Do You Invest In Cryptocurrency? So know the perfect timing of Entry-Exit and make a lot of money

Cryptocurrency: Cryptocurrency is discussed around the world. The central banks of the world’s largest economy are working on their digital currency. However, so far it has received legal recognition in only one country – ElSalvador. Despite this, it is the hottest asset for investors today. In this case, it is important to know a few things before investing in cryptocurrency.

According to financial experts, before investing in cryptocurrency investing, it is important to know what the entry and exit strategy will be. Cryptocurrency prices have risen sharply during the Corona period, as central banks around the world flowed access liquidity. Part of it went to the crypto market. In April 2021, Bitcoin reached હજાર 64,000. It was at 54 54,350 at 2.30pm. It has increased by 28 per cent in the last one week.

Focus on monthly 8-10 percent returns
As the crypto market matures very fast, many hedge funds and investment banks are openly participating in it. Experts advise that when investing in crypto, there is volatility. In such a scenario, instead of multi-beggar returns, investors should think about a monthly return of 8-10 percent. Update and upgrade your portfolio every month using this method. If you are able to do this you will get a return of more than 125% annually.

Invest in installments
Investors who have learned from market fluctuations say that the best formula for investing in a crypto market is ‘Dollar Cost Averaging’. This is an investment method in which you divide the value of your investment into smaller parts. Whatever you want to invest in digital currency, instead of investing all at once, invest a little bit. This will reduce the impact of volatility.

Buy on rumors, sell on news
What the exit strategy will be, depends on how much compensation you want. However, in the financial markets, “buy on rumors, sell on news.” (“Buy on the rumor, sell on the news.”) The formula is too old and has been tried. This means buy when the rumor market is hot, and sell when the news about it arrives.

Take the help of technical analysis
Apart from this, technical analysis is considered to be the most suitable for exit. Most investors in the market, whether small or large, buy and sell based on technical indicators. Since most investors use this formula, it is also accurate because of this. If you study it, then you will know about overbought zone and oversold zone. This gives you an idea of ​​where to buy and sell the level.

Related Posts

Leave a Reply

Your email address will not be published.