How to manage the risk in investing cryptocurrency?

[mornabo]

My first rule of risk management is to only invest the amount that i afford to loose. Great reward comes with great risk so we have to deal with that.

I agree with you because with doing this, we know that we don't have to use all money we have and we can still watching and decide about what next that we do if somehow the investment cannot give any profit. never put your investment in one basket is another tip for the investment and we need to diversify the investment so we can make a good return in one period.

To reduce the risk of large losses and lose all your money, of course investing according to your ability to afford to lose
and not investing in 1 basket is very important, it can prevent you from big losing when the risk occurs

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[denuhaqiqi]

The first thing you should know when investing is how much you are ready to lose your capital. To avoid losses in this investment there are some tips that might be useful. Start slowly with pairs of small capital first, and avoid ambitions that are too high. Monitor price movements continuously will help us in determining the price limit in purchases and sales that are considered to be what we want to make a profit. Investment using cold / free money, avoid investing in money using daily necessities or old-age savings. Do research, be calm and monitor every latest information, and focus on what we live.

[Bannednehlahmos]

an easy and practical way is to sell high times and buy when low. For that we must follow the conditions that occur in the market and dont panic

[Rishblitz]

I mostly only rely on luck because managing this is very difficult. the risk is also not easy to avoid

[Allura74]

The first thing you should know when investing is how much you are ready to lose your capital. To avoid losses in this investment there are some tips that might be useful. Start slowly with pairs of small capital first, and avoid ambitions that are too high. Monitor price movements continuously will help us in determining the price limit in purchases and sales that are considered to be what we want to make a profit. Investment using cold / free money, avoid investing in money using daily necessities or old-age savings. Do research, be calm and monitor every latest information, and focus on what we live.

Investing in cryptocurrency is a matter of knowing all the risk and accepting the possibilities of winning and losing. I have simple way of how I will going to manage it, First of all, risk management includes the wise attitude never ever to go all in. What you should do, is exactly the opposite. Always trade with low percentages of what you own. Every trade includes the risk to lose money, so a single loss should never be too destructive concerning your total assets.

[Kingathur]

Everything in this world is a risky investment.  We really don't know what the outcome will be unless we learn to invest. It's helpful to conduct researches first just to gain information of something before you will start investing. Moreover, open mindedness is very important for unexpected situations.

[Lucio19]

I invest in the cryptocurrency, you want to make money, but no one will give you money, you want to risk and invest in proven cryptocurrencies.
According to my observations, a lot of coins at the ICO stage cost more than when the ICO was completed, that's why it is worth investing on the stock exchange.

[Impulseboy]

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.

I agree with this. I have learned this the hard way. I do not think it is safe to put all of your money in bitcoin, especially if you cannot afford it for now. Distributing your money on different cryptocurrencies may be wiser because bitcoin is very unpredictable. I also advise doing some research on who is trustworthy and who is not, and to not rush on buying just because you have the money to do so.

[Jhonthor]

All coins have possible to decrease the price because many people see the price decrease they sell it  and many people panic so the price decrease very deep and that's the reason why the crptocurrency is lose their money.

I don't think people should invest more than their loss capacity because we all know that the crypto market is a market that is very volatile and one can lose all its capital (I lost all my capital in the early days of my trade) even with just one mistake so people must always consider the risk profile before investing in crypto. Therefore the best way to manage the risk of investing in the crypto market is to avoid excessive investment.

[Nnedaddy1]

The risk associated with cryptocurrency investment can be eliminated by, investing a certain percentage of your capital and taking profit when you see no matter how small.
Shun greediness also.
Diversify your investments.

[laravuemaster]

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.

There is always a risk if you want to invest on a asset and that is the reason why you should invest a coin that has a good potential in the market to surely earn profit.

[Eureka_07]

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.

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I just want to add that before investing your money you should know by yourself if you are really ready to take the risk of losing your money in the process or gaining money by luck. Investing really have the risk part. But most of the risk takers become successful you just need to use your mind in investing and don't let yourself be a victim of some scams.

[Satunaimrotes]

They can turn the things off for us in continuing the chain further. So whenever a person needs to invest money somewhere, go for it but take little capital and start with best practice. If that works well, move to bigger one.

[tonyvo2017]

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.
With clear investment strategies, we can manage the risks. With more prevention options, the more risk we can manage when investing. But no matter how hard we try, we can not completely eliminate the risk in the investment and be prepared for the failure. But that is what we always face when we want to invest. Do not let it stop you.

[gergfghfh]

You can reduce the risk of investing in cryptocurrency by having enough knowledge and you always have time to monitor the status of crypto. You also have to establish your own tactics or techniques on how you can achieve your goals in a way that you will not feel so pressured.

[yvesp110]

You can reduce the risk of investing in cryptocurrency by having enough knowledge and you always have time to monitor the status of crypto. You also have to establish your own tactics or techniques on how you can achieve your goals in a way that you will not feel so pressured.

As long as you are following the rules and guiding principles of economics and other strategies related to long term investment then you are safe enough to reach at your target. Be obedient of the basic market rules so that your survival may not affect because these rules are also applied to the cryptocurrencies especially the Bitcoin which are concerned here so as to get rid of risks and problems.

[Joannafarrell]

In many investment places will not guarantee you risk-free, there are various risks do not look at where you invest whether its good or promising. Risk can come anytime only you have to be ready to accept it all.

[Assface16678]

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..

This is real. This is one of the reason why they are investors who are being scammed because they believed in such flowery words. Investors need to be smart enough to criticize what is real and what just a scam. This is a scenario that you cannot predict but if you play smart or wise there is a huge possibility that you will minimize or even do not experienced being scammed.

[Cidpollendina]

This is a difficult question, the market is very young and there is a big correlation between bitcoin and the other altcoins. You need to study the price dependencies between different altcoins.

[lynlyn]

I think investing in cryptocurrency is definitely a risk. So to reduce the risk that there may be a way to buy a little. But maybe not, so as long as you are in the crypto definitely risky. So stay with yourself.

That's right, investing in bitcoin is very risky. I think to avoid also in wasting your effort you should always updated to what is happening to the value of bitcoin so that you will never be mistake in converting your bitcoin. Just stay up and active in bitcoin.