5 mistakes to avoid when investing in Crypto

[rahmatullah9305]

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

All the work we have done does not hurt, we just have to know that every work has good and bad levels, now creating good opportunities and building more good opportunities is not easy and very difficult, but having a little bit of it can still be said to be good even though it is not enough.

[InwardContour]

Very nice tips pointed out by OP on mistakes to avoid in crypto investment. The most important point to me is understanding what you are about to go into, the risk involved and strategies to follow up your crypto investment. For someone who wants to go into trading, mastery of technical analysis is a must IMO. Also, you don't just begin trading with leverage trading using 20x and more on leverage, no!. Start small, grow your capital and don't invest a bulk of your capital in crypto at once, if you ever invest a lot in crypto as a newbie, patience won't be on your side and thus you will make wrong decisions.

[Maxstl007]

Be ware of HYPES and FOMO, some projects are bad to begin with but just because they are pumping to get dumped some will start hyping them on social media like Twitter and Instagram, it's all a plan to get you lured and once you are in they will dump on you

[Sourhearrt]

As a newbie always make sure you store your coins and tokens on a popular crypto wallet that gives access to your recovery seed or private keys, some crypto wallets like free wallet and Coinbase are Centralized company that keep private keys hidden from users, stay away

[Script3d]

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

The thing with altcoins its more risky than to just invest on bitcoin alone, we don't know if those project are gonna be around in the future, but if those projects succeed the payoff is huge.

[Review Master]

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.

Also don't trust any exchange blindly even that's binance or kucoin. Always try to hodl your crypto into your own wallet if your aren't a regular trader. Besides, anyone can detect the fake volume by monitoring the trade feeds for sometimes. Actually fake/bot tradings are usually occured between the Buy and Sell orders. For an example: If sell order $0.5 and buy order $0.45, than fake/bot trades will automatically happen between  $0.46 to $0.49 which will be showed only the trade history options.

[shakesbear]

Most people in the crypto world want to deceive you, be prepared for the most cunning schemes, where you do not expect.

[ethereumhunter]

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

The thing with altcoins its more risky than to just invest on bitcoin alone, we don't know if those project are gonna be around in the future, but if those projects succeed the payoff is huge.

Although it is risky, people tend to buy altcoin, hoping that they can make more bitcoin, and right now, I think some people already make a profit from that, and they are waiting for the bitcoin price is back to the higher price. Investing in altcoin will be good for them, as long as they can select the right altcoin to invest. They can only do that by analyzing the altcoin from the lists to find the altcoin. But I think the altcoin can work for a short term investment because there are too many altcoins at the market.

[Jannyh]

First thing every investors should know is that you never loose until you sell, as long as you made a wrong selection in your investment,never panic sell just because you saw your coin dipping, hold and wait for it's time. Also make sure never to invest only in a single project,you can diversify your fund,then make sure to hold your asset in your private wallet .

[Slow death]

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.

unfortunately many people use shady exchanges because they are dark exchanges that list most new projects, which means that most people are left with no choice

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.

honestly investing in bitcoin and altcoin is not diversifying investment in my opinion. diversifying would be to invest in cryptos, gold and buildings

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

I agree

[monineklutak]

Investing in cryptocurrency is high risk because too many fraud projects and all you need to remember is trust no one. Dont follow the hype of project if you dont understand anything about the project.

just buy a crypto currency that is already in the top 10 coinmarketcap, or buy in binance,
don't follow an obscure ICO or IEO, of course you could be hit by a scammer

[StreakW]

And you forgot about the most important thing, invest only what you can afford to lose. Cryptocurrencies are a new form of digital assets and we still do not know, if they have a future or not.

Cryptocurrencies are a new form of digital assets? No bro, cryptocurrency already exist for so long, bitcoin since 2009. 11 years is not new

If you are worried about the future of cryptocurrensy, I think you should look at the bitcoin price history https://en.wikipedia.org/wiki/History_of_bitcoin

[omnik]

Investing in cryptocurrency is high risk because too many fraud projects and all you need to remember is trust no one. Dont follow the hype of project if you dont understand anything about the project.

just buy a crypto currency that is already in the top 10 coinmarketcap, or buy in binance,
don't follow an obscure ICO or IEO, of course you could be hit by a scammer

You should change your perspective as any IEO that ran on the major exchange site like OKEX and BINANCE will always bring very good profit for buyers and I think that's not true at all to call both ICO and IEO were scam.

[Yatsan]

Such points are pretty impressive and indeed those were the common mistakes that most newbies have been doing for quite some time whenever they enter this industry and started to decide to get into investment. To make those good points be made into simple, basically you need to entirely educate yourself of all the important matters that you needed to learn not just about crypto investment or trading but into the whole usage and importance of cryptocurrency itself because if you did acquire needed knowledge, then those mistakes will be avoided due to the reason that being knowledgeable will keep you safe at all times and may lessen the chances of committing mistakes.

Always keep in mind the learnings you do obtain on familiarizing yourself about crypto because those knowledge can be useful in all manners that concerns cryptocurrencies. With regards to crypto currency trading and investment once you have already learned everything needed to analyze the coin you wish to invest, still take it slow on investing only amounts you can afford to loose just to keep on track because doing that will also be part of observing the coin's behavior to fully interpret its capacity to give you gains or losses.

[btcholder]

~snip~

These are really good point to notice for newbie investors. All of these are important but specially choosing a proper exchange for trade/invest and take care of privet keys are the most importance one. If you join an ieo event then make sure that ieo platform have much reputation. Otherwise your asset will be on risk cause out there many scam exchanges running many scam ieo.

[ScamViruS]

This thread is very useful for newbie. Because when they come to the crypto market, they put themselves in danger by seeing various interesting advertisements. No one will give you free money, those who claim to give free money are scammers. Scammers always promote big offers so that newbies fall into their trap.

Another point is, never to use the exchange to hold your crypto asset. Because at any time there could be a major attack on the exchange and you could lose your entire fund. So care should be taken in advance

[BayAngelo]

I will encourage everyone with good advise to pure it out here for newbies to learn. it is important now that we are in the bull market. many will try playing the gambling game buy invest almost everything they have and might loose it at the end. please do not invest your life savings in crypto. it might dissappear or you might not recover it.

[bitgolden]

I have said that diversifying even outside of crypto world is the way to go, diversification is the most important thing in the investment world and being 100% in crypto is not a solution even if you invest into multiple stuff.

I would say depending on your money you could go for a lot of stuff like forex, stock markets, gold and stuff like that, even real estate because let's be honest bitcoin or crypto alone couldn't save you, there are a lot of times when crypto does go down all together as well and there is not one that goes up. Hence why diversification outside of crypto is crucial when you are making investments, you should always look for other stuff as well in case of emergency and you should have as much fiat in savings and liquid as possible to make good investments when you see one.

[Golftech]

The most hype projects are the most dangerous projects a newbie can invest on, presently DeFi projects are trending big so newbies should be aware and ready to do good research on new DeFi projects before spending a penny on them

They'll be safe if they will do all necessary research before investing, it's a must and very important  so they are not jumping that quick without any knowledge about the investment that they are participating with.

Investing in cryptocurrency is high risk because too many fraud projects and all you need to remember is trust no one. Don't follow the hype of project if you don't understand anything about the project.

Very True, never to entrust your investment you need to work with your research from that point you'll be able to pick the right project for you.

[Miaallen]

These are parts of the mistakes not to make but there are several more. One thing about cryptocurrency investment is that the more you're into it more you learn.