Cryptocurrency Investment Tips 2022: 2022 is only disappointing cryptocurrency investors so far. Recently, bitcoin, the biggest player in the crypto market, closed at its lowest level around Rs 17.55 lakh. Similar is the case with other currencies like bitcoin. The crypto market has reached its lowest level since December 2020. Experts say that the reason for the decline in the crypto market is being seen due to the fear of recession in America and the increase in interest rates. The crypto market is in serious trouble due to its continuous decline. If you want to invest in crypto or have already invested in crypto and want to avoid losses, then we have brought some such tips for you.
crypto market downturn
The prices of bitcoin, Ethereum, and other cryptocurrencies have been falling for the past several days. The rate of retail inflation in the US has been the highest recorded in the last four decades. It is feared that the Federal Reserve Bank of America may increase its interest rates to control inflation. Improvements in the S&P, Dow, and Nasdaq, along with rising interest rates, are prompting investors to shift away from crypto in the US, with better raters for tech stocks and commodities.
How to avoid loss?
At present, the entire crypto market is falling down. Don’t panic in such conditions. Staying in one place can save you a lot of damage. The size of the cryptocurrency market is quite small. Along with this, volatility in crypto is also high. This is the reason why there is a rapid decline in the crypto market. It is expected that no matter how much bitcoin falls, its minimum value is expected to be around $20,000 to $18,000. If the value of bitcoin falls below $20,000 then the market conditions will be very bad. In such a situation, investors have to prepare themselves for this.
Don’t bother with the Red Portfolio
Experts who invest in crypto say that if your crypto investment portfolio is down. Right now you don’t need the money so stick to your portfolio. Do not panic due to the current decline of the crypto market. If you need money or are troubled by the current loss, then sell your Aadhaar portfolio so that you get some money. Considering the current market conditions, partially investing can be done.
New investors choose SIP
At present, new investors should only invest in cryptocurrencies such as bitcoin and Ethereum. According to Money Control’s report, new investors should invest 70 percent in bitcoin and 30 percent in Ethereum. Along with this, one should avoid investing large sums of money in the crypto market at once. Instead, investing over a period of time with an investment structure like a Systematic Investment Plan (SIP) is a better option. Platforms such as Bitbns, Unocoin, Vault, and Zebpay allow you to invest via SIP on Bitcoin, Ethereum, and other cryptocurrencies. SIP investment reduces the chances of loss.
don’t be greedy for profit
The lure of earning more profits in the crypto market can trap you in the trap of fraudsters. At present, there are many thugs available in the market who will lure you with more profits. Don’t get greedy and keep your distance from them. Avoid investing in any new cryptocurrency for the time being. Investing in crypto is very risky. Invest only as much as you can bear the loss.
Do research before investing
Before investing in the crypto market, understand the cryptocurrency and do not invest under the guise of advertisements. However, the advertising watchdog ASCI has been very strict on celebrities advertising cryptocurrencies. In such a situation, you will see very few advertisements investing in crypto. However, you have to decide whether investing in the crypto market is a good fit for you. You have to be prepared for the high-risk factors of the crypto market. Rely on market research more than advertising.
How much to invest in crypto market
While investing in the crypto market, keep in mind that you keep yourself away from gambling. If you are troubled by the high-risk factor of the crypto market, then you should invest only 2 percent of your total investment in the crypto market. Keep in mind that investments are made for profit. In such a situation, do not book profits in regular time.