7 Golden Rules for Investing In the Right Way in Cryptocurrencies

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7 Golden Rules for Investing In the Right Way in Cryptocurrencies

With cryptocurrencies you can make money, a lot of money, it is no longer a mystery to anyone, skepticism has no more reason to exist: the latest rankings drawn up by Forbes count more and more billionaires who have made a fortune thanks to cryptocurrencies such as Bitcoin, right to mention the first, it is more famous.

7 Golden Rules for Investing In the Right Way in Cryptocurrencies

To take advantage of this new opportunity for returns without however incurring unnecessary risks, you must have a method that takes advantage of the best rules at the basis of a correct investment, a few simple rules that allow you to accurately evaluate when and how to invest and when. how to divest, to divert capital and profits to other assets and start recording profits again.


The 7 Golden Rules

To invest in cryptocurrencies, you must make informed choices from the outset, thus trying to put yourself in the most advantageous conditions to reduce the risk of this trading specialty to the essentials.

1. Operate on Regulated Platforms

The first choice necessary to invest in cryptocurrencies is the platform on which to operate, where most of the time they will keep their cryptocurrencies. The importance of this choice is impossible to underestimate: costs, speed of action, safety and breadth of investment possibilities are largely influenced by the platform on which you operate.

Without forgetting that often this platform is also one of the main channels through which we obtain the information that allows us to stay up to date on cryptocurrencies.

2. Always Stay up to Date

The second rule of the cryptocurrency trader is that information represents the maximum value: it is only thanks to correct and timely information that you can make a profit and avoid losses, buying and selling at the most appropriate time. To do this, you need information on everything related to your cryptocurrencies, thanks for example to the updates of Meteofinanza. It is these channels of information that continually update us to keep the pulse of the situation.

3. Protect Yourself on the Downside Thanks to CFDs

In addition to investing directly in cryptocurrencies, you can invest in CFDs on cryptocurrencies: in this way, it is even possible to protect yourself in the event that the cryptocurrency on which you have decided to invest directly falls by recording a loss: they are called short positions and they make you earn when the price purchase of the cryptocurrency goes down and lose when it goes up.

4. Make Good use of Leverage

Remember that cryptocurrencies are on average more volatile, this means that they can record considerable changes in a short time: if you use significant leverage, you can quickly earn large amounts but also lose equally large ones with the same ease.

5. Diversify Across Different Cryptocurrencies

Investments by selecting a basket of cryptocurrencies is one of the most conservative choices against the volatility that risks compromising one's plans. Investing in a single asset is almost never advisable, it is always better to rely on no less than three or four different and unrelated cryptocurrencies.

6. Studying the Cryptocurrencies to Invest In

Knowing what your capital is investing in is essential. Correct and always updated information is the first countermeasure against losses and the most important weapon to guarantee the desired profits. Ignoring this rule could lead to sensational losses. For example, it could be the case that you buy a very promising and reliable cryptocurrency without knowing that a Blockchain Fork operation is already in progress that concerns you, an operation which, as we will see shortly, can lead to exceptional volatility.

7. Keep an Eye on the Blockchain Forks

You may recall that in the beginning there was only one cryptocurrency, Bitcoin, whose inventor also created the software behind the blockchain. Not long after, a second came, then a third and so on. One of the cryptocurrencies that followed the birth of Bitcoin is Litecoin: a very well-known and appreciated cryptocurrency today.

Not everyone knows that Litecoin was born as a bifurcation of Bitcoin: its creators have promoted a new token and convinced users to invest in the new Bitcoin clone virtual currency. Without getting into technicalities, this is always possible and when it happens you can witness a more or less momentary phenomenon of high volatility on the cryptocurrency concerned.


As you can see, the rules are basically simple: following them consistently is essential to obtain rewarding results.

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