In this article we are going to discuss about three major crypto investment principles. These rules may not be new to the experienced and professional investors. But you can use them in every financial market, especially crypto markets.
Major Crypto investment principles
Paying attention to the amount of personal fund and market risks: As crypto space is a risky market, it is proposed to start investing in using small portion of your total budget. Then you can gradually extend your portfolio. Foremost, avoid rent, food and other necessities of life for investing in cryptos in order not to cause any problems.
Personal feelings and interests: in order to start investing, everyone should choose a market according to his/her personal feelings and interests. As an example, if you think that cryptos are the future of money, investing in this market would be the best choice for you. But if you do not feel good about the future of cryptocurrencies and blockchain technology, it is better to invest in other markets.
Core-satellite strategy: according to core-satellite strategy, the major part of the core investment should be done in high credential assets while remaining is spent on new projects and small start-ups. Main cryptos like Bitcoin and Ethereum are confirmed. Despite volatility, they are more stable than others. Satellite assets also have more investment risks than core ones.
Which of these rules do you think is more important? Is Crypto investment profitable?