![]() ![]() A strategy that includes downside protection, stop-loss, and take-profit policies will be able to survive the strong crypto bear markets and flourish during bull cycles. Risk management: Cryptocurrencies are possibly the most volatile asset on the planet! Protect your capital first and seek profits later. Remember that a crypto ecosystem is a socio-financial machine, and skipping the social part is not advised!Ĥ. Twitter, Medium, Youtube, and other social media platforms are your best friend! Interact, network, and study with the top managers and technicians. ![]() Leveraging the advice of expert investors and DeFi savants can accelerate your own growth and understanding of the crypto space. Community Participation: The crypto community is a unique space where the top industry leaders freely exchange knowledge and interact with the masses. Grasping this core relation between token price and structure can reveal hidden alpha!ģ. The supply and demand of a cryptocurrency are heavily dependent on its tokenomics framework and utility. ![]() Study the tokenomics and revenue models before investing in a crypto token. Tokenomics Study: The beauty of cryptocurrencies is that the inner mechanisms that drive value are fully visible to everyone. In crypto, if you can assess the flow of money, you can predict the market like a stack of dominoes!Ģ. Therefore, understand what are the pivots of price movement and capitalize on relevant changes. Even within the crypto space, we see a strong correlation between Bitcoin prices and the rest of the market (known as the ‘Alt market’). Crypto markets are affected by multiple features such as regulatory decisions and large-scale adoption (such as by Tesla or El Salvador). Understanding Flow-of-money: Cryptocurrencies show some strong correlations with worldwide events and not seeing the bigger picture will lead to skewed strategies.However, it is essential to know the following factors in order to stay safe from risks and to gain an edge over the market! Note that the basic principles of traditional asset management (such as trend analysis) apply even in the crypto space. As a result of this general ignorance, investing in crypto and DeFi becomes challenging, and perhaps even dangerous! In order to avoid a bad experience, there are some unique subtleties of this space that asset managers need to consider. But even though there is a lot of excitement in this space, there is also a severe lack of understanding of cryptocurrency and the underlying principles of blockchain technology. ![]()
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |