For people who think about investing in crypto: A few easy lessons I learned from the mistakes I made

E-currency exchange

  1. Whatever you do, just invest what you can afford to loose, that is the most important part of investing in Crypto, I can’t stress that enough. I made the mistake, millions of others did it too: People invest without a solid strategy and with more money than they could afford to loose. If you make a loss, dont put more money into it to gain more money in the long run. It is bullshit. Dont buy they dip (something you will understand when the dip you bought dips for the 3 time in a row), sit it out and sell when it rises – which you can only do if you just invested what you can afford to loose. Otherwise you have to sell your assets with a loss early on to cover your bills or cost of living.

  2. If you have an asset that rises: Have a strategy too! When do you want to sell? What is your goal? Some people invest in the long run, but much crypto projects are way too volatile and it is better to have a sell plan. When you invested with the goal of +20% and it did that, sell. It might rise another 20%, but no one knows and you neither. It could also drop 30%. Always be happy with the little gains you make and sit the loss out. Why is that important? Cause some projects will hit an all time high and maybe never recover. In the past 8 years much crypto projects died and you don’t want to be the one who chained himself to the sinking ship. Chose a destination and leave when you arrive there.

  3. Invest with a strategy. Don’t invest your entire money in one single project on one single day. Have a fixed amount of money you use, invest 1/3 in something solid, 1/3 in something volatile and 1/3 in fiat to buy coins if you see an opportunity. Thats just my preference, there are several other ways to invest into the markets.
    Note: There are pump and dumb schemes where you have to put everything into the project at once (super scetchy, very very high risk), but in every other project going all in often is doomed to fail (too).

  4. Put the damn phone away. Some people act like they are playing a mobile game, others get completely consumed by looking at charts and selling/buying. Don’t let such a volatile and fragile market be the center of your day. Invest and move on with your life. Set alarms for certain market movements and come back when the app alerts you. It is just an investment, nothing more, nothing less. The market won’t perform better the more often you open the app.

(No financial advice, always do your own research!)

For people who think about investing in crypto: A few easy lessons I learned from the mistakes I made