5 mistakes to avoid when investing in Crypto

[Innerpumper]

If you are a newbie in crypto world you are bound to make some mistakes but this thread is for you on how to avoind making those mistakes

1. You dont want to skip the learning part- You need to have an idea of what youre going to even if it is to make a research about it. You have read about an asset before you invest in it to know exactly what they are building.

2. You want to avoid using the wrong crypto exchanges. This is one thing you want to avoid because it can make you lose all your assets. You need to research about the exchange before even registering. Some exchanges have fake volumes and are not transparent enough.

3. You dont want to rely on a single coin- Diversification is very important when it comes to investment. You dont want to put all your eggs in one basket.

4. You want to avoid the fear of missing out (FOMO)- When you see everyone buying a trending coin you dont jump in, it might too good to be true

5. You dont want to forget the basic security. Keeping your private keys safe is very important. As a newbie you should understand how important private keys are. Also 2 factor authenticator shold be added to all your exchanges

Do not forget, also should be available backup, very dangerous if all money is entered in only 1 coin. I very agree on the 4th point.

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[pikkie]

Most importantly for beginners, crypto price movements are very volatile. Crypto is not a rich way in one night, for that invest little by little and do not place your investment money in one type of coin

if you say this then not all new traders realize this mistake, there are some old traders who still think like this, because they only seek profits and take advantage of the situation and conditions at the exchange place, so that with very much capital they can take advantage of fast movements to make a lot of money just overnight.

[marilynmanson21]

One more point to be added, especially for you that doing futures trading, which is "don't be greedy". If you already getting a decent profit, it is better for you to take some of your profit little by little, since there will always be a peak for the profit and it will not keep increasing. Putting a Stop-Loss is also important, so you will not gonna lose too much.

[Anish02]

nobody will give you free money.

This is important. Important more as to advise against investing into a ponzi platform. This is good to be added to the list , for newbies to watch against such sweet promising  platform, money doublers etc. It is important to stay away from things that look too imaginable to be true in ROI.

That's why don't be greedy at the beginning by looking forward to earning extra profit by investing in Ponzi schemes would finish your capital. Therefore don't take the self made the decision in the beginning take advice from person who have adequate knowledge about the crypto which could save your lot of money by making your losses minimum by providing genuine advice.

[hassancisse]

If you are a newbie in crypto world you are bound to make some mistakes but this thread is for you on how to avoind making those mistakes

1. You dont want to skip the learning part- You need to have an idea of what youre going to even if it is to make a research about it. You have read about an asset before you invest in it to know exactly what they are building.

2. You want to avoid using the wrong crypto exchanges. This is one thing you want to avoid because it can make you lose all your assets. You need to research about the exchange before even registering. Some exchanges have fake volumes and are not transparent enough.

3. You dont want to rely on a single coin- Diversification is very important when it comes to investment. You dont want to put all your eggs in one basket.

4. You want to avoid the fear of missing out (FOMO)- When you see everyone buying a trending coin you dont jump in, it might too good to be true

5. You dont want to forget the basic security. Keeping your private keys safe is very important. As a newbie you should understand how important private keys are. Also 2 factor authenticator shold be added to all your exchanges

Your fourth point isn't confusing enough, FOMO is only bad for new coins and tokens, if Bitcoin is surging it's not that risky as new coins to jump in and invest, FOMO is good if Bitcoin and Ethereum or top 5 coins are surging

Im only talking about new projects even before you invest in bitcoin you want to enter at the right price and not jump in

[irixo10]

I agree with these points and it is well arranged that I think it is also suitable for everyone in this space because there are still people using wrong or rather bad exchanges, fomo etc. Also, about your number 3, I think one need to have a limit to diversification of cryptocurrencies because many of them are not good in any way, hence having a limit is a good idea so that they can be properly monitored. Lastly, the number 5 point is very important, in fact before anyone starts anything within the crypto space, learning how to safeguard the private key should come first, so that all efforts won't be in vain.

[Anonylz]

And most importantly only invest what you can to lose, this is one very important point that most new investors don't think about thoroughly before making any investment, you have to be prepared for whatever the outcome and put the amount that won't hurt you too much if for any reason things don't go as expected, investors should know and understand the risk involved.

[Mulann2]

@op I agree with you completely, everything you said and much more should be put into consideration before we think of investing, we should always be careful not to fall into scam or be careless with our personal wallet information such as our private keys, I also love diversification, it is good to invest in more than one project in case of uncertainty, and never fomo on a project especially when the price has gone up a lot.

[hassancisse]

You should add: 6. Never invest in something that you can't afford to lose. There is nothing really safe and riskless in crypto and you should be prepared for the worst possible.

Thank you for the addition. it is also very important when it comes to investing

2. You want to avoid using the wrong crypto exchanges. This is one thing you want to avoid because it can make you lose all your assets. You need to research about the exchange before even registering. Some exchanges have fake volumes and are not transparent enough.
3. You dont want to rely on a single coin- Diversification is very important when it comes to investment. You dont want to put all your eggs in one basket.
4. You want to avoid the fear of missing out (FOMO)- When you see everyone buying a trending coin you dont jump in, it might too good to be true

I made those mistakes when i'm a beginner in trading choosing fake exchange that has a high fee and very low volume, even though it's in the top ranking in coinmarketcap they just using fake traffic and volume of the coins, and i also regret choosing a hype coin i remember buying a coin in it's ATH because some are shilling that the coin will gain 50x in a week so i learned it the hard way lose some of my funds. And also don't trust too much on "Trading Gurus" wanna be i think it's better to experience it yourself and do your own research.

I really appreciate your contribution. This thread is just for beginners to know what to do before going into crypto investment

3. You dont want to rely on a single coin- Diversification is very important when it comes to investment. You dont want to put all your eggs in one basket.

I am both disagree/agree a little bit with this, bitcoin alone is already enough and safe investment if you are holding for long term. But I doubt it will work on altcoins, because some altcoins is not really trusted we are not sure if it will recover after a crashed, so diversification is good option if you prefer to invest on altcoins.

Just a little tip for investors/traders: Always set stop loss 

For day traders stop loss is so important when it comes to trading never trade without stop loss

nobody will give you free money.

This is important. Important more as to advise against investing into a ponzi platform. This is good to be added to the list , for newbies to watch against such sweet promising  platform, money doublers etc. It is important to stay away from things that look too imaginable to be true in ROI.

Its always so obvious to identify ponzi schemes. Newbies will want to stay away from that. i will also create a thread on how to identify pozi schemes as a newbie in the crypto world

[moderator's note: consecutive posts merged]

[olamidey]

very helpful, but I think it's mostly for newbies to think about, in my opinion there are only 2 things, the first is not to store assets in exchange, and the second is to do an analysis of altcoin before you invest, that alone is enough

I agree completely with you. Never keep funds on exchange. Binance got dealt with and other smaller exchanges before it. For those who lost during those hacks, they may not have recovered fully. No matter what the promise is, your wallet is still the safest.

Apart from. Doing analysis of coins to invest in, I will advise you get a good wallet and store your private keys offline. Anything apart from that makes you prone to hacks and theft.

Don't be caught in between. No one wants to loose to hackers.

[hassancisse]

I agree with these points and it is well arranged that I think it is also suitable for everyone in this space because there are still people using wrong or rather bad exchanges, fomo etc. Also, about your number 3, I think one need to have a limit to diversification of cryptocurrencies because many of them are not good in any way, hence having a limit is a good idea so that they can be properly monitored. Lastly, the number 5 point is very important, in fact before anyone starts anything within the crypto space, learning how to safeguard the private key should come first, so that all efforts won't be in vain.

I believe there are good project you can diversify your asset in. Its just you have to identify them. i have at least 5 project im putting currently investing. Diversification is important

[Finestream]

Indeed these are very important, as for me, when I was a newbie in investing, I have a lot of mistakes but I'm thankful that wasn't costly to me and I really learn a lot in the process. I loss money because of phishing attack, and my account is not on 2FA, but now I learn and got matured a bit,  when it comes to investing too, it's advisable  not to put in one basket as we need to diversify, but we also have to make sure we make a research to invest on the right coins as it's still useless if we diversify but we invest on the wrong ones, you know number of scam projects are bigger than the legit.

[serjent05]

If you are a newbie in crypto world you are bound to make some mistakes but this thread is for you on how to avoind making those mistakes

1. You dont want to skip the learning part- You need to have an idea of what youre going to even if it is to make a research about it. You have read about an asset before you invest in it to know exactly what they are building.

Shouldn't we must learn the basic of trading first before picking any coints to invest and trade?

2. You want to avoid using the wrong crypto exchanges. This is one thing you want to avoid because it can make you lose all your assets. You need to research about the exchange before even registering. Some exchanges have fake volumes and are not transparent enough.

True that but do we have a choice if the one we are holding has only one exchange?  Most bounty participants are forced to register to different unknown exchanges because it is the only place for their received token reward.

3. You dont want to rely on a single coin- Diversification is very important when it comes to investment. You dont want to put all your eggs in one basket.

Diversification is a good thing but you should remind readers that too much diversification will suffocate them.  Just diversify according to what you can handle.

4. You want to avoid the fear of missing out (FOMO)- When you see everyone buying a trending coin you dont jump in, it might too good to be true

Well research is the key. Better study first before deciding to join the wagon or not.  We might miss an opportunity if we shut our doors without doing any good research on the current trending market.

5. You dont want to forget the basic security. Keeping your private keys safe is very important. As a newbie you should understand how important private keys are. Also 2 factor authenticator shold be added to all your exchanges

If one care too much about having a private key I think it is best to use decentralize exchanges if we decided to trade.  That way we have the privatekey of the address we use for trading.

[Rengga Jati]

One mistake that we must avoid as well is "never invest in a new coin/token only by considering the rating from some crypto sites/channels". Many crypto sites/channels are paid to give a good rating for some new coins/tokens. So, don't instantly believe in them without doing your own research because the rating may mislead you. Learn deeply the potential of a coin/token that you are interested to invest. Read some reviews and discussion about the coin/token, also check yourself the WP, the team member identities, and their channels. Don't buy the coin/token if you got something strange or suspicious.

[Greatdev]

If you are a newbie in crypto world you are bound to make some mistakes but this thread is for you on how to avoind making those mistakes

1. You dont want to skip the learning part- You need to have an idea of what youre going to even if it is to make a research about it. You have read about an asset before you invest in it to know exactly what they are building.

2. You want to avoid using the wrong crypto exchanges. This is one thing you want to avoid because it can make you lose all your assets. You need to research about the exchange before even registering. Some exchanges have fake volumes and are not transparent enough.

3. You dont want to rely on a single coin- Diversification is very important when it comes to investment. You dont want to put all your eggs in one basket.

4. You want to avoid the fear of missing out (FOMO)- When you see everyone buying a trending coin you dont jump in, it might too good to be true

5. You dont want to forget the basic security. Keeping your private keys safe is very important. As a newbie you should understand how important private keys are. Also 2 factor authenticator shold be added to all your exchanges

Newbies still use unknown crypto exchanges and after getting scammed they will raise alarm, even small exchanges are risky not to talk of unknown exchanges, developers too still use bad exchanges for their projects and they always come out with bad ending, lack of volume is a bad sign that a project won't do well

[havoc928]

Newbies still use unknown crypto exchanges and after getting scammed they will raise alarm, even small exchanges are risky not to talk of unknown exchanges, developers too still use bad exchanges for their projects and they always come out with bad ending, lack of volume is a bad sign that a project won't do well

That's so true! Never believe in unknown crypto exchange platforms and even small exchanges. I only trade in large exchanges such as Binance, Bittrex, etc.. Also, I only invest in projects that are listed on large exchange for my safety. A good project will do everything to be listed on the large exchanges, though, there is some exceptions. However, most of the projects that are listed on small exchanges and unknown exchanges don't have the real potential to pump or even turn out to be scam projects!

[Kotone]

That's so true! Never believe in unknown crypto exchange platforms and even small exchanges. I only trade in large exchanges such as Binance, Bittrex, etc..

New market exchange are of course suspicious but there are still new market that worth using. All top exchanges are good to use cause its potential are pretty well known already. These guides are helpful but most of the beginners never listen any of these suggestion and believing on scam proejcts they saw on the internet like the send bitcoin to get double bitcoin. Holy crap, of course these are all gimmick and just a trick to scam you. Never believe on that shit. If money giveaway is too good to be true then doubt it.

[JHORN]

Relying on a single project isn't good, having Bitcoin only in your wallet is a bit better but still not good enough, create better opportunities and build more chances for yourselves, have more altcoins and tokens, it won't hurt

[Thomas-s]

the first point is very important. people who come to the market just want to make a profit and not even study the direction in which they are investing their money. it's very funny to see.

[Deeshawn]

Truly avoiding all the points is necessary, when investing in cryptocurrency, investors must understand there are certain to avoid, so as to meet certain desire targets. Additionally investors needs to watch out for the best project to invest in and not just investing on anyhow project that may exit scam anytime.