7 Proven Investment Strategies That Always Work – Cryptocurrencies (Altcoins) Edition
1. Buy Low, Sell High
This is probably the most obvious, and thus most commonly used strategy. Yet it works almost every time. Why do you think Warren Buffet has been so successful? One of the main reasons is that he buys when everyone else is selling, and sells when everyone else is buying. Here’s a little secret: if you buy when everyone else is buying, you won’t be able to sell for as much money. If you sell when everyone else is selling, you won’t be able to buy as much stuff. That’s why this strategy works so well. It’s also why you need to be patient with your investments, and realize that there are times when the price will go down before it goes up again.
Remember that thing about not having all your eggs in one basket? Well, the same applies here too! For example, if you only invest in Bitcoin and it crashes – which has happened several times already – then you would lose all of your money in one fell swoop! That’s why it’s important to diversify your portfolio by investing in at least 5-10 different cryptocurrencies. You can also divers
This is the fourth in a series of seven articles on smart investing strategies. Below you will find 7 proven investment strategies that always work. This time with a twist, as I am going to look at each strategy from the perspective of cryptocurrencies.
The first three articles are dedicated to Bitcoin, Ethereum and Aelf. In this article, I am going to cover altcoin investing, i.e. all other cryptocurrencies than Bitcoin and Ethereum.
The last three articles are focused on general investment strategies related to blockchain projects, ICOs, and crypto exchanges.
NOTE: For more information on investing in altcoins, see also my article “How To Invest In Cryptocurrencies (Altcoins)”
If you made a list of all the things you could invest in, what are the top 7?
1. The stock market
3. Real estate
4. Commodities (gold, silver, oil)
5. A business or investment fund
6. Money market mutual funds and CDs
7. Cryptocurrencies (altcoins)
These are “proven” because they have worked for decades, if not centuries. In fact, if you had invested $100 in any of these 7 asset classes at the right time over the past century, you would have made a very large amount of money today. But that doesn’t mean they work all the time — far from it! They only work some of the time, but when they do work, they tend to make huge returns on investment. It’s up to you to learn how to identify those times correctly so that you can take advantage of them!
When it comes to cryptocurrencies, you may think the only thing that matters is finding winning investments. And while there’s certainly nothing wrong with that, it’s not the only thing you should be focused on.
In fact, if you want to succeed as an investor then you need to understand the investment strategies that will help you make money in any market environment.
This is because a good strategy can help you avoid making bad decisions and can help you achieve your investing goals regardless of what’s happening in the broader market or with particular investments.
So, what are some of the best investment strategies for making money with cryptocurrencies?
For starters, let’s look at one of my favorites: dollar-cost averaging.
A Simple Strategy: Dollar-Cost Averaging
I first posted this article on my blog at www.cryptosophia.com, but I’m reposting it here to see what you guys think.
The cryptocurrency market is very young and volatile. There are many factors that can influence the price of a coin at any given moment, and sometimes it’s hard to understand why a particular cryptocurrency is trending in a certain way. However, there are some useful ways to analyze the market and make more informed investing decisions. This article describes 7 investment strategies that can be used for cryptocurrencies.
1. Fundamental analysis:
Fundamental analysis is generally similar to fundamental analysis of stocks and bonds (which is well understood), but there are also some key differences to keep in mind. The purpose of fundamental analysis is to identify if an asset is undervalued or overvalued. While analyzing a stock, you might look at its P/E ratio and try to determine if the current price makes sense based on the company’s earnings history and future prospects. When analyzing cryptocurrencies, you might want to look at their market cap (total supply times current price) and compare it with other coins of similar category (e.g., other privacy coins). Another thing you might want to take into account is the current volume of trading – if a
GETTING STARTED WITH CRYPTOCURRENCIES
The crypto market is an exciting place to invest. It’s a new field, volatile and with plenty of room for growth. Its rapid rise in popularity has led to the appearance of many new cryptos, each one with its own take on the concept. As there are so many different coins out there, they can be used to apply all sorts of investing strategies.
Here are the main ones:
This strategy consists in buying a coin at a low price and holding it until its value increases.
2. Dollar Cost Averaging (DCA)
The DCA strategy is similar to buy-and-hold, but it involves making smaller investments over a longer period of time instead of purchasing a lot at once. The idea behind this strategy is that you will spend less per coin if you buy them in batches over time instead of all at once.
3. Value Investing
In value investing, you find undervalued assets and then purchase them in order to sell them later at higher prices when their value increases.
4. Momentum Investing
Momentum investing is based on identifying trends – for example, when most people buy a