How to "bet" on crypto ? An Amatuer Insight into Crypto Market
Last few days, I was doing some analysis on choosing the best crypto currency to invest. Even though we have seen a sharp increasing trend in many of the altcoin, still people belive the main crypto currency are the real bet when comes to crypto investments.
The new Chain-link looks to be quite promissing, while everyone knows story about Ripple, although Bitcoin is the most stable of all, The Ethereum is always ready to jump and gives stiff challenges to others. There are many stories and all crypto looks lucrative now and then.
There are approx 1600 crypto currency in existence. Everyone looking to gain through rapid appreciation that crypto currency sometimes able to achive.
But how do we know we’re not putting our money into a shitcoin?
Any investment is always subject to market risk. As rightly said **No risk, No Gain same goes to in crypto market as well, which always saw a hight votality rate and there is high risk of losing money. However a professional investor could easily manage the risk,through proper market understanding combined with good investment timing*. This allows to keep all the market risk under control.
As far as my understanding of the crypto market so far says that the mojor currency i.e the best known of all crypto currency are the largest value for wealth creation. They provide a good level of security for investor. Even to start a crypto investment Bitcoin is always considered to be a good bet in comparision to any other currency. Infact many new user realate Crypto with Bitcoin. Or it is not wrong to say Bitcoin is face of Crypto currency. That why when it comes to investment users first start with Bitcoin.
Bitcoin commonly known as BTC now has a market cap of approx $165 billion, which is the biggest of all. Having such a huge stake the value doesn't go down over night. The price of single BTC which is currently hanging close to $9200 may fall down to $8000 or $5000. But still the investors may hang on and show their faith. These are the large market player and user may expect good return any time.
Also it is always advised to play safe and when one is starting their investment then Bitcoin is the currency for building their portfolio. Having a large capital it is always a safe and best bet. Many investor would derive a good return by HODL it for long term.
Second in line of assured crypto investment return would be Ethereum commonly known by name ETH.
It has also the second largest stake in terms of market cap at about $30 billion. It get popularity through the and also well-known for creating the *‘smart contract', a critical component of blockchains today.
Note do not get confuse Ethereum with Ethereum Classic which is a very low much less interesting variant.
From $30 back in 2017, the price of one Ethereum reached to astonishing $1300. That brought smile on many faces and people started to bet on Ethereum ,however later the price falled down and currently hanging around $240. You can't blame the ETH for it, as there is a huge bear rub in approx all crypto currency.
Many well known Investors in Ethereum say
‘just hold on no matter what.’
The reason of such confidence and belive is because of the changing method of verifiong transaction on Ethereum blockchain. People are expecting the price of Ethereum may shoots up to $1000 per coin.
The transformational stage of Ethereum would see a change of verification. From the old method of PoW - Proof of Work to POS- Proof of Stake.
Crypto experts belive ‘Proof of Stake’ is more efficient and less costly method of verification, so the coin could well increase in value and the investors would get high value for their investment.
If any of the crypto investor ever need to talk about the gloomy phase of crypto currency then noone would forget the example of Ripple.
As the name goes by, it really created a ripple in the crypto sphere. If proof were needed to explain why cryptocurrencies don’t make sense, Ripple would be the perfect example. Commonly called as XRP.
One of the most promising project of using XRP blockchain for bank-bank money transfer. Having risen as high as $3.84 per coin, XRP has sunk down to $0.19 at current levels, and seems unlikely to go much higher in the foreseeable future. No one ever able to give a clear explanation of such downfall.
All the Crypto Currencies overall have showed lacklustre performance this year. No one could expect the market fluctuation. Even the most popular BTC only manages to reach $10k once so far.
One thing is for sure, if you ever created a crypto portfolio, do remember **HODL - Hold on for Dear Life*. i.e don't rush through the investment and keep all your investment for longer run. Do not get excited about the sudden I crease in prices. If you have a bright future insight then keep all the crypto for long term and let it reap the reward completelly and allow to build a wealth.
Peace
Namaste @steemflow
