• Celebrities
  • News
  • Crypto
  • Gambling

Are The Cryptocurrencies Really Profitable?

3.2KShares
58.6KViews

Cryptocurrencies are undoubtedly a trendy topic and are becoming more and more known due to their reputation of providing great returns and that it is a bull market, but... are they really profitable?

The answer to this question depends on the financial education we have. I already commented that, in general, society has low financial education, and it does not matter who the person works, whether it is a student working as a college paper writer or a top manager of a pharmaceutical company. For any investment, we must know the basic concepts and the risks associated with it.

The "crypto" world is quite complex for someone who knows nothing about the subject. Some words have been used to describe various situations that occur in this market, making it very complicated to understand how this world works. Therefore, I will explain some basic aspects of this peculiar market in case you hesitate to invest.

Where to buy and what strategy to follow

Currently, there are numerous "exchanges" to trade cryptocurrencies. They are websites where you can buy in euros and convert them to "Stable Coin," which are currencies linked to the dollar and therefore stable (the most common are USTD and BUSD).

COPYRIGHT_PNW: Published on https://purenetworth.com/are-the-crypto-currencies-really-profitable/ by - on 2022-09-21T00:58:16.277Z

With these coins, you can choose from many "Altcoins" (alternative currencies to Bitcoin) and speculate with them or keep them long-term. You can even have them in a kind of remunerated account that gives you interest in the form of cryptocurrency. This is called "staking."

Once we have mastered these websites and have invested a small amount to start with, we see that it is a tremendously volatile market. Prices constantly vary with very strong ups and downs (Dips and bumps).

So, what strategy should we follow to get a return? Well, on the one hand, we have Bitcoin. This currency is the best known and, in October 2021, reached its ATH of $67,000 (the highest point or historical maximum). We can choose to invest in Bitcoin, hoping that it will continue to rise and assuming that there will be times when it will also fall quite a lot, or we can opt for "Altcoins," which are alternative currencies, choose a project that we think will have a future and keep them for a few years in staking.

Be careful when choosing a cryptocurrency

Regarding these alternative currencies, we have to take into account that there is a great variety, and we should not fall into the "meme coins," which are cryptocurrencies without any project behind them that rise or fall in value depending on the "FOMO" (euphoria) that is generated around them.

With this currency, we can invest a small amount and "float" (hold) it to see what happens over time. It is true that sometimes these currencies explode and generate a lot of profitability but with a lot of associated risk. "Shiba Inu" or "Doge" are examples of these meme coins.

Therefore it is a complicated market, and I recommend you not to start investing without knowing how it works because this market is not regulated. There are many cases of scams with cryptocurrencies in which the complaints do not help much, and you can not recover your cryptocurrencies.

Of course, there are cases of people who have invested in this world and in 3 days have doubled their investment, but this is crazy. These people have simply taken a very high level of risk and got lucky. This is comparable to playing roulette; you may win a lot or lose everything. As well as these cases of big winnings we also have many cases of people who have lost everything not to mention the scams.

Conclusions

This market can be very profitable, but first, we need to learn how it works. As with the investment funds that I discussed in another post, we must use the strategy of "Buy and hold" (buy and hold). This is the key to any investment and more in this market that follows an upward trend because more and more people want to enter, making prices rise. In 2010 a Bitcoin had a value of 0.03 dollars, and now it is around 60,000. That is, the profitability in these 11 years has increased by 200,000,000%.

We will invest the money we do not need and can afford to lose. We should avoid "trading" (buying and selling in the short term) because, besides causing anxiety, it can be very dangerous if we do not understand much about the subject.

As for the chosen currencies, we can opt for Bitcoin since its trend is upward and its value is expected to continue to rise, or we can opt for alternative currencies previously knowing the project they support. There are currently several projects with a great future ahead, and can be a good investment option.

Choose a safe exchange and always have small amounts in stable currencies (USDT, BUSD) to buy. Remember that there is no regulation, and there have been cases of loss of currencies on these websites, although it is unlikely and not common.

A good investment portfolio can be a combination of index funds with cryptocurrencies always giving more priority to the funds and having some money in cryptos to "see what happens". Buy and hold! "Stay the course"!

Share: Twitter | Facebook | Linkedin

Recent Articles

  • Annie Bakes Net Worth - Ex-wife Of Dennis Rodman

    Basketball Players

    Annie Bakes Net Worth - Ex-wife Of Dennis Rodman

    Models are professionals who make a lot of money these days thanks to deals with brands and social media. How much is former model Annie Bakes net worth now that she is no longer working?

  • Ashley Jade Stern Net Worth - Daughter Of Howard Stern And Alison Berns

    TV Hosts

    Ashley Jade Stern Net Worth - Daughter Of Howard Stern And Alison Berns

    If Ashley Jade Stern hadn't been born in the corridor of fame, she would have wondered what it's like to come from money. You will learn about Ashley Jade Stern net worth here in this article.

  • JoJo Starbuck Net Worth - Olympian Figure Skater Wealth

    Athletes

    JoJo Starbuck Net Worth - Olympian Figure Skater Wealth

    Most people think that figure skater JoJo Starbuck is one of the best in the United States. The sport of figure skating, which is usually overlooked, is becoming more popular because of the movie I, Tonya, which is about one of these skaters. If you are interested in JoJo Starbuck net worth, read more.

  • Janet Guzman Net Worth - Hot Model With A Huge Wealth

    Models

    Janet Guzman Net Worth - Hot Model With A Huge Wealth

    Janet Guzman is one of the most popular Glamour models on Instagram, and she got her start on Instagram and YouTube. Even though she just recently became famous, Janet Guzman has a big net worth.

  • Tracy Marrow Jr. Net Worth - Wealth Following His Father's Footsteps

    Singers

    Tracy Marrow Jr. Net Worth - Wealth Following His Father's Footsteps

    Tracy Marrow Jr. is an actor, singer, and record producer from the United States. He is best known as the son of Ice-T, an American rapper, songwriter, actor, and producer. Marrow plays in Ice-rock T's band, Body Count, with his father. Here, you can find out how much Tracy Marrow Jr. net worth.

  • Ryder Fieri Net Worth - Son Of One Of The Richest Chefs 'Guy Fieri'

    Chefs

    Ryder Fieri Net Worth - Son Of One Of The Richest Chefs 'Guy Fieri'

    Ryder Fieri is a very famous American kid who is best known for being the son of Guy Fieri, an American TV personality. Read more to know about Ryder Fieri net worth.

  • Robin Stapler Net Worth - Ex-wife Of Carlton Banks On Fresh Prince

    Actors

    Robin Stapler Net Worth - Ex-wife Of Carlton Banks On Fresh Prince

    Robin Stapler is an actress from both the UK and the US. In the TV show In the House, Eltony Williams is known for playing Kelly. You can learn more about Robin Staple net worth here.

  • Jane Sasso Net Worth - Sister Of Famous Baldwin Brothers

    Actors

    Jane Sasso Net Worth - Sister Of Famous Baldwin Brothers

    Jane Sasso is a member of the US Baldwin family, so anyone who knows them should know who she is. Even though she got married and changed her last name, she is not as well-known as her famous siblings in the entertainment business.

  • Ben Platt And Noah Galvin Are Engaged To Hang Out Forever

    News

    Ben Platt And Noah Galvin Are Engaged To Hang Out Forever

    Ben Platt and Noah Galvin are engaged. They shared the news on social media on Friday. The news was posted on both of their Instagram pages this morning, along with photos of the moment when he asked him to marry him.

  • Why Crypto Casinos Are Your Best Choice For Online Gambling?

  • New Netflix Series 'Kaleidoscope' Can Be Watched In Any Order

  • Eminem And Spider-Man Rap Battle On New Amazing Spider-Man Cover

  • Peter Freudenthaler Net Worth - Lead Vocalist Of The Rock Band Fools Garden

  • Nina Earl Net Worth - Former UCLA Player And Russell Westbrook's Wife