How to manage the risk in investing cryptocurrency?

[Moneypham5]

The risk in the virtual currency market is the risk of losing some or all of its capital when the investor performs the investment or virtual currency transaction. Identify the risks before conducting a transaction, helping them to know the specific loss rate in each case of investment will be how to, minimum and maximum how to decide the scale of investment, the first time investment, time of investment completion, and other relevant factors.

[1713537685]

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[ross09]

First of all everything in this world is a risky gamble..every kind of investment are risky too ...but ofcourse for you to be able to manage risk in every investment especially in crypto currency you have to every little thin in it up to the biggest once ..how is it work.is it scam or not..and most importantly dont ever ever trust to anyone that says to you give them money and they can doouble it...so all you need to have are awareness and commonsense..

[Cryptoipad]

I will discussed the crypto market are included the btc investors we will discussion the future stability of cryptocurrency in a previous article, but to quickly summarize my point of view, new investors are coming in and holding for long term gains.They are replacing early adopters who got out with their profits. Every day the crypto market gets more stable.Another key coin about risk management is the diversification and size of your portfolio. This is a very long topic, but I will introduce some coin investment in cryptocurrency. if a coin is growing and growth it is certain that the streak will end at some point, so it is best to sell on the way up and look for coins with better risk reward on cryptocurrency.

[jamiebear]

While investing everything on a proven winner is the quickest way to bring a high return on an investment, it is also the riskiest. With a diversified portfolio, the downturn of one altcoin matters less. By spreading investment capital over a wider field-of-play, an investor is maximizing the odds of receiving a positive return on investment.

[shainasaz]

Investing or investment should be manageable because risk is in around of your investment and therefore any kind of investment always associated by a risk. investing in this cryptocurrency risk is sometimes higher compare to any other investment but if you understand to manage with investing cryptocurrency your profit are also much more than high as what you expected because price volatility are very fast to move up and down. this time is the right time to invest cryptocurrency because almost all of the coin now are in a dip price and then count only a days your investment becomes tripple or more than that. that is the real beauty of investing in cryptocurrency, althoug there's a risk but easy to manage just only buy, hold, and then sell.

[Tisubasha]

All businesses must have risks including virtual currency investments.
the most important thing is never to believe in people we do not know.
so it's best to find a coin, with a better prize on crytocurrency.

[odolvlobo]

The most effective way to lower your risk is to do more research.

[LogitechMouse]

We know that all investments has risk always but we can lessen it by:

1. Do some research regarding in cryptocurrency - We know that knowledge is power right? So its better to do some research first in the coins we want to buy because if you just invest your money without doing some research, you just like going into a war without any weapons and in the end you will lose. Do deep research first before you invest.

2. Diversify your portfolio - Maybe this way, it can lessen the risk. Don't buy just one coin but buy 3-4 coins depending on how much money you want to invest with it. This requires deep research too because if you don't do it, you will just giving your money to others. Buy 3-4 or 5 coins that you think will give you profit in the long term.

[fatirborju]

I think all investments are definitely risky not just investment when we do a job also have their own risks and how to manage risk better Sell when it has reached the saturation point above, One thing surely you must sell when the price goes up Do not wait until the new high price will sold because this will not happen If you do not follow the rally price, anticipation in setting your sell order and place the price when passing the resistance level slightly lower than before is a good way The percentage of sales depends on your intentions to the coins...

[franky1]

lesson 1. dont risk more then you can lose/live without for a long period of time EG imagine you spend $25 a week on fast food.. ($100 a month, $1200 a year)
many people wont care to lose $1200 because in reality that amount just ends up as 52 bowel movements and flushed down the toilet.

so lets use that $1200 figure as a yearly investment
if the price of BTC appears at a healthy all time LOW, its a good time to buy.. NEVER buy when its near a all time HIGH.

next dont have it in mind that you will day trade, and then hold out to only sell when you see 50%+ profit
instead notice the charts and you will see there are healthier less risky 1%(~$80) swings happning more frequently/hourly
take this week.. prices move from $6900-$7700(10%) in just a few hours

so lets say you have $1200 dont throw it all into one order.. risk only 10% per order. (emphasis: dont throw all $1200 into one order)
even if you put in $120 at $6900 and sell for $7600. thats $12 profit
if you done that 3 times a day,($36).. 7 days a week ($252) within 5 weeks you will have $1200 EXTRA, just by playing with one allotment of $120

why is this important.
imagine you bought $120 of bitcoin at $6900.. but then the price went down.. well you have 9 other 'allotments' of $120 to buy at the next cheapest price.
so you leave the first allotment to sell at $7600 and then use another allotment at the new low. then set that at a 10% profit point

or be even more risk adverse
buy $12-$120 of btc and sell even faster at 1-5% variance and repeat more often .. yes it soon all adds up, and your taking less risk because you then have more spare allotments if the price goes down, and your not waiting as long for the price to go up, because your selling at a less higher %

again dont think a one time trade for huge profit. think little and often and it addsl up over the year. the total will end up being more than $2400 returns without having to wait for one order to go to $10k-$14k/btc

EG
$12 with a 1% variance per hour = 24%($2.88 a day from one $12 allotment) or $28.80 profit a day if you have play with $120.. or $288 if you are using all 10 allotments of $120

which over a year.. well
only using 1% of your funds ($12) to make 1% rinse anad repeat profits multiple times a day($2.88) =$1055 profit next year.. from just 1% of funds at 1% per trade.. while not risking all of the rest of your funds

.. there is alot of psychology involved in it. and also controlling your greed by NOT thinking you can make even more buy increasing either how much you put per order line or increase the % before your willing to sell.

many traders if their entire investment is $1200 would never make an order of 0.17btc, and its why you see alot of order lines of 0.0017 or at most 0.017btc (as an example of todays prices and the investment example amount) because many of them small order lines are all one person that split his stash up

in short
1. dont throw $1200 into an order and wait a year hoping to turn $1200 into $2400 by waiting for todays $7k/btc to rise to $14k/btc
2. dont throw $1200 into an order and wait for weeks/months for 50% by waiting for $10k/btc
3. buy $120 of btc and sell for 10% high a couple times a day/week, knowing if the price drops you still have spare cash to buy the new discounts
or if you want to really day trade(multi trade per day)
4. only using 1% of your funds ($12) to make 1% profits rinse and repeat multiple times a day

last lesson. dont forget the trade fee.. if a buy fee is 0.25% and a sell fee is 0.25%.. and you want to do many 1% profit trades(day trading) set your sell price as 1.515% above the price you bought at (as a rough guide) to cover fee costs

edit: while writing this the price moved more than 1% in 10 minutes

[hadveach]

yes, for investors should be careful to choose the place for investment, because the risk of investors is greater.
So, an investor should attention to how the ICO system works, how loyalty and teamwork, and also have to read all aspects of ICO, such as ANN, whitepaper, website, and others.

or if you want to invest in altcoin, then you should pay attention to the development of altcoin in the market, whether it attracts many people or not. ?

[yanesna3]

First of all everything in this world is a risky gamble..every kind of investment are risky too ...but ofcourse for you to be able to manage risk in every investment especially in crypto currency you have to every little thin in it up to the biggest once ..how is it work.is it scam or not..and most importantly dont ever ever trust to anyone that says to you give them money and they can doouble it...so all you need to have are awareness and commonsense..

Life is full of different risks - you risk when even do gown to make you coffee (what if you slip, fall and break your leg?). Just have more information about cryptocurrency, and use different sources to get it.

[andrei214]

The risk in the virtual currency market is the risk of losing some or all of its capital when the investor performs the investment or virtual currency transaction. Identify the risks before conducting a transaction, helping them to know the specific loss rate in each case of investment will be how to, minimum and maximum how to decide the scale of investment, the first time investment, time of investment completion, and other relevant factors.

In making investments, one of the attitudes that an investors must have is the attitude of being adoptable to change.Investors must be always ready for an escape plan.Also, being an investor should be ready for whatever can happen and be wise with evry decision to make.

[lelylely]

The risk in the virtual currency market is the risk of losing some or all of its capital when the investor performs the investment or virtual currency transaction. Identify the risks before conducting a transaction, helping them to know the specific loss rate in each case of investment will be how to, minimum and maximum how to decide the scale of investment, the first time investment, time of investment completion, and other relevant factors.

I chose a strong coin to put my investment in, because strong coins will have the potential to survive when the market is shaky. I do not specify how long I have to hold my coins, but I will sell some coins when I feel the price is high, and I will wait for the price to fall and I will buy back.

[musdafakfl]

The risk in the virtual currency market is the risk of losing some or all of its capital when the investor performs the investment or virtual currency transaction. Identify the risks before conducting a transaction, helping them to know the specific loss rate in each case of investment will be how to, minimum and maximum how to decide the scale of investment, the first time investment, time of investment completion, and other relevant factors.

Someone who will invest in this sector already has a risk factor. It is possible to come across two investors who can see continuously. The first type of investor is the type of investor who does not melt his investment immediately and evaluates it as a long term with stop loss orders. The second investor is the investor type who does not use stop loss and relies on their analysis and leaves his job to chance.

[BrewMaster]

the first step in my experience is deciding what you want to do and what you want to get out of this market. for example many are not traders, they are either incapable of trading or don't have the time for it. these have to do an investment mostly for long term and for that there is only limited options. if you choose bad (like choosing altcoins) you will lose money.
for the rest who are traders they have to decide how involved they want to be and then they have to face the reality of the market instead of getting sucked into hypes and FUDs.

[Kamote_1102]

well, for me the safest way to invest in cryptocrurrency is to study the company first. if you can, try to ask some investors on that company too. If they can give you a good feedback, then go for it. but before doing that, make sure that you know the process. one mistake and you will lose your investment. It's a crypto World. don't be in a hurry.always think of the positive and the negative side before you invest.

[krauzzer02]

The risk in the virtual currency market is the risk of losing some or all of its capital when the investor performs the investment or virtual currency transaction. Identify the risks before conducting a transaction, helping them to know the specific loss rate in each case of investment will be how to, minimum and maximum how to decide the scale of investment, the first time investment, time of investment completion, and other relevant factors.

Risk are literally everywhere, losing something is part of the risk cause you are being careless or you are just unlucky to encounter such a hard situations, that's why you need to place what you can afford to lose, it is like your gambling all your stuff that includes your hard earned money to such investments having no confidence with the assurance for the ROI, other risk such as your wallets or accounts getting hacked or stolen might be added.

[Fear]

People are not alike. If you generate a good and correct  plan for investing and then got real profit it means that you are good at currency market operations.

[Aristus]

The risk in the virtual currency market is the risk of losing some or all of its capital when the investor performs the investment or virtual currency transaction. Identify the risks before conducting a transaction, helping them to know the specific loss rate in each case of investment will be how to, minimum and maximum how to decide the scale of investment, the first time investment, time of investment completion, and other relevant factors.

If you are interested of making investment in crypto currency and your knowledge is not yet enough or strong as others do, I think you should first go on long term investment like btc and eth. This two is good to buy but more likely advisable while at the lower price so that you can minuter you attitude everytime you see yourself the way it react on the fluctuation.while this actual give time to explore yourself in altcoin there is no best teacher aside with your own here the way you understand the others info.