5 Tips for successfully investing in Bitcoins
Bitcoin is considered to be the most sought after investments option of the recent times. High volatility in price range and ease of buying has attracted various customers around the world. Due to it’s digital and decentralized nature, investors classifies Bitcoin as Fundamentally strong, which means it has a lot of scope of growth in the long run . Bitcoin prices are gaining steadily and is offering huge profit bookings.
While everyone is positive and confident about Bitcoin due to high price volatility, often traders and investors looses their money for the same reason I.e., high price volatility.
Here are 5 Tips for successful investments in Bitcoin
Follow the advice of Warren Buffet
We at KryptoMoney.com totally believes in the famous quote by Warren Buffet that “Don’t Keep All of your Eggs in One Basket”.
We also advice our readers to follow the same. Never invest all of the money only into Bitcoins. Try to diversify it in other crypto currencies like Ethereum, Dash, Monereo,Ripple etc, or the traditional investment options such as Mutual Funds, Stocks, Bonds,etc. Never invest the amount that you cannot afford to loose!!
Mind the Currency Exchanges rates
Bitcoin is traded globally on different global bitcoin exchanges. Local exchanges offer bitcoins at local currencies. Hence, possibility of price variation of Bitcoin at same time in different location will necessarily arise due to difference in currency rates. Indian Bitcoin exchanges will offer Bitcoins in INR but United States Bitcoin exchange will offer Bitcoin in USD. As a result, in India price of Bitcoin may be higher than that in United States.
Keep safe and secure you wallet Private Key
As bitcoin is a digital currency and is stored in digital wallets, a private key is used to access the wallet. It is said that if the wallet is lost, all thebalance bitcoins in it are also lost and cannot be retrieved back by the user . In this case, only the private key can help out the user to get the wallet back and thus, the lost bitcoin balance. So always note down the wallet key and keep it safe and secure. Also don’t let any non-trustable person get access to the key as he/she may misutilise it and transfer your balance bitcoins.
Price chart Analysis
Always keep a log of your investments and study it carefully. Observe the price charts and examine the trend in order to make future investment decisions. If possible hire a technical analyst in order to get expert advice.
Slow and steady wins the race
Last,but certainly not the least, always aim for making money by long term investments and not short term trading. Those who wish to multiply their investments can only do by purchasing Bitcoins at a lower rate and holding it for long term in order to book super normal profits. Short term trading may also end up you in losses and thereby loosing your confidence in one of the world’s most highest return giving investment option, i.e Bitcoins and Cryptocurrencies
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