An advice for Crypto Investing

[Darker45]

This is interestingly similar to this thread: https://bitcointalk.org/index.php?topic=5399020.msg60154412#msg60154412.

Anyway, if not coming from your personal savings, where would you get your investment funds, from the money that is intended for regular expenses? Whatever amount you invest in Bitcoin, it should be coming from your savings. I mean, from the amount after you deduct your expenses from your income.

You don't really have to avoid borrowing ever. Borrowing is even encouraged. It is strategic. But I'm afraid it applies only to those who's got advanced knowledge on finance and economy.

[Rikimaruu]

A friend does borrow money from the bank and use it to invest in luna in 2020 he got lucky to have taken his profit before the crash today, using borrowed money to invest is highly risky and not advisable but if you know what's at stake and you fully understand whatt you are doing it can lead to a life-changing result.

[Lucius]

I believe he refer to top 10 or 100 coins on CMC or Coingecko that considered as good coins, while the fact they're list only based on the market cap, not from the usage.

You've noticed this well, because most people don't even know why a coin/token is in a certain position - and they probably assume that it has something to do with how good a certain project is. Market cap manipulation is something most altcoins use, and the coin you mentioned has just under an incredible 50 billion coins in circulation.

Another good tip would be not to invest in anything that has a max supply measured in hundreds of millions or billions of coins, especially if a certain percentage is pre-mined and held by the owner who will dump it the first time he pump the price.

[m2017]

I believe he refer to top 10 or 100 coins on CMC or Coingecko that considered as good coins, while the fact they're list only based on the market cap, not from the usage.

You've noticed this well, because most people don't even know why a coin/token is in a certain position - and they probably assume that it has something to do with how good a certain project is. Market cap manipulation is something most altcoins use, and the coin you mentioned has just under an incredible 50 billion coins in circulation.

I, too, often don't understand what a shitcoin does in high positions in the coinmarketcap. Perhaps people evaluate the market cap as something similar to the standings, in which the higher the position, the better and more worthy altcoin.

Another good tip would be not to invest in anything that has a max supply measured in hundreds of millions or billions of coins, especially if a certain percentage is pre-mined and held by the owner who will dump it the first time he pump the price.

Briefly, this advice can be voiced as follows: don't invest in something that "smells" bad. There are a lot of shitcoins on the crypto market. Most of the market is shitcoins. Therefore, if you don’t know what to invest in, then just invest in bitcoin. Trying to guess with the “true” and “promising” altcoin is more like a minesweeper game, where almost every cell is a shitcoin.

[isaac_clarke22]

I guess your intention when you wrote it is "Don't use all of your personal savings for investment". Correct me if my guess is wrong 

It could be that OP intended to say that we should use our side income for the investment and not those net earnings that we get from our 8-5 work. In my case, I use some parts of my savings to invest in Bitcoin sometimes but I do not have the intention to invest most of it.
I still want to meet my "wants" for sure.

[qwertyup23]

No investment plan, or strategy is 100% save you have to take into account all the risks and profits as well. Here is a link for you to discover one investment strategy. https://exio.tech/blog/what-is-yield-farming-in-defi/

I think this sums up the best advice that anyone could receive when they are planning on investing something- always prepare and create a strategy for both results, either in profit or in loss. Also, having a contingency plan will definitely be beneficial in the long-run given that it will give you background on what to expect and to do in the event of an exit plan.

To add on the list that OP created, the best advice that I could give is always to have faith on your investments. In addition, only invest the amount that you are willing to lose given that investing into cryptocurrency by itself is the most risky method that could either make or break your capital in the shortest amount of time possible.

[Finestream]

In addition to that;
 - invest only good coins, not shitcoins or hype.

The wrong choice of coins will literally end up mostly in losing. We need to be smart not just only in picking coins but also in making decisions. I do agree to keep learning, invest more time studying the market as this will help a lot to determine a good time to buy/invest and the best time to sell them. 

The whole funds will only go into waste if in the end, you resort into wrong decision making. Let's say that you follow all those advices for crypto investing, but to think that you are not that good in selecting coins to invest, if you fall for those coins with red flags, then everything will end up in a mess. So as much as possible, if you think you are not capable to create right decisions, then just play safe. Buy and hold bitcoin. With patience alone, you will end up reaping huge profits when bitcoin price surges and settles into its new ATH.

[Oceat]

Risk is always present in any kind of investment but you have a choice to either do your own research or follow what's the trend and most people would choose the latter. That's why most of them suffering from unexpected losses because they don't know what they were doing.

And with the high risk investment plus high volatility market such as crypto currency, you are not investing a loaned or borrowed money because you can't keep up the payment plus the interest if you are planning to rely only of after getting the profit from your investment, there's no assurance about that unless you have some other source of income.

[Viscore]

Before each investment, one should be well informed about the market, make a detailed analysis, and only then start investing.
There should be a clear strategy and investment plan and a clear exit strategy.
One should beware of the euphoria of the media and other, inexperienced investors, keep their emotions under control and make rational decisions.
The crypto market has actually become very similar to classic markets and stock exchanges, and the rules are the same.
It is not realistic, nor should anyone expect it to be enriched here over night.
It takes a lot of patience and time for a concrete result.

Of course, investing is not just all about the money but prior to that, there should be a good preparation. Being aware and be educated about the investment, its advantages and disadvantages, its best entry and exit plans, and of course, its long term vision that will guide a trader as to what, where and when to invest. If there is enough funds to invest, then make sure that those funds will eventually be used to invest in the right coins or projects. Otherwise, the plan will not be followed and eventually, the investment will never create profits and everything may lost in the thin air.

[Markinzo]

I supposed I have come across this kind of thread from another forum users. But that does not cripple the message behind this very thread though, especially coming from a newbie.

Cause some niewbies are just newbie's here in the forum but in the reality they are much knowledgeable in cryptocurrency than some high ranking users as the case may be.

I take this thread as a reminder at investing, and so well appreciated.

[Oshosondy]

1- You should invest long-term, not short, and stay away from speculative and financial leverage
2- Do not put your entire capital in one token, but rather diversify your wallet with many promising tokens
3- Invest in tokens that have value and do not invest in meme coins
4- Do not let the expectations of YouTubers and bloggers determine your investment decision

1. I can still wait further for the market to dump until a very bearish moment become realistic again in a way even short term investment will be profitable for me, but keeping it long term will increase more the profit. I have the patience for that right moment to come and invest long term. Investing now is neither bad if long term profit is the purpose.

2. I like the idea of not investing in just only one coin but the first should be bitcoin while others can be altcoins. Investment diversification is very important in making profit because some altcoins will just fail someone by not increasing in price during bull market. I too prefer investment diversification but the first coin to invest is bitcoin.

3. It depends on the meme coin, like doge and shiba inu, they are good meme coins. Not meme coins that are risky only, it is new projects which are all altcoins generally that are risky.

4. Making research is better than following someone on YouTube, that is right.

[Kelvinid]

...

If you have anything to contribute, please do so. Let us assist one another.

It was being said that once you don't clearly understand what you are doing, you'll just end up nothing.
Investing comes with a certain preparation;
 - money as for capital ( borrowed or personal money)
 - knowledge and skill ( includes strategies)
 - time
 - gameplan

A failure to acquire these things will never succeed. I haven't found a perfect way to do trading but what I've mentioned above will certainly help to avoid big losses.

[suzanne5223]

Investing in crypto assets is risky, but it can also be incredibly profitable. If you want to obtain direct exposure to the demand for digital currency, cryptocurrency is a good investment.

Everything in life that present a good and unique opportunity will also present a unique disadvantage i.e every investment setting or asset comes with risk.

1. DON'T USE YOUR PERSONAL SAVINGS FOR INVESTMENT - as the saying goes, "invest what you can afford to lose," so set aside money for this purpose.

Investing in your personal saving doesn't mean you automatically invest more than the amount you can afford to lose. Nevertheless, investing more than you can afford to lose now that the market is in panic stage is still fair but it's not investment advice and it is for only the people that can afford to take the risk.

2. PLEASE DON'T EVER BORROW MONEY - this is a mistake that many people make, and unfortunately, many individuals continue to make the same error by trying to make a significant profit like "e-sabong."

Yes, people are advised not to borrow money but let's be honest with ourselves, borrowing money to invest in a crypto is not as bad as we think and thats if you borrow the amount you can pay it back and invest for the long term in this current market.
This is not applicable to the newbie though.

[Cryptomultiplier]

For now, i am stuck in the learning zone, not due to the fact that i cannot invest in crypto, but because i have done so in previous times and have lost tremendously. Well, i at first didnt know much and only did so because of my friends who couldn't stop making a fuse about it. i also learnt from that small experience that (i dont know how true this is)to make good profit from this, one has to invest a pretty large amount, unless one considers mining from scratch. Small cash investment get lost in the haystack of the rise and fall trend of crypto, as well as charges one would pay along the way, and only those who have much more to lose actually benefit in the long run.
I beg to differ however, and would only encourage others with much more understanding of bitcoin/crypto trading and investment to keep giving hints and be a mentor to those of us who for now seek the knowledge for future endeavours.

[kawetsriyanto]

Investing in crypto assets is risky, but it can also be incredibly profitable. If you want to obtain direct exposure to the demand for digital currency, cryptocurrency is a good investment.

Yes, high risk, high turn.
What we focus on in this crypto investment is two, not only the profits but also the risks that we will always face during the investment. That is why we must do some consideration and research before doing investment in crypto.

1. DON'T USE YOUR PERSONAL SAVINGS FOR INVESTMENT - as the saying goes, "invest what you can afford to lose," so set aside money for this purpose.

There is no need to force us to invest in crypto, moreover, if the trigger is because of some FOMO with Hype. We should be aware enough of the funds that we are using for investment. Free money is the right money to be used for investment, not the saving, loans, or moreover daily needs.
Yes I absolutely agree with this

[Sanitough]

Those that are investing all that they've got are looking at it like a lottery ticket.

But, it's still important to remember that there's a need for them to do not push themselves that far. Because as they invest, they're taking the risk that they might not even take in the future.

And if they insist, well, it's their money and investment and only them and losses can stop them.

Crypto investing need not to be in rush to make profits. So you don't need to put everything you have just because it could bring you huge amount of profits in the future. But what if you lose? Investing comes with gains and loss, and losing is inevitable. So be cautious when putting your money, where and what to invest. And for you to free yourself from worries and regrets, only invest an amount you can afford to lose. Otherwise, investing like gambling may only cause troubles in the future.

[Yamifoud]

For now, i am stuck in the learning zone, not due to the fact that i cannot invest in crypto, but because i have done so in previous times and have lost tremendously. Well, i at first didnt know much and only did so because of my friends who couldn't stop making a fuse about it. i also learnt from that small experience that (i dont know how true this is)to make good profit from this, one has to invest a pretty large amount, unless one considers mining from scratch. Small cash investment get lost in the haystack of the rise and fall trend of crypto, as well as charges one would pay along the way, and only those who have much more to lose actually benefit in the long run.

Learning the mistake is a big factor that influences us mentally and emotionally, and find ways from the recurrence of the same mistake again.
I know it could create some sort of doubt and less confidence but if we still have some faith in ourselves, we can still make it better. 

I beg to differ however, and would only encourage others with much more understanding of bitcoin/crypto trading and investment to keep giving hints and be a mentor to those of us who for now seek the knowledge for future endeavours.

Knowledge and market understanding is a must in this crypto world, nothing went successful in the absence of these things.
Work on your failure and mistakes, then make it a basis to learn more and enhance your knowledge and self-confidence.

[TreyARC]

Also, these are some important pieces of advice to every beginner who wants to invest in crypto :

1- You should invest long-term, not short, and stay away from speculative and financial leverage
2- Do not put your entire capital in one token, but rather diversify your wallet with many promising tokens
3- Invest in tokens that have value and do not invest in meme coins
4- Do not let the expectations of YouTubers and bloggers determine your investment decision

We are heading in a tough bear market I think you need to adjust your advice for newbies, many altcoins will die or vanish, holding Bitcoin and stable coin is the best thing to do right now, when things starts to settle that's when newbies should start picking their favourite altcoins.

[Hypnosis00]

We are heading in a tough bear market I think you need to adjust your advice for newbies, many altcoins will die or vanish, holding Bitcoin and stable coin is the best thing to do right now, when things starts to settle that's when newbies should start picking their favourite altcoins.

No, I'm not seeing will getting back similar to the 2018-2020 bear season where the market badly facing the major price drops. I'm sure that people had already learned to become strong and able to hold their funds these days. In fact, if we could see the trend, it was too far from what it happened in the previous bear season. Though we got this situation back again, I see the market remains healthy in the sense that Bitcoin never falls below $20k, and I really never think it comes.

[Alisha-k]

1. DON'T USE YOUR PERSONAL SAVINGS FOR INVESTMENT - as the saying goes, "invest what you can afford to lose," so set aside money for this purpose.

The amount you might decide to set aside is still from your personal savings. Investing what you can afford to lose is the goal nothing really is easy. Crypto investment is not an exception. I will embrace the idea of investing more in the knowledge because the more one understands the market the better their investment approach