Cryptocurrency Trading Tips - Deepstash

Cryptocurrency Trading Tips

1. Pick a Reputable Exchange

2. Pick a Simple Strategy

3. Automate

4. Build a Portfolio

5. Keep assets in cold storage

6. Be patient

7. Ask for help

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  • The cryptocurrency market never sleeps. There are no closing hours or holidays. Services are running every second of every day.
  • The constant requirement to be online drives people mad. Monitoring the market at every moment is exhausting. You don’t want to be online 24/7, it will turn into a nightmare, burning you out.
  • Find a service which helps you automate your strategy. There are a number of easy to use applications in the market which provide portfolio automation tools.

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  • Putting all your eggs into one basket is a recipe for disaster.
  • Constructing a portfolio can reduce risk and provide stability in this volatile market.
  • Instead of buying a single asset and praying for a moon, distribute risk to a number of assets and manage that portfolio by making small adjustments to your positions.

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Although the market is volatile, that doesn’t mean the value of your portfolio will skyrocket over night:

  • Once you’ve implemented your strategy, let the strategy work.
  • Explore the intricacies of your strategy, engage with the strategy for some time. It doesn’t happen over night.
  • Enjoy the process of learning. Build up your expertise with weeks of careful research until you’ve mastered your strategy.

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5. Keep assets in cold storage

You never know when the sky might fall. The cryptocurrency space has a history of surprises when it comes to hacks. Funds can be lost in a hack at any moment, so it’s always encouraged to keep your assets off the exchange as much as possible. 

Being the guardian of your own bank is great, but it means you must find services which can accommodate keeping funds off the exchange:

  • One option for a convenient mobile hardware wallet is the Ledger Nano X. It’s simple, it works, and you can rest easy because your funds are secure. 

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  • When you feel lost or confused, don’t be afraid to ask for help from reputable groups. Countless people all around the world would be excited to help you.
  • Cryptocurrencies can change the world for the better, but we must all work together to bring about this future
  • Join a passionate community which helps you learn something new each day, join Deepstash.
  • Don’t Risk More Than You Can Afford to Lose!

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  • Before owning any cryptocurrency, it’s important to research the reputable brands in the market which provide exchange services.
  • As a beginner, it’s important to focus on buying your cryptocurrency from a trusted and reliable source. Instead of focusing on “getting the best deal”, go with the exchange with the best reputation.
  • Once you have sent a cryptocurrency payment, there are no charge backs, no banks you can call, and absolutely no way to become reimbursed.

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The beginning of your journey into the cryptocurrency market will be hectic. You will quickly become bombarded with ideas for trading strategies. Find a strategy that’s simple to implement and maintain as you learn.

  • Remember there is no magic bullet. There has never been and there will never be a strategy which guarantees returns.
  • The most popular of these strategies is portfolio indexing and rebalancing. This is a strategy that has been trusted by financial institutions for decades, so we can be confident the strategy has been well tested and examined.

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RELATED IDEAS

Do I have to pay taxes when I buy or sell crypto?
  • Your taxes will depend on your location, how long you've held your crypto, the type of activity you're doing, and other factors. 
  • In general, you'll probably need to pay taxes or offset losses for selling but not when you buy.
  • As a fairly new asset, tax authorities are still developing crypto regulations. 
  • It's your responsibility to keep track of your taxable gains and losses and pay the right amount of tax, according to your country’s regulatory framework.

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Investment is sometimes a fruitful or risky option. It can be a successful investment when you know what you are investing in and might give you stress when you are not clear about your investment.

  • Stocks
  • Mutual funds
  • Crypto currencies
  • Domain Investment
  • Selling Developed Websites

These are some of the Investment Opportunities that you can consider, but do not forget to research and gain clarity before you put your money into something.

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1. The total amount of bitcoin is limited:

That’s right. If you thought it would be possible to buy an endless amount of crypto, think again. Cryptocurrency is a limited resource, like gold or oil. This is why currencies like bitcoin continue to increase in value as the supply goes down. Investors know that somewhere down the road, the number of bitcoins and alt currencies available will come to an end.

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