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It seems crypto has become all the rage over the past few years. Early investors have benefited a lot from the recent hype. Invest in crypto to enjoy a high ROI, but educate yourself about the volatility of the market.
Last updated Jul 27, 2022 at 6:59 PM
Posted Jul 22, 2022 at 4:00 AM
If you had invested $10,000 in Bitcoin a decade ago, it would now be worth $2.28 million, more than doubling if you sold at the all-time high of $69,000. These gains are too appealing to pass up, so more people are investing in cryptocurrency. Should you invest in crypto, too?
There are over 20,000 cryptocurrencies available, including Ethereum, Cardano, Ripple, Binance Coin, and the well-known Dogecoin. Some cryptocurrencies, such as Ethereum, help developers create DApps (Decentralized Applications), whereas others, such as Dogecoin, are just for fun and speculation. Critics deride cryptocurrency as "playing poker," whereas crypto enthusiasts believe these are future currencies that provide freedom.
If you want to invest in crypto, first you should learn about this insanely volatile market, where some people have made a fortune overnight while others have lost their hard-earned money. Terra Luna is a recent example: if you invested $1,000,000 in it a month ago, it is now worth $1.
As a result, the first rule is to invest only what you can afford to lose. Only a few coins perform exceptionally well, offering 100x, and you'll have to be extremely lucky to pick the right one out of the 20,000 available. Enter the market with realistic expectations.
Portfolio diversification is essential; invest a calculated amount in each type of asset. To always be in a better position, be curious as well as cautious, and keep learning about what's going on in the cryptocurrency world. Cryptocurrencies are the future, and if you plan to invest, do so with a long-term view and in coins that serve a purpose, such as Ethereum.
Bitcoin has attracted billions of dollars in investment from major corporations such as Tesla and MicroStrategy. So let’s take a look at why you should get into this market.
Cryptocurrency is held by less than 5% of the total world population, so you are still not too late. Cryptocurrencies can be extremely profitable if you learn to hold good coins for a longer time.
Cryptocurrency will be the right investment for you or not depending on several personal factors. The best way to determine whether this is the right opportunity for you is to stay informed and experiment as much as possible. You will eventually discern whether or not the space is the one you want to be in.