Don’t invest more than you can afford to lose: Top newbie tips from the experienced crypto traders

If you are a novice crypto trader just starting to get into all the intricacies of digital assets, you have already encountered many difficulties. The crypto market is still not the most accessible to users, so sometimes, it’s hard to understand what to do in this or that situation. To prevent novice traders from losing their hard-earned money through inexperience (and sometimes stupidity), skilled traders have posted their tips on Reddit. We’ve compiled the most valuable advice.

Cryptocurrency for beginners: valuable tips you should know about

• Fear of burnout is your worst enemy because temporary losses can cause panic selling or complete disinterest in your investment, which is why most average investors give up after a few months.
• Buy only when the Fear and Greed Index is below 10.
• Don’t buy cryptocurrencies outside the top 20.
• If the Fear and Greed Index are above 10 and you want to buy regularly, buy stablecoins.
• The main thing is patience. Don’t expect to get rich quickly. Don’t click on dubious links. That hot chick in your DM’s probably isn’t a chick.
• There’s a reason people offer BTC/ETH as part of every portfolio. They have survived several bear markets and remain on top of the cryptocurrency world.
• Pick your buy and sell points before the crazy spikes happen and set limit orders.
• Recognize early on that you’re probably not a trader and can’t become one. Trade with a small amount of money to see how you handle the pressure.
• Take your profits in altcoins and transfer them to BTC to lock them in. It won’t drop more than 50%, and there is a “guarantee” that it will get its price back. Your alt/shitcoin could easily turn to ashes.
• If it’s good enough to take a screenshot, lock in profits right on the spot.
• Don’t invest too much money in coins with low capitalization and coins promising high APY/APR.
• Don’t store all your coins on CeFi platforms.
• Doubt everything, read everything, and don’t give in to your emotions.
• Do not use leverage. Do your research. And don’t think you’re smart and sell your entire portfolio after the market crashes by 10%.
• Don’t invest more than you can afford to lose.
• Allocate at least 95% in Bitcoin and Ethereum.
• Keep your coins in cold storage wallet.
• Keep your private keys.
• Sign up for crypto newsletters for basic information, and then, from what you read, start looking for more information on these projects. Spend a week or two studying and after you feel well enough informed, decide whether or not to invest.
• Never give your seed phrase to anyone.
• Verify all information before buying/trading/selling.
• Don’t sign anything until you’ve checked it several times.

Of course, this advice is very general and not specific. And no one is responsible for following it and something going wrong. But you can always consider these tips at the beginning of your journey so that you don’t make expensive mistakes.

Crypto trading strategy for beginners: Plain and simple guide with tips and tricks