How To Start Investing In Cryptocurrency

7th February 2022

If you’re like most people, you’ve probably heard of Bitcoin and cryptocurrency but don’t know how to get started investing in them. Don’t worry; you’re not alone. This blog post will teach you everything you need to know about getting started in the exciting world of cryptocurrency investment.

So whether you’re a complete beginner or just curious about cryptocurrency investment, this blog post is for you.

Let’s get started.

 

Step 1: Select Right Crypto Exchange

The first thing one has to do is select the right crypto exchange. A good crypto exchange should be safe and secure, transparent and trustworthy. One can look through the reviews by other users or find out what people think on the Internet (Reddit, Bitcointalk etc.). You can also try it out for free on some exchanges before committing to buy. Bitcoin prime is one of the top trading platforms you must use to trade bitcoin.

 

Step 2: Open a Trading Account

Once you sign up with a gateway by providing your email and receiving an invitation code (and signing in, if applicable), it is time to open your trading account. Each gateway has its way of allowing you to do this, but most of them will allow you to generate a new API key on their website.

Once this is done, they will provide instructions for adding the key to your exchanges so that everything starts working together.  This usually involves pasting some long strings of letters and numbers into textboxes within the exchange platforms.

 

Step 3: Fund Your Account

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Cryptocurrencies are bought with normal fiat money, including all of your regular nations currencies, e.g. dollars or pounds. After choosing the cryptocurrency to invest in, you will need to go to an online exchange site where you can buy/sell them using traditional currency.

For example, if I wanted to invest just $100 into Bitcoin (BTC), I would click here before I make a purchase of 0.01 BTC for $100 at the current market price and enter that amount into my wallet on Coinbase under “USD Wallet”. Keep in mind that when purchasing cryptocurrencies via credit card, they may charge a transaction fee ranging from 5$-20$.

 

Step 4: Buying and Investing in Cryptocurrency

While cryptocurrency is a promising start-up investment, it can be quite volatile. When you first start buying and investing in crypto, you will notice that price fluctuations are wild. As demand increases, it could go up to 30%+ within minutes/hours/days. With market volatility, we need to learn how to manage our expectations and define realistic goals for the profits we want to see.

 

Step 5: Choose a Strategy

As an investor, you want to be smart about your money. You can either buy and hold forever or pick coins that you think are undervalued and will grow in the future (HODL). That being said, picking one single coin or investment is not always a safe bet, as many saw with XRP last year from 7000 to 50 cents. If you believe in a certain crypto coin, it might be worth it to invest 1/4 of your available tokens into 1 specific cryptocurrency if you truly believe it will go up. Additionally, it’s important to consider when and how to buy and sell crypto, ensuring you make informed decisions to maximize returns.

 

The Bottom Line

Cryptocurrencies are becoming more popular than ever before with the recent boom of Ethereum, Litecoin and many other altcoins. If you’re looking to get started in Cryptocurrency, then look no further. We have mentioned all the steps to get started with crypto investment.