The Hitchhiker’s Guide to the Cryptocurrency
Binance, Bitcoin, Cryptocurrencies, Trading

The Hitchhiker’s Guide to the Cryptocurrency

What is cryptocurrency?

A digital currency with cryptographic code that controls the creation of currency units and verification of funds transaction. Neither the government or central bank in any country/countries fund a cryptocurrency. The records have held in a distributed way. Think of it as a distributed leader in which the order of transactions can not be changed.

The advantages compared with FIAT currency are different for such money. This is why many banks and governments have opposed to cryptocurrencies. The centralized power centers, whether governments or central banks, take power from cryptocurrencies.

History of Cryptocurrencies

We must talk about the historical perspectives of cryptocurrencies, which will help you to appreciate this invention, before talking about direct investments.

This goes back to the 2008 global financial crisis and you can’t avoid it without mentioning Bitcoin when you’re talking about it. An anonymous man under the pseudonym “Satoshi Nakamoto” published a paper in October 2008 on The cryptography mailing list.

Bitcoin was invented to stop modern banking powerfully and to develop an alternative for people who wanted to opt-out of the banking system.

Satoshi developed and released Bitcoin soon after the 2008 financial crisis, it was not a simple coincidence. In my mind, it was an all-out assault on the central banking system, a system which has both been inept and manipulative in several other technology economists ‘ opinion.

Bitcoin was created to provide people with the alternative to modern banks and to save them from corrupt government inflationary policies. It was also created for the world to show that if strong mathematical models–cryptography–support decentralized confidence.

So, the first cryptocurrency of the world, Bitcoin, was established.

This area has since advanced springs and boundaries. Today we have over 1500 cryptocurrencies. Look at the CoinMarketCap number of coins.

Cryptocurrency Name (Code) Current Price in U.S. Dollars Market Capitalization
Bitcoin (BTC) $8,313.40 $139.57 billion
Ethereum (ETH) $607.14 $59.34 billion
Ripple (XRP) $0.67 $26.58 billion
Bitcoin Cash (BCH) $926.25 $15.69 billion
Litecoin (LTC) $163.03 $9.00 billion
Cardano (ADA) $0.18 $4.70 billion
NEO (NEO) $69.74 $4.47 billion
Stellar (XLM) $0.23 $4.30 billion
EOS (EOS) $5.15 $3.76 billion
Monero (XMR) $213.66 $3.37 billion
Dash (DASH) $416.22 $3.30 billion
NEM (NEM) $0.36 $3.18 billion
IOTA (MIOTA) $1.08 $2.98 billion
Tether (USDT) $1.00 $2.22 billion
Tron (TRX) $0.03 $1.96 billion
Ethereum Classic (ETC) $18.43 $1.83 billion
VeChain (VEN) $3.83 $1.83 billion

How To Invest in Cryptocurrencies 101

The very fact that you read this document indicates that you want to participate in cryptocurrencies. Such permanent and exchangeable cryptographic coin aims to make money impossible and unmanipulated for the whole planet. Their supporters see the future whereby Bitcoin or other cryptocurrencies would overtake Euro, Dollar, etc. to establish the first affordable and challenging world currency.

There are three main good reasons for investing in cryptocurrencies.

First of all, because you want to protect your net worth from the collapse of the dollar bubble, which many people assume is imminent. Furthermore, because behind cryptocurrency, you endorse the universal dream of fair and hard currency for all the planet. Thirdly, because it’s a technology that you appreciate and like.

Nevertheless, very low investments in cryptocurrencies are also likely. Most individuals become hysteria perpetrators of any crypto-monetary bubble. Somebody is still trapped with FOMO, buying huge sums in the height of a market only in the hopes of gaining fast money when avoiding cryptocurrencies.

Early-stage developers made millions of dollars in pure profit in Bitcoin and Ethereum.

Within one year, Bitcoin rose from 750 US Dollars to a whopping 10,000 US Dollars from December 2016 to December 2017! Throughout December 2016, everyone who contributed $10,000 will receive a huge amount of $133,333 throughout just three and a half days. Cryptocurrencies’ total market share by the end of 2017 reached an amazing $500 billion.

Stories such as this have invaded the twitter and more and more people have joined the crypto trend to create a slice.

When Bitcoin dipped, all other currencies dipped and many people lost all their lives.

We will show you in this guide how you can learn how to invest intelligently. Let’s begin our first class, after saying that.

Take Comprehensive Risk Ok

Because cryptocurrency uncertainty is far beyond that of any other form of assets, they are not ordinary investments. Therefore, the government is always in danger of banning the sale and trading of crypto-currency. If this is the case, then you should rest assured that your crypto investments are not paid back. The important thing here is to lose the capital that you can spare.

Notice that other coins exist

Up until late 2016 Bitcoin was the cryptocurrency, and there was not much besides it. You purchased Bitcoin if you wanted to invest in the success of cryptocurrencies. Time. Time. Many cryptocurrencies-known as “Altcoins”-have been penny shops in illegal online markets mostly for holding mining GPUs running, pumping up demand and dumping coins.

That has changed, however. Although Bitcoin is the leading cryptocurrency, in 2017 it quickly dropped from 90 to around 40 percent and by September 2018 it is about 50 percent.

Think of the value the coin gives to the scheme.

You have passed the market caps and decided to invest in a bunch of coins? Fantastic work. This is, however, the start of the real work.

The first thing you have to do is learn the whitepapers. Now, we understand that reading PDFs may not be the most exciting thing, but before you reap any advantages, you must start working.

How do I trade cryptocurrencies?

It is similar to the way shares are exchanged in cryptocurrencies. As in any company, the aim is to buy LOW and SELL HIGH while only taking the risk you can manage. Which sounds easy, but it doesn’t. You can trade altcoins and bitcoins. Confident me. The first move is to transform the fiat into cryptocurrencies. This can vary depending on the country from which you come. For instance, if you are from the US and if you are from India, you follow these steps. The second step is to create accounts and move the cryptocurrency money on common exchanges into those accounts. You are all set once you’ve finished those two. Just buy LOW and SELL HIGH to buy Down.

However, be sure that you are aware of all the risks involved with buying cryptocurrencies until you decide to sell.

What are the risks involved in trading cryptocurrencies?

I just list a few threats to make sure that DYOR understands all the risks involved.

1. Cryptocurrency can be declared illegal in the country where you stay, so transferring your cryptocurrency to FIAT can be very challenging. China’s crypto-trading is being limited. India recently requested that the banks withdraw support from all the crypto businesses.

2. Your banks will block your cryptocurrency trading accounts. My CITI bank account has recently been blocked for cryptocurrencies trading. For more than a decade now, I have been a loyal Citibank customer and it seems like it has no impact.

3. In a single day, the cryptocurrency you exchange can lose most of its value. In a single day, Bit connect lost over 90% of its market value. The concept of Bit connects being a top 10 cryptocurrency that further worsens the trend, as this fraud could not be thwarted by the cryptocurrency world.

4. You can swap and lose your capital. It could be hacked.

5. You can get tricked out of your wallet and lose all your money if you do not follow best practices.

6. You can’t sell the coins because there are no purchasers. No liquidity is also known.

I don’t say these things to frighten you. However, recognizing all the risks involved before you fall in is very relevant.

What type of analysis can I do before cryptocurrencies are traded?

Also, there are two types of analyzes. Foundational and Technical Research (TA) (FA). FA. I assume that most frequent traders at TA are decent and most HODLers, I think, at FA are good. I know the best investors are mixing both of them. Whether you follow TA or FA or both, make sure that you have enough time to do it.

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