utilized.