After a few years of major ups and downs, cryptocurrencies finally entered a peaceful period and proved they were here to stay for a long time. Powered by the blockchain, also known as one of the most promising technologies of the 21st century, digital coins earned their place in the financial sun relatively quickly.
Reports reveal that only about 3% of people have already invested in cryptocurrencies, but the figure has been growing steadily in the last few years. If you are thinking about joining the game, you should learn the basics of cryptocurrency investing and understand the most common blunders in this field.
We will help you to design an effective cryptocurrency investment strategy by pointing out 15 mistakes you need to avoid in 2020. Let’s take a look!
1. Trading without a strategy
The biggest mistake of cryptocurrency investing is to start trading with no clear strategy on your mind. Do you want to invest in new coins or play safely with Ethereum or Bitcoin? You need to answer this and many other questions before entering the cryptocurrency universe.
2. Not setting a trading limit
Do you know your real power? How much can you spend on crypto investments? You need to be clear about that if you don’t want to end up losing the entire life savings.
3. Not learning about crypto investments
Engaging in any kind of investment without learning all there is to know about it is like choosing an assignment help agency without reading the MasterPapers review. You have to be smarter than that and check out tons of learning resources prior to making any moves.
4. Trusting random investors
This mistake goes hand in hand with the previous one. Instead of doing their own research, way too many investors sell or purchase cryptocurrencies guided by opinions of other random investors.
5. Trading too much too frequently
While it is true that the price of a given coin can skyrocket quickly, it doesn’t mean you should go all-in and trade too…