You’re entering the cryptocurrency game and want to turn a profit but are unsure how best to go about the process. Here we give you the 4-1-1 on the buying and selling of cryptocurrencies so you can feel the confidence of trading and investing like a pro.
Finding Your Crypto
Learning to harness your instincts is a skill that can be applied to all areas of life, and deciphering which cryptocurrencies are worth your time can also benefit from the use of your intuition. A great starting point for deciding which digital currencies to purchase is to review what cryptos are most popular and why. Cryptocurrencies like Bitcoin, Ethereum, and Dash aren’t just popular because people think they’re cool: They’re successful because they’re at the forefront of the cryptocurrency movement, powering new technologies and utilizing blockchains in new and different ways. When deciding which cryptos to throw your money at, you’ll want to select from those that are aiming to be “disruptors,” or digital currencies that are aiming to shake up the digital currency industry by doing something new and innovative.
Choosing Your Exchanges
Nothing is worse than researching or hearing of a hot tip on a new cryptocurrency but not being able to buy it on the platforms and exchanges where you typically purchase your crypto. To avoid such a pitfall, you’ll want to diversify the exchanges you use to purchase your crypto just as you would diversify the cryptos comprising your portfolio. One of the things to be aware of are exchanges with little to no reputability. When it comes to keeping your money safe and secure, stick to trusted exchanges for your crypto transactions and you’ll be in the clear. A quick online search will reveal the crypto exchanges that are the most trusted, so sticking to the likes of Gemini, Uphold, and Binance—for example—will help give you access to a wide variety of crypto opportunities with a minimal security risk.
Short Term Buying And Selling
Short-term crypto trading is basically the equivalent of day trading on the stock market but without the stock marketing restrictions. For novice stock traders, some platforms cap your day trades at a certain number per day—a day trade being the buying and selling of the same stock within the same 24 hour period. However, when it comes to buying and selling crypto, those restrictions typically do not apply. Given the volatility of cryptocurrencies in general, it’s plausible that you can have success as a crypto day-trader, though you’ll need to possess a high-risk tolerance. Cryptocurrencies like Bitcoin and Ethereum can fluctuate thousands of dollars up or down within a single hour. So while there’s a lot of money to be made with the buying and selling of short-term crypto, proceed with caution.
Long Term Buying And Selling
As we’ve seen over the past 5 to 7 years with Bitcoin, some cryptocurrencies warrant a longer play. If your gut instinct is telling you that a particular coin—such as EthereumMax—is positioning itself for long term success, you’ll want to buy as much as you can now with the intent of holding your position throughout the anticipated ups and downs, which again, can feel frightening to those who are expecting to become millionaires overnight. Crypto as a long-term investment is a strong play and is a great option if you possess a lot of disposable income. With the global cryptocurrency market looking more and more as the way of the future with each passing day, you’re just paying your future self if you start building your crypto portfolio as soon as possible.
Starting Your Portfolio With EthereumMax
EthereumMax is a decentralized cryptocurrency that gives holders control of their digital assets without the need for an intermediary. Its self-sufficient and autonomous DeFi community powers a yield-based token that provides a 6% distribution of every transaction to existing eMax wallet holders just for owning it. Check out https://ethereummax.org for more information on why EthereumMax is quickly becoming one of the most robust tokens within the crypto ecosystem and set up your eMax wallet to start your cryptocurrency journey today.