Beginner Tips on Investing in Bitcoin?

[ilzot]

After a little realization, my dream of getting a mining rig, at my current buget, I don't think that is going to happen right now. I feel like if I invest in BTC, then I'll have a better chance of makeing a profit than a beginner >50ghash/ second over the course of 6 months or so. What a really need is some advice from senior investors into some tips about BTC investing. I feel like investing in BTC is harder that say regular stock because once it tops out on the market, you sell and have to wait for it to bottom out, while in common stock you can just buy another and wait for that to rise up. I've seen people making 10k+ a month investing, so there has to be some sort of stratagy in investing. I'm willing to invest in about 1.5-2 BTC to start so keep that in mind.

Any beginner invester tips please let me know! Thanks!

[blatchcorn]

Buy low, sell high. And don't mine.

[jonald_fyookball]

Bitcoin is the perfect "buy and hold"
investment, IMO.

Bitcoin's fundamentals have the potential
for explosive growth because it is an emerging technology.

If Bitcoin becomes a trillion dollar
market in 5,10,20 years, you will
see a 10,000% return on your money.

[bitkanu]

Bitcoin is the perfect "buy and hold"
investment, IMO.

Bitcoin's fundamentals have the potential
for explosive growth because it is an emerging technology.

If Bitcoin becomes a trillion dollar
market in 5,10,20 years, you will
see a 10,000% return on your money.

if bitcoin goes from market like other online payment processor or if any other alt coin beat bitcoin what will happen

[Wolf Rainer]

Invest in alt coins, you can multiply 20x or 30x your money in one month.

[keithers]

Try and buy on the dips obviously, and your goal should be to make your dollar cost average as low as possible.   If you work a job with a salary, maybe set aside a small amount of money that you can invest each month, and just hold onto it like a savings account.

I would also suggest in putting a small amount in some other coin like LTC, so that you  don't have all your money in one spot.

[r34tr783tr78]

Don't buy now, wait for lower prices. We are on a bear market, wait for signs of inversion of trend. Avoid alt coins until bitcoin jump in price, then the alt coins will jump too with some delay.

[keithers]

Don't buy now, wait for lower prices. We are on a bear market, wait for signs of inversion of trend. Avoid alt coins until bitcoin jump in price, then the alt coins will jump too with some delay.

If you follow what you are suggesting, then by waiting to purchase Alt-coins until BTC jumps up in price, you will be paying a significantly higher price for Alt-coins than if you were to purchase during a lull like now...

[r34tr783tr78]

Assuming that it's risky to keep bitcoin now, because of the bear trend, it's also risky to have alt coins, because they are all valued in bitcoins. A crash in bitcoin takes alt coins down also on fiat terms.
Then, if bitcoin goes down, you will be able to buy litecoin for 4 usd or even lower. Assuming this scenario, buying now isn't a good idea. They will also go high if bitcoin jumps, but in the past it took some time for the alt coins to jump. In the first weeks of the jump of bitcoin to 1200, litecoin was losing value. It only started going up fast a few weeks later. You can enjoy the major jump in bitcoin and then go after the alt coins. Of course, this is just a scenario. Now, alt coins seem much more linked to bitcoin than in the past, so a jump in bitcoin might push alt coins much higher immediately. Anyway, buying now doesn't seem good idea.

[keithers]

Assuming that it's risky to keep bitcoin now, because of the bear trend, it's also risky to have alt coins, because they are all valued in bitcoins. A crash in bitcoin takes alt coins down also on fiat terms.
Then, if bitcoin goes down, you will be able to buy litecoin for 4 usd or even lower. Assuming this scenario, buying now isn't a good idea. They will also go high if bitcoin jumps, but in the past it took some time for the alt coins to jump. In the first weeks of the jump of bitcoin to 1200, litecoin was losing value. It only started going up fast a few weeks later. You can enjoy the major jump in bitcoin and then go after the alt coins. Of course, this is just a scenario. Now, alt coins seem much more linked to bitcoin than in the past, so a jump in bitcoin might push alt coins much higher immediately. Anyway, buying now doesn't seem good idea.

The timing is all relative.  If you are trying to flip a quick profit, and get in and out, then now may not be the time to buy.   If you plan on holding for medium or long term, then now could be one of the best times to buy.

[OROBTC]

...

keithers has a good point.  Buying BTC now, some, you do not have to stay at the "All Inn" and holding on to them for the medium term or longer (and buying periodically is small increments) is a sound strategy.

I agree with comments above that mining is not worth it, unless you are very skilled and connected enough to get the fastest machines...

In any case, diversification (my middle name) would suggest that you not have too much of your net wealth in BTC.  I have some, but it is well under 1% of what I own.

***

Even when I was young, I started buying small gold coins, think about that as well.

[aigareth]

Buy low, sell high. And don't mine.

and hold it enough long

[thExit]

From my perspective, altcoins behave more like stocks than currencies, if we look at their past performance, and how people value them/ trade them. Think of altcoins as of shares in a company, do a thorough research about the “company’s” background (the team behing the altcoin); how much effort is devoted by the team after the launch and at any time of the altcoin’s existence; try to see what is unique in that single altcoin and how is it different from other coins; always think from the perspective of the end user- would I, as an ordinary person, be interested in owning such an altcoin in the future, would I pay money to get my hands on it (perhaps yes due to some unique features, think of mintcoin perhaps ); see if there is a community that adopted/will adopt the altcoin (like it was with dogecoin). Those are my guesses.
 
I am a Forex trader, am not experienced in evaluating companies, but I think some of the stock valuation rules may be applicable to altcoins. The hard point is that you need to do your own research, the plus is that there are tools available to do that, the methodology of stock valuation.  Just remember that sometimes the results of a thorough evaluation will give the same kind of financial results as picking stocks by throwing darts at a list of companies.

One thing pointed out in this thread was whether you are a short/medium/long-term investor. If short/medium-term, then trade for a daily profit. If long-term, then go for newish altcoins and hold them for a lengthy period of time, see which one wins over others (for example owing to a technical advantage, like merged minable scripts etc.). There is a lot of factors to take under consideration, that’s why you have to read, read, learn, learn, think, think, then again read, learn, think… this is what I've learned while reading this forum:)

[Lethn]

Buy low, sell high. And don't mine.

+1

If you were to get a mining rig, you could possibly mine scrypt coins but there's always a lot of risk involved if you go into anything like this, Bitcoin is an experimental technology, don't forget that, I'd always encourage people to give it a try, but always make sure you have a backup plan or something to fall back on that you can rely on. I've seen way too many people in the earliest stages of Bitcoin get burned by it and then they come complaining to these forums like we're supposed to do something about it despite how we go out of way to warn people, well done on actually doing your researching and questioning things before jumping right in.

[b!z]

Protip: don't buy altcoins

[tuneman1980]

Tips:
  Don't invest more than you can afford to lose.
  Don't take investing advice from most people on the internet.
  Don't store your coins for long in a place where you don't control the keys.

Also, be sure to analyze market data for any coin that you're interested in investing in.  http://www.cryptocoinstats.com/ is a good place to start since it has lots of price analysis and graphs to help identify trends.

[thExit]

I'd always encourage people to give it a try, but always make sure you have a backup plan or something to fall back on that you can rely on.

I would strongly agree with that, don't throw your whole money/life into one enterprise, always diversify.

[serejandmyself]

Best advice - dont invest in bitcoin! 

[keithers]

Also don't get in the habit of religiously checking the charts for prices (if you do not plan on day trading).  It will quickly turn from a hobby into an unhealthy obsession...lol

[CryptoBaron]

After a little realization, my dream of getting a mining rig, at my current buget, I don't think that is going to happen right now. I feel like if I invest in BTC, then I'll have a better chance of makeing a profit than a beginner >50ghash/ second over the course of 6 months or so. What a really need is some advice from senior investors into some tips about BTC investing. I feel like investing in BTC is harder that say regular stock because once it tops out on the market, you sell and have to wait for it to bottom out, while in common stock you can just buy another and wait for that to rise up. I've seen people making 10k+ a month investing, so there has to be some sort of stratagy in investing. I'm willing to invest in about 1.5-2 BTC to start so keep that in mind.

Any beginner invester tips please let me know! Thanks!

It really depends on what your trying to get out of it. From what you were asking I'd guess your not looking for just buying and sitting on your BTC until they are worth 100k each or I'd say invest in it like anything else and take 10% of your monthly/weekly income (if you can afford it) and grow your btc over time. If your looking to day trade BTC I'd say pull some books on day trading stocks and adapt it to the BTC market. One thing I've noticed is that there are not that many exchanges for you to be able to short crypto so that you can capitalize on the dips and the spikes without having to use your own BTC per say.