Where to Start when you Wish to Invest in Cryptocurrency
The popularity that cryptocurrencies enjoy presently has made the highly desirable and valuable. This has made many investors gain interest in this new market. Most of them are however not conversant with it to know where to start. Its unique characteristics add to the confusion of how to trade and sell it. Here is where you shall learn how to trade and sell Bitcoin and other kinds of cryptocurrency.
You need to start by choosing a cryptocurrency exchange. There are plenty of them out there, each with certain advantages and disadvantages. You need to assess them in terms of fees and purchase options, supported coins, security, as well as liquidity. These are critical to any exchange you are contemplating. It is important you get one with favorable fees. The more the supported coins, the better the returns you shall realize. Security is an important factor. You need to see some strong measures in place, such as secure passwords, two-factor authentication, offline cold storage for most of your funds, and professional grade encryption.
You should then create a wallet. This shall enable the safe storage of your cryptocurrency. There is always a provisional wallet at your chosen exchange, but you should not leave your currency in there for too long. The best place has always been your personal wallet. You need to be keen on the security of your private key. It allows you to transact safely. All the amounts you do not intend to trade with should be stored offline. This should be followed with keeping that info secure at all times. If you lose that offline info, you will have lost a huge investment permanently. There are hardware wallets for such scenarios. You can click here to find out more about them.
This shall now be time to buy your first Bitcoin. You need to first fund your wallet. There are choices you can make in this. There are ways you can use your credit card or bank account to make the purchase. You need to then move them to your personal wallet or trading wallet at a larger exchange.
You are now ready to trade and sell Bitcoin. You need a good plan to do so, and the discipline to see it through. You may, for instance, avoid the temptation to put more than 5% of your total portfolio on a single investment. If the trade does not work out, you will have lost very little.
Never trade with amounts you cannot afford to lose. There are risks in investing. The cryptocurrency faces the ups and downs to trading markets as well. You need to watch how much you are dealing with.
There are articles on this site you can refer to for investment advice.