The cryptocurrency industry has consistently been luring many investors since the inception of the pioneer virtual currency, Bitcoin. As the next anticipating cryptocurrency millionaire who is willing to take advantage of the swings associated with the new virtual financial assets, some of the key observations that will smoothen your navigation of the crypto ecosystem in 2018 include:
Managing greed increases your chances of making profits
Greed is one of the most irresistible human predisposition, especially when dealing with matters pertaining to profits such as cryptocurrencies. As a result of the turbulent nature characterizing the cryptocurrency ecosystem, be prudent enough to accrue as many gains as possible by knowing when to pull out of a trade.
If your cryptocurrency of choice is consistently on an upward trend and promising even greater returns in the upcoming days, simply don't fall for the delicacy of waiting for too long. A 20% profit consistently earned in different phases is better than a one packaged 200% that you almost earned just before the coin's value nosedived.
Minimize risk through diversification
While some traders might go by the notion of 'putting all your eggs in one basket and watching the basket,' expanding your portfolio increases not only your chances of making significant gains out of your trading venture but also abates the risk of losing all your hard-earned investments at a go.
Atop investing in a variety of cryptocurrencies, also consider other lucrative opportunities such as generating tokens as you surf the web. A good example is https://path.network/path-browser-plugin/ that lets you earn PATH Tokens by turning your computer into a monitoring node.
The new players could earn you a fortune
Despite most investors pumping all their efforts in mainstream cryptocurrencies such as Bitcoin and Ethereum, a great potential lies in well-established new coins in the market. Apart from selling at significantly lower rates to the tune of below the dollar mark, some new players have the potential of doubling in value to the scope of more than 1000%. All the same, before settling on a new coin, you need to run thorough scrutiny on whether it is worth the risk.
Take seize of every second
Unlike other forms of investments such as the stock exchanges that close business at some particular point of the day or year, cryptocurrencies are never on breaks or holidays. This means investing in quality trading tools such as bots for analytics and executing trade will you are away, as well as frequently looking for credible sources of news can highly amount to informed decision making.
Stake only what you can afford to lose
There is a lot of hype about cryptocurrencies from news, friends, family, or even personal motivation to make it big. Despite the pressure emanating from different sources, avoid shooting yourself in the foot by not only making informed investment decisions but also eschewing risking beyond your strengths. Even when the market is too promising, just stick to the amount you had initially set aside for trading.
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