You may often hear of people buying cryptocurrency more as an investment than you may hear of how often people purchase goods and services with it. It’s actually the investment into cryptocurrency that directly influences the demand for the usage of digital currency. It’s an amazing concept of buying into money as an opportunity to make more money. Here’s an easy guide for you to buy and sell cryptocurrency as soon as you’re ready.
Choose and Setup a Cryptocurrency Wallet
Before handling cryptocurrency, it’d behoove you to prepare first a safe place to store and access it. Consider where you’d like to protect your cryptocurrency upon your first purchase. A cold wallet is your most secure option, and you’d set up your combination security systems from there with the pins and passcodes your wallet will prompt you to implement.
Choose an Exchange
Next, explore options of reputable cryptocurrency exchange platforms. Some popular apps are Coinbase, Crypto.com, Kraken, Gemini, eToro, and CashApp. Take some time to see what platform you’d like to begin with and set up an account linked to your debit/credit cards or bank accounts.
Buying and Selling Methods
Some platforms like CashApp have simple “buy” and “sell” buttons that make the process incredibly easy. Others have a traditional stock exchange format for more structured transactions.
- Market Order: A quick purchase to buy your desired amount of crypto at the immediate value
- Stop Order: You set a hard standard for what price you’d like to automatically buy or sell crypto. You can set a low price to buy into and a high price to sell at before it drops.
- Limit Order: Similar to a stop order, but more flexible to adjust buying or selling at a specific price or better. For example, if the price goes down to your specific price, but keeps going down, the exchange will wait and follow the trajectory for a better price to buy. This may be very worthwhile at the right time though the setup takes longer.
- Recurring Investments: You may set a planned amount of money to invest into your accounts on a regular basis.
The best method of investing in crypto is with a long-term plan whether buying and holding, making small recurring investments and allocating only a small percentage of your investment portfolio to crypto. Honestly, while crypto investments are intriguing with success stories and media attention, one must be careful to pay attention to the radical volatility and scam activity on this market. It’s highly unlikely to promise one a fortune overnight, but it’s worth keeping an eye on as it grows to be more relevant as time continues.