How to Invest in Crypto Market 2019
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If you are planning to invest your money in the cryptocurrency, then 2019 could be a great year to do it.
But please be very careful and make sure you understand the risks.
Cryptocurrency markets are intrinsically very volatile.
This means that the value of your investments can change very quickly.
Of course, you can make a lot of money in a relatively short period of time compared to traditional financial markets.
But you can also lose everything very quickly.
Investments in cryptocurrency should always be considered as a high-risk, regardless of your confidence in your coin or token selection, and you should only invest money that you can afford to lose if the market turns against you.
Cryptocurrencies are a much riskier investment as compared to traditional assets such as bonds and shares, given the sheer volatility of the market.
A cryptocurrency can easily fluctuate in value more than 10% in a single day, which is unheard of in the traditional financial markets.
That said, 2019 promises to be the perfect time to enter the market.
The fundamentals have been showing signs of growth for some time and, more recently, the technical indicators are starting to become positive.
All this can mean that the bear market is finally over and that crypto is preparing for another bull market.
What you need to Invest in Crypto
Honestly, if you are completely new to this space and are wondering what you need to do to start investing in crypto in 2019, then this post is for you.
Be aware however that what I am talking about here are minimum requirements for beginners, not a complete guide.
The only thing you need to start your journey is a crypto exchange that supports the coins or tokens in which you want to invest or that you want to buy.
When you choose an exchange, you must determine which fees they charge (sometimes fees can be charged for withdrawals and securities transactions, so be sure to take into account), the types of orders offered, the conditions required by KYF/AML to open an account, if they have strict security measures and what volume of exchange is there for the cryptos you want to exchange.
Some people choose to leave their coins on the stock exchange where they bought them, storing them ready for sale.
Unless you sell by the day, it’s not a good idea.
Unfortunately, exchanges can be hacked, stolen by employees or even use customer funds to support their business operations if they encounter difficulties.
It’s much safer to withdraw your funds in an appropriate wallet and store them there.
There are many different blockchains, and each has its own stable or wallet.
Your choice of wallet, therefore, depends a lot on the coins or tokens you buy.
It may take a while to do some research and you may end up with multiple portfolios if you buy a range of cryptos, but believe me, it’s worth it.
Personally, I like to use a Blockchain wallet, it’s user-friendly, secure, and flexible.
Blockchain integrates advanced security practices into a high-accessible user-interface, Blockchain Wallet is the perfect platform for all your cryptocurrency storage.
So, here are the 2 ways I would recommend to Invest in Crypto
1. Choose Your Crypto Coins Wisely
Do you think you understand the cryptography market and can choose the winners?
If this is the case, selecting individual cryptos to buy and keep may be the best choice for you.
If you choose this route, it is often recommended to diversify; hold multiple cryptos, ideally with very different characteristics and target markets.
Since things are changing rapidly in this space, it is also recommended that you have enough time to follow the news, both for the projects in which you are investing and for potential competitors.
What kind of Crypto Coins are we talking about?
Well, the following are the best options you may wish to invest in –
- Bitcoin Cash
- Ethereum Classic
2. Invest in Indices or Baskets
A popular alternative to selecting individual cryptos is to invest in an index or basket.
For example, you can choose to buy each of the top 20 market capitalization cryptos or buy all the chips involved in the blockchain game.
If you are not bothered by managing multiple exchanges, you can create these indices yourself, but many people prefer to use an investment platform that offers them.
Of course, you can also choose to stick to the oldest and most reliable cryptocurrency and simply buy Bitcoin.
This something that many people choose to do and it is probably the most conservative option.
Whatever you decide to do in 2019, good luck in your investments and good trip in cryptography!
Let me know your thoughts or suggestions in the comments below.
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