Hey All,
We all know that crypto investment is risky and many of the golden rules of crypto would revolve around minimizing risks. No doubt any investment may it be crypto, financial, commodities or currency market involves heft risk and without an appetite to take risk you cannot invest in any market. Therefor it becomes imperative, when you are investing in crypto market the first step is to ensure you are investing money you can afford to lose. Second slowly and gradually increase your crypto portfolio - don't start with BIG investment all of a sudden, gain some understanding and then pave your path of enhancing your crypto portfolio.
The following Top 3 Golden Rules of Crypto Investing, will help you to strategize your crypto investment so that you take advantage of Crypto Bull and don’t face financial disaster if the market collapses or enters a bear phase.
Golden Rules of Crypto Investing
- Buy Low Sell High
This is the simple rule and works for all kind of investment. Just buy crypto when there is a market crash. Enter during this phase and exit or book profit when the market is in a BULL phase. Its always recommended to stay away from the when we are experience a bull run and look for opportunity when you see a some sort of a market crash or correction. But just remember not to put in all the money all at once.
- Knowledge is POWER...
Little knowledge is dangerous. So before you enter or buy in any crypto just do a little research about the project. Know what all the project is all about and then take a wise decision of investing in it. Lets put it this way - simple Buy crypto that you understand and stay away from crypto or all those projects you don't understand knowledge is power and make the best use of it.
- Diversify and Just Diversify...
Diversification helps reduce your crypto investment risk. If one of your crypto investment is at loss and if you have properly diversified your investment then the chances of losses becomes less. There is a famous proverb - Don't put all your eggs in one basket; which means that one should not invest all of their resources/money into a single thing because there are high chances of losing everything if that project is a failure. There to avoid loses just follow this - Diversify and Just Diversify
These are the top 3 Golden Rules of Crypto Investing that I follow most of the time. At times it helps to take a wise decision to enter a project or not or whether I should be taking that risk while entering the crypto markets during Bull run or not.
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Best Regards
