4 Different Ways to Ride the Cryptocurrency Wave to Success
It was the year 2009 when Bitcoin was launched as the world’s first every cryptocurrency. The rest, as they say, is history. Today, there are nearly 2000 other cryptocurrencies and has emerged as one of the biggest sectors in the world.
With that said, navigating the world of cryptocurrencies is no mean task, especially for new investors who are scared to dip their toes into the murky water of the digital currency world. With such incredible growth, there are plenty of scams out there.
Here, in this post, Mohsin Jameel give you four unique ways to leverage the potential of cryptocurrencies and make it big. Without any further delay, let’s get started.
Method 1: Traditional Investment
Yes, you can invest in cryptocurrencies just as you would do on the stock market. When you buy a share in a business, it could leave you with handsome returns in a few years down the line,or it could leave you with nothing but a worthless piece of paper.
The same is true for cryptocurrencies. Unlike the stock market, where you purchase a share in the company when you invest in digital currencies, you’re investing in a futuristic currency that could one day replay regular fiat currencies. You’re buying into the belief that the digital coin you own would replace the USD, UK pound, Euro, Yen or any other traditional unit of currency.
While this may seem like a big risk to take, the potential rewards are totally worth it.
For instance, if you had purchased a single Bitcoin for USD 100 way back in 2011, and held to it, despite the amazing highs and lows, the current value of it today would be somewhere around $6166. Isn’t that great?
Apart from Bitcoin, there are thousands of other digital currencies today, that are doing pretty good. Experts predict that these new digital currencies (with their advanced underlying technologies) are poised to grow big and even surpass the growth of Bitcoin.
A word of caution: before you go ahead and invest in the first digital currency you come across, make sure to do your homework, spend some time analyzing the coin and the team so as not to invest in worthless currencies.
Method 2: Dip Investment
The thumb rule of dip investment is to – Buy low and Sell High. Unlike traditional investing, where you hold on to your investments for a long period, in dip investments, your goal is to sell the digital currency when the price is high. Or when you believe it has reached its peak.
Here’s a simple guide for dip investment: Monitor the price of a particular currency you’re interested in. Note its average price. When the price of the currency dips (falls below) the average, you purchase it. You then sell it, when the price recovers or goes above the average.
Depending on how much savings you have and your risk appetite, you can either buy at a big or small dip.
A word of caution:The worst case scenario here is that you may guess the market incorrectly and end up with minor gains that you expected. Remember that a little profit is always better than none. So, don’t wait for the currency to peak and sell whenever you see a rise.
Method 3: Leveraging the Arbitrage Principle via Trading Platforms
Today, digital currencies are sold on various trading platforms. Prices vary slightly between these platforms. If you have the time, you can monitor the price variation across platforms. Buy low on site A,and you can sell it for a profit on site B. Using this method, you can make profits within a few minutes.
While this method is risk-free and profits are quick, it’s time-consuming and challenging. To make this method, you have to track a particular cryptocurrency across platforms and be quick enough to complete the purchase and sale, before the existing market conditions change.
A word of caution by Mohsin Jameel:While profits are high, you need the right tools and resources to gain any benefits. You must be able to complete transactions quickly, usually within seconds, before other investors become aware of the price discrepancies. While this may method gives you quick profits, remember that like all other investments, it has risks, fees,and other charges too.
Method 4: Work in Cryptocurrency
This may be the most risk-free method to make profits from cryptocurrency. However, this is not a method of investment.
Today, the cryptocurrency industry is one of the fastest growing industries in the world, and there are thousands of job openings at all levels. From startups to big corporations, there are plenty of job vacancies.
Here are a few positions waiting to be filled up:
· Full stack developer
· Blockchain developer
· Blockchain engineer
· Content marketers
· Tech writers
· Business developers
· Customer care representatives and more
You can find cryptocurrency jobs listed on traditional job search sites like Monster, Indeed,and Glassdoor. Additionally, you can check out Crypto Job List, a site dedicated for cryptocurrency jobs.
The fast-growing world of cryptocurrency has many employment as well as entrepreneurial opportunities for those willing to meet the challenges.
Final Thoughts by Mohsin Jameel
The world of Cryptocurrency has plenty of opportunities to build your wealth. You can choose from traditional investment, arbitrage, dip investment or work in the field to reach your monetary goals. However, you need to ensure that the path you choose suits your risk profile, financial objectives. Make sure to do your homework and find the right way to proceed.
If you need any further guidance, shoot your queries in the comments section below.