The worst mistake you can do in an investment is risking your hard earned money without fully understanding what you are getting into. The same goes in cryptocurrency investment.
This industry is still in its infancy. Every day, we read the news on how it continues to grow and prosper. However, just like other investments, cryptocurrency also has its risks. It’s not easy to earn a profit, especially if you do not fully understand how the industry works. That’s why some investors even take cryptocurrency course just to make sure they are on the right track.
To help you get started, here’s what you need to know before you start investing in crypto trading:
Cryptocurrency is a complex matter to learn
If you’re having a hard time understanding how cryptocurrency works, you are not alone. While learning the ins and outs isn’t easy, it is not impossible. As a beginner, you need to at least spend a day learning about cryptocurrencies, before investing. Whether you want to take up a cryptocurrency course or do your own research, make sure you spend some time to learn the market. As mentioned, cryptocurrency is a growing industry and every day we hear of new developments. Thus, learning about it should be a continuous process.
Investing is the best way to learn
Cliché as it may sound – experience is the best teacher. Although it is okay to spend a lot of time learning cryptocurrencies, blockchain, and trading, you would fully understand how it works if you immerse yourself in it. Try to play around with small amounts just to get your hands dirty and learn to play the real exchanges. You can use the money to start creating accounts, buying coins, and trading. Once you get the hang of it, then you can bring in the amount you really want to invest.
Do not be influenced by FUD & FOMO
If you are not yet familiar with these words, FUD means Fear, Uncertainty and Disinformation while FOMO means Fear of Missing Out.
From November 2017 to January 2018, many people joined cryptocurrencies because they were driven by FOMO. At that time, crypto was still considered a bull market that’s why not so many investors had enough time to learn about the market before investing. While many people have doubled and tripled their money in such a short time, there are also those who lost their entire investment. With enough research, they would have known that it is risky to enter at such high levels without preparing for the lows. FUD on the other hand are emotions which are usually formed when we come across manipulated images online, fake news from social media, and tweets from fake accounts. Some spread FUD in order to dump some coins. Make sure you only follow trusted accounts to avoid the FUD.
Learn about other coins
You hear a lot about Bitcoin. However, there are also other coins that don’t get enough of the press. There are many good projects out there which are worth your time. Ethereum, Litecoin, and Dash are just some of them.
If you want to take your career in bitcoin trading in Singapore to the next level, contact Crypto Trader today. They offer crypto courses designed to help you learn about proven and tested strategies straight from a crypto-trading expert. Check out their website for details.