I am no financial advisor. And no, I have not yet gotten anywhere near rich from cryptos.
But gave myself a challenge to publish 3 new pieces of content each week wether it be articles or videos.
So this is what I’m really passionate about these days. Cryptocurrencies. I actually just have $1800 worth of it now, but if 3 months ago I knew what I know now, that could have been $40k. I’ll give that knowledge to you here. And by “5x My Investment” i mean the current value of my holdings – haven’t sold yet so it can go up or down from here.
- Short Background Story
- My Three Biggest Mistakes
- Get Started
1. Short Background Story:
2013 June: Bought my first bitcoin for $100. Lost it again (500plus.com is weird)
2016 December: Bought $100 Bitcoin again. Next month $100 more, then more, then more. Then I invested in altcoins, such as Bitshares, Zcash, Augur and Litecoin.
Invested a total of about $3k and in June it had grown to $18k. Pretty dope stuff. Then, as the newbie that I was, I kept investing at the $18k top. Then all cryptos crashed about 30-50% and then the $18k fell to $3,5k. Damn.
In September I decided to sell it, move to the Philippines and buy some back later with the money I would make from dropshipping.
Fast forward 3 months and I invested $300 from scratch (mid december), and today that has grown to $1,800. Small money, yes, but it’s still 6x.
You can see some of my investment timings here. The red circles are the day I put bought the currency (it seems like I’m doing something right – with some luck):
I mainly look for the charts accross the board on Coincap.io, and then determine when a currency is going to “moon” from that.
Usually there are two small pumps followed by a flat line, and then one large pump. Yes I know this is not exactly the advise you should take if you invest big and long-term, but this seems to be working for me.
If you invest larger sums of money and aim for long-term, I strongly suggest that you do some research, find out which currency(ies) have the best technology and are most useful, and then bet on that.
Because in the end, the best technology will win, wether it will take 1 month or 5 years. It’s not the hype. Not the price. It’s the technology and usefulness that will win in the long-term, is my belief.
2 My Three Biggest Mistakes
- I sold everything in September, when I should wait moving to Phillippines 1-2 months, and just hold. That would give me around $40k back today, instead of $3k. The most guaranteed way to making a good return in cryptocurrency is to just holding. This industry is growing and growing and are not going to stop anytime soon. Just hold for long term (be ready for at least 6 months-3 years).
- I wasn’t aware for three months (september- december). That cost me $5,000. In January (a couple days ago) I finally found the website cryptopia.co.nz that I remembered I had used half a year ago. I had 1mio of CV2 coins which outdated just 5 days prior (28th dec). If I had searched more for the website in december, or at least stayed informed about the markets, I would have known to swap to the new version (COLX). That was a $50 dollar investment that would be worth $5,000 today.
- Trading too much. This is a newbie mistake, because it’s so tempting. Everytime you trade, you lose some money in fees, and the price. You always sell a tiny bit cheaper and buy a tiny bit more expensive. If you trade everyday, that will be a lot of money in the long-term. Instead, select currencies that you believe in and hold for a little longer. I mean, you can get lucky by investing in one currency today and sell for 3x tomorrow, but that’s gambling.
3. Get Started
If you’re ready to get started with even as little as $5, here is a quickstart.
Go to Coinbase, Luno or CopenhagenBitcoin create a profile and verify it with a passport or drivers license. (Luno verified my account in the same day. The others still hasn’t verified it.)
I’ve personally used these three services to buy Bitcoin directly with my credit card.
Then you create a profile on an exchange. Today there are numerous exchanges, and I just stick to a few ones Openledger and Poloniex.
It might take you a couple of days to figure out how an exchange works, but once you begin to understand it, it becomes easy to work with.
You then send the Bitcoins to your Bitcoin wallet on the exchange and either hold the Bitcoins, or exchange them to another coin.
Coincap is the most popular overview of the different currencies and their price charts.
There are so many services out there for different purposes, but if you want to exchange directly, without using an exchange, you can use the mobile app Jaxx.
If you want to join the crypto conversation, then download the app Telegram, and search for the individual groups. Usually you can find the links on the currency’s website. If not, search Google for example “Bitshares Telegram”, etc.
All right? That’s all for now.
If you have any questions, feel free to reach out to me on my Facebook page.
Until next time, take care!