TOP 3 Bitcoin investment strategies from cryptocurrency experts

Users who have recently started working with cryptocurrency, as a rule, lose money on it.This may be the casemany reasons. Feeling emotional, newbies can act irrationally and make mistakes in pursuit of quick profits. The inability to control risks also leads to significant losses, writes RBC Crypto.

You can avoid counterproductive trade with simple strategies that even a beginner can do.Experts working in the crypto industry for many years shared their experience.

Buy and forget

Perhaps the simplest strategy with cryptocurrency is to buy bitcoin and leave it as an investment for the long term.This option was offered by the head of the data center Six Nines Sergey Troshin.He noted that in this case, the asset invested money that will not be needed for life in the near future.Otherwise, in the event of a fall in the value of the coin, you will have to sell it at a loss.

“The strategy assumes long-term investments inblue chips of the cryptocurrency market, such as BTC, in anticipation of the price increase in the coming years. Long-term money is invested here, which the investor does not take if he wants to go on vacation or buy CASCO for his car. The horizon of such investments is from 5 years "- Troshin explained.

Even when buying bitcoin for a long time, it is importantchoose the right moment. For example, investors who came to the crypto market at the end of 2017 and purchased coins at the maximum price have not yet received the opportunity to sell them even without a loss. The following strategy can help to find the right moment - averaging.

Averaging

Finding the perfect moment to buy Bitcoinliterally impossible. At whatever price the trader buys the asset, it is highly likely that it will decline before entering the long-term growth phase. Therefore, some investors use the “averaging” strategy.

This strategy works like this: the user splits his capital into several parts and buys bitcoin with them over time. Thus, if the price of an asset drops, you can use it as an opportunity and buy more coins. In this case, the average BTC purchase price will decrease.

Each user can determine for himselfhow many parts he will divide the capital. The more there are, the more average the price will be. The best option is to invest in BTC for $ 10 every day. This strategy was proposed by Alexander Khvoinitsky, Marketing Director of the Chatex cryptocurrency p2p platform.

“The simplest strategy for beginners isbuy bitcoins for $ 10 every day. Do not waste time on other assets, do not spend money on currencies that are less known and that have been on the market for as long as bitcoin. Just buy the most famous digital currency on a daily basis. In a long-term strategy, this approach always justifies itself ", - Khvoinitsky recommends.

Troshin also recommended buying bitcoindaily and for small amounts. He noted that it is possible to start with this strategy right now - the positive news background, halving and the policy of central banks that print money, thereby devaluing them, speak in favor of the rise in price of the cryptocurrency. However, it is important to always have capital in case the price of BTC drops by half or more.

Diversification

You can invest not only in bitcoin. Conversely, by dividing the capital between BTC and other cryptocurrencies, higher returns can be generated. However, the risks in this case also increase. This is due to volatility. Altcoins have a significantly higher rate than the main digital coin.

For example, on March 12-13 this year, the price of bitcoinfell from $ 8000 to $ 3800 - by 53%. At the same time, Ethereum fell by 60%, from $ 213 to $ 86. Then the altcoin lost more value than the first cryptocurrency, but by the current moment it has risen in price much more. ETH's growth since the March collapse was 345%, BTC - 250%.

Troshin added that thanks to diversificationyou can rebalance the investment portfolio. For example, if one of the cryptocurrencies included in it has risen sharply, you can temporarily fix the profit on it and transfer capital to other coins.

“This strategy includes the abilityportfolio rebalancing. The trader adds a wide range of crypto assets to the portfolio with the ability to sell something at any time, depending on the dynamics of the rates. The calculation is the same - over time the market grows, but at the same time the investor will retain a sense of control over the situation "- Troshin explained.

Khvoinitsky proposed, in addition to Bitcoin, investing in cryptocurrencies with new blockchains. They differ from older altcoins in newer technologies and have a greater potential for profitability.

Rating of TOP-5 cryptocurrency exchanges (all platforms work with rubles):

#	Cryptocurrency exchange	Official site	Site evaluation
1	Binance (Editor's Choice)	https://binance.com	9.7
2	Huobi	https://huobi.com	7.5
3	Exmo	https://exmo.me	6.9
4	Yobit	https://yobit.net	6.3
5	OKEx	https://okex.com	6.1

You can find out more about all the methods of buying cryptocurrency here.

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