Investing in Crypto 101
I've been interested in this space for years and have really started to trade more over the last 6 months (like a lot of people) but here are the rules I've come up with. I know it's not very scientific, and it's risky, but in this space everything is risky!
1 - don't invest anything you're not willing to lose. I had credit card debt, and put 100 into bitcoin a few years ago. I sold it this August to make me debt free and started investing 2% of each paycheck.
2 - check coinmarketcap only once per day. It will drive you crazy and you won't see trends if you check it too much
3 - read reddit - a lot of shill posts, but if you see something pop up consistently it's worth looking into and possibly buying.
4 - everything dips, and it's great to buy the dip. But if you want to buy a coin, I recommend buying it in three steps separated by 2 days each.
I really like Number 4!
Indeed you have to buy when the market bleeds but sometimes rule 1 denies this.
I did invest extra fiat money on wednesday but the market was still bleeding yesterday. I did want to invest more but rule number 1 kicked in.
I do expect all money invested as a loss untill its converted back into fiat money.
Suppose that the mrket completely crashes or my coin get lost. My regular life and that of my family won’t change except the huge dent mentally.
So all 4 rules are great but aometimes they interfere each other.
The market is so crazy at the moment!