Crypto Investment Strategy For Newbies
As the market keeps showing promise, more and more people are jumping into crypto. The market has added over $50 billion in the past week or so and now again, everyone is talking about crypto again. The buzz might not be as big as it was in 2017 but I believe that it will only grow with time and good things are yet to come.
I get asked by many people who witnessed the crazy gains of 2017 but somehow didn't invest back then (mostly my college friends), what is the best way to invest in cryptocurrency. Although I am no financial advisor, I do provide them with suggestions with a small disclaimer at the end that I may not be held responsible for any losses.
So, I thought that why not make a post about it and tell you guys how I would invest if I had $100. Kindly note that this what I would have done if I was investing for the first time in crypto and remember that it is for information purposes only.
Source
30% BTC
This is the first thing I would have done. That means out of $100, I would invest $30 in Bitcoin. Like it or not, Bitcoin is here to stay and it is the king of all crypto coins. Bitcoin drives the whole market. It is the most decentralized crypto out there. Bitcoin has issues but it controls more than 62% of the market and will continue to dominate for a long long time.
20% Ethereum
I would invest $20 in Ethereum, the number one altcoin, and probably the only contender to take over Bitcoin in the near future. Almost half of the crypto market revolves around Ethereum and with Eth 2.0 coming, things are only going to get better for Ethereum.
30% Top 15 coins
I would invest $30 in the top 15 altcoins. These altcoins have proven a thing or two about themselves and there are some great coins in the top 15. If I had to choose some coins, I would go with Cardano and Chainlink. Cardano is already what Eth 2.0 is trying to become and with Shelley launched and staking coming in August, things are going to be exciting. Chainlink is connecting outside data with blockchains through oracles, something which can not do on their own. They have hundreds of big partners and they continue to expand.
10% Top 100 Coins
I would look for some niches with great potential like gaming and social media. I will pick Enjin Coin for gaming. There are other gaming coins as well but I think Enjin is the best. For social media, I will pick them/hive. Steem once had a marketcap of $1.8 billion and there are chances that we might see these social media platforms achieve this feat in the bull market.
10% DeFi
DeFi is the hottest niche right now in crypto. I am pretty sure that DeFi is going to be the driving force of the next bull run and would see the most gains as well. If you want, you can also skip the gaming and social media coins and invest 20% in DeFi coins. DeFi has a huge potential and it is about to explode.
This is how I would invest if I had just $100 to invest. Let me know your strategy. If you think I missed any coin or niche, drop it in the comments section.
This is not financial advice. These are personal thoughts and they are meant for information purposes only.DYOR before investing.
Download Brave and start earning BAT.
in 2017 when the crypto currencies lowered their prices more than one investor lost everything he had and was indebted so when giving advice to friends and family the first thing that comes to mind was the losses that the lack of information caused in reckless investors, this very good long term strategy and give them time to study the ecosystem of crypto currencies
I remember, I advised a friend to invest in Ethereum back in 2018 and once he did, it lost more than 20% in less than a week and my friend had to cash out as it was his college fee. I literally has to pay $200 from my own pocket to cover his losses.
In my opinion, altcoins aren't profitable anymore.
The money that investors earn when they sell their bitcoins, it goes all to stablecoins, not to altcoins (like in 2017/2018).
Maybe the top 15 has good projects, but I wouldn't invest to much on those.
Also, btc will skyrocket in the near future :D
Well, I have a different opinion and I think altcoins are profitable. You won't believe that recently I put small amount of money in a new DeFi coin and within 3 weeks, it became my biggest holding.
PS : Nice to see you.
I really love the way you divided the percentage out of 100% from each crypto making BTC 30%, etherium 20%,defi 10% and others but it would have been more appropriate if you had suggested the exact cryptos to invest even though there's definitely high risk involved though.
Thanks for sharing this great post with love from @hardaeborla and I hope you have a great day ahead
💖💖💕❤️💖❤️💕❤️💖💕💖
The lower we go down the market cap, fhe riskier it gets. No one can research about all the crypto projects out there, that's why I didn't include the names.
You might find a coin not worthy but for me, it might be a good pick and vice versa, but we all agree on BTC and ETH at least.
Nice strategy to invest in crypto and for BTC and ETH I have have the similar opinions. I am not aware of Defi.. what is this ? is this any new project of coin.
Thanks for sharing this nice post.
Well, you must learn about DeFi if you haven't already. It is the hottest niche right now in the crypto world right now. It means decentralized finance.
Some famous DeFi coins are Maker, Compound, Aave, Kyber Network, and others.
I have been learning this.
Glad to know it from you :)
Thankyou for sharing my friend :)
You're welcome
Greeting friend @syedumair I don’t have much to contribute about it, but if I thank you for some of your advice, I will educate myself a little more about it to be able to invest. Thank you for sharing your experience in the area !
This is not an advise. It's just information. It's good to know that you do your own research.
Could you write an article on the best way to utilize the steemit platform? Thanks
I believe we have plenty of those articles already on the blockchain but I will try to write one if I get some free time.
Great and useful post, @syedumair.
Thanks
Actualmente quiero ingresar en el negocio de la criptomoneda pero me incomoda mi falta de conocimiento y me gustaria una mejor explicacion de la extrategia
Sorry, I don't understand your language