Tips for Beginning Crypto-Investors
In the media, another suicide message has appeared, and the most likely reason is the sharp drop in the crypto-currency markets.
It’s time to reflect on our psychological health in the light of the most disgusting feature of bitcoins – volatility.
Perhaps you are thinking about immersing yourself in the abyss of bitcoin investing.
Before investing substantial amounts, it is important to understand what lies ahead.
Contrary to images in the media or government methodologies, more free markets, quasi-anarchic systems, such as bitcoin and other crypto-currencies, do not seek to earn your losses. Just the opposite: they are interested in making you prosper, prosper.
The more people appreciate cryptocurrencies, the more advanced, prosperous and common they will become.
People who feel stupid, used, deceived, leading the Darwinian struggle for survival with financial systems are the exact opposite of what bitcoin is.
You should consider bitcoin and other crypto-currencies as a long-term project, and not the possibility of instant enrichment. You must be persistent and purposeful.
The most popular decentralized currency in the world has an important, unpleasant feature: price volatility. She’s disgusting. It breaks everyone who treads this path in pursuit of fast money.
Ironically, the crazy leaps, power-ups, and parabolas in 2017 attracted investors to the bitcoin. Now we are witnessing their death.
Reports in popular media around the world are beginning to tell about the consequences: from the heartbreaking article in the Washington Post about the community of feverish, distraught bitcoin owners from Kentucky to the South Korean news of another suicide due to losses from the cryptocurrency.
Bitcoin had a value almost from its inception. Yes, at first it was a tenth of a cent. Complexity raises the value, and the authors, who also consider technology undervalued, did not expect such huge leaps of this damn price.
Of course, you can read a lot of complaints, but most of them are just a marketing HYIP for the media. Bitcoin has computational power. He has miners. He has a powerful user audience. He has a brand.
Whether he can remain the absolute leader of this asset class is a question of backfilling. No one knows for sure.
Bitcoin may die
The bitcoin can die. It can fall almost to zero in different ways.
The same is true for all crypto-currencies, regardless of the level of decentralization or other important factors.
If you are considering investing in bitcoin, now is the time to take a big step back. Perhaps you’ve never invested in any assets before, and cryptocurrencies can make you believe that you are a genius.
However, in order to be emotionally ready for crypto-currencies, one must take into account the following.
You took a loan for investment purposes. The accumulated interest of the sweat loan automatically devours any profit that you expected, almost destroying the expediency. Double blow – to lose in the crypto-currency market and to have debts on a credit card.
Gather something like a budget. Collect money for three months, saving about twenty percent of your income. After the first quarter, you will already have to understand something about your income.
During this time, check the price of bitcoin weekly. Read the articles on the thematic resources every few days to get an understanding of the direction of the market development, possible nascent trends. Read about technology: does it improve? Is its market share the same? And so on.
The combination of financial discipline and crypto-currency literacy will lessen the upheavals and temper you as a long-term investor.
After doing this homework, allocate half of your savings, but not more, to crypto-currencies.
For safety, it is useful to purchase different crypto-currencies. Wait a year to watch the money flow, and continue to plan and replenish your investment savings, using the profit from the available investments (if any), and transfer it to fiat money, or rebuild your investment portfolio if there are reasons for it.
Do not consider investing in bitcoin or other crypto-currencies through the need to invest your own money. Participation can be accepted in many ways: people earn digital capital by selling goods and services online; go to developer courses and learn the basics of encryption; if you know the word – blog to teach others. There are many ways to become part of the world of digital currencies, without acting as a desperate investor.
Talk about it
Everyone can make a financial mistake. They sting us a little more because of the importance we attach to money.
Money is important. They guarantee our ability to make decisions under other equal conditions. They say a lot about us. But not all.
There are many success stories that began with failure. Your story can be the same. Understand that in reality, none of us knows where the crypto-currencies will lead us. And do not be too strict towards yourself if you lose.
Despair is a natural feeling in times of failure. But remember that you are not alone, and your case is not the first on earth. Do not be afraid to laugh at yourself and this ridiculous ICO from the Nigerian prince, in which you have drained too much money.
Remember this experience.
It will be easier if you correctly approach investment in crypto-currencies. You will not be completely ruined. You will become wiser for future ventures, and obviously better prepared for the next chance.
Guru, mentors, good psychologist, friends and family are always ready to act as your shield. Perhaps they also have some not very pleasant stories about investments. Listen to them. Tell them about yourself. Do not shut yourself up. Do not lose faith in yourself for a second. You are valuable.
Your story is needed by society to warn other prostitutes from the same mistake. Do not lose hope, belief in yourself. And all will be well…