I recently shared 3 of the biggest lessons I’ve learned from being an investor and educator in the Crypto space. We covered some golden rules for Crypto investing, including
1. Believe nothing of what you hear and half of what you see.
2. Never invest what you can’t afford to lose.
3. If it’s too good to be true, it usually is.
Today I’ll be rounding out my top 6 tips and giving you a few more things you can add to your Crypto toolkit.
So without further ado, let’s dive in.
4. Keep an eye on your investments.
This one sounds pretty simple, right? But it’s surprising how many people don’t track what’s happening with their coins.
Remember that every single coin out there has a project team behind it, with people who are making decisions about your investments. Sometimes big changes can be in the pipeline that you absolutely should be across, as they can have a major effect on your portfolio.
For example, crypto.com recently orchestrated a controversial token swap between their two signature tokens, with one being decommissioned in favor of the other. The move has implications that investors would need to be across in order to get the best results. So, if you’re someone who has a lot of coins, and doesn’t really follow what is happening with them, I recommend you start keeping track. The best way to do this is to follow the twitter accounts of your coins project teams and subscribe to any updates. (https://coinmarketcal.com/en/ is also a great way to get updates on different coins).
5. Back up sensitive information.
If I were to ask you ‘Where are your private keys right now?’ would you be able to tell me? (Not that you should ever tell me, but you get my point!)
When it comes to Crypto, you are your own bank. Which means the buck starts and stops with you. Your keys are the most valuable thing you have, and if you lose them, it’s game over. There’s no ‘forget password’ option in Crypto!
So make sure your keys and your wallet are safe at all times. Waterproof bags and fireproof safes are both great options to protect your most prized possessions.
6. Check your portfolio regularly and take profits.
As most of us are aware, the Crypto market is going through a sideways bear market right now. We’re all waiting for a bit more action, and we know it’s going to come eventually. In 6 months’ time, we could go into a bull market and you could find your coins outperforming every other asset you own. This is the volatile nature of Crypto!
Think about this: In traditional markets, a managed fund will try to get you 10-20% in a year. And you’d be pretty happy with that as an investor, right? Now compare that with the Crypto market, where you can potentially earn 100-1000% gains. It’s happened before and it will most certainly happen again. And when it does, make sure you take a slice of that pie.
At DWG we recommend withdrawing your initial investment amount. That way you’re in it for the free ride and you’re only playing with profit.
I’ll leave you with one last story. In the past, we’ve had students who invested $200k to $300k into Bitcoin, back when it was $18k per coin. When the market corrected (which is all part of the cycle) these students panic sold, against our advice. They would have made 2-3x their money if they’d just bought and held.
Remember, we’re in this for the long haul. Crypto is volatile, but that volatility is the price we pay for incredible gains.
In February, Trump announced they had the “best economy ever” as the stock market hit record highs, but days later,…
Have you started to obsess over the perfect time to take profits? Trust me, we’ve all been there! In a…
You’ve no doubt heard me mention the Wall Street Cheat Sheet before, which charts the unavoidable ups and downs of…
Register for the FREE 90 minute
Crypto Training