In 2017, we are witnessing crypto currencies are raising exponentially. Clearly, we can see a great amount of ROI in crypto currencies. As an investor, you can see a great potential in the crypto currency trading.
There a lot of people, who just follows the crowd blindfolded; that is why people usually make mistakes while trading in crypto currencies.
Below are the top 4 tips about crypto currency trading that you need to know before trading.
1. Stop running after the profits
The investment in the crypto currencies are considered as the most volatile investment. In October month, we have seen the growth in Bitcoin by 130% which is remarkable.
This is how the crypto currencies work, one day we see the price of crypto coin increased by 20% and on the very next day, it returns back to its initial position.
Therefore, We suggest you to plunge into the technical analyses of the crypto coins before investing in it.
2. Never think of investing in a coin that you don’t know
There is always some logic behind the fluctuation in price of the coins. Before investing in any specific coin, you should research its in-depth details.
Like, how it’s price is responding in comparison to the price of other crypto coins, behaviour of the coin from the past 3-6 months, assets backing the coin etc.
Investing without having any proper knowledge about the coin may result in hold onto the coins for a long time, this way you can block your money.
We’d suggest you to completely study the coin before doing even a very small amount of investment.
3. The Mindset should be to build wealth
While doing investments, always have the mindset of the long-term vision. You focus should be on building wealth, instead of focusing on the small profits.
So stop looking over the major gains in a short period rather look for 5-10% subsequent growth every month, in a long run, this would make you wealthier.
4. Don’t get too attracted to one particular crypto coin.
This is the biggest mistake that most of the investors do. They confined themselves to one particular coin and hold onto that coin for long period of time. Never get attached to one particular crypto coin, you never know you are missing some massive opportunities in other crypto coins.
5. Keep yourself updated
In order to achieve success in the long run, you have to keep yourself updated in the crypto graphic world and keep track of the latest trends happening around the world that are influencing these crypto currencies.
Follow the latest crypto and blockchain related news to keep yourself updated.
Keeping yourself aware of all these things not only increase your knowledge about the topic but also help you in taking right the decisions related to crypto investments.