investment in cryptocurrencies in 2024
Crypto Trends & News

A Guide to investing in cryptocurrencies in 2024 for beginners: how to get started and how to reduce risks as much as possible

-In ’20 minutes’, experts analyze the prospects for this attractive investment product for the coming year.

——————————————————————————————————————–

One of the maxims that exist in the world of investments is that you should never put your money in a product that you do not understand or about which you do not have enough information. Perhaps for this reason, many investors, especially the most conservative ones, do not quite trust cryptocurrencies, which were born in 2008 after the launch of Bitcoin, the first digital currency.

These digital assets of variable value have experienced times of glory, although they have also, like all investment products, complicated situations. The last one came at the end of 2021 when they began a decline with rising inflation and interest rate hikes. This is what is known as ‘crypto winter’, during which investors lose interest in cryptocurrencies due to a lack of profitability.

However, in recent months, it seems that this bearish period has come to an end since the value of Bitcoin is once again at outstanding levels despite the refusal of the US Securities and Exchange Commission (SEC) to approve an ETF fund listed on the stock exchange, Bitcoin spot. But what will happen in 2024? Will Bitcoin continue to rise? How can I start investing in cryptocurrencies? What risks exist?

“In 2024, the cryptocurrency landscape could continue to be dynamic and subject to rapid change, influenced by factors such as regulatory policies, technological advances, and global market fluctuations,” says Selva Orejón, professor at EAE Business School and CEO of branding.

Will Bitcoin be as reliable in 2024?

Fuertes believes that the bet on Bitcoin in 2024 is a safe value for investors and that “without a doubt” it will reach its all-time high after its spectacular 2023.

” There is currently only 20% of the available supply of Bitcoins for sale and considering that a significant part of them are in the hands of market makers and exchanges (which means that they are moving but not necessarily with a sales objective), Therefore, if we consider the possibilities of demand that exist in the United States through ETFs and how well China’s expansive monetary policy is doing for Bitcoin, the demand prospects are very high about the available supply.”, justifies.

However, Orejón maintains his doubts “given the highly volatile and speculative nature of the cryptocurrency market.” “The cryptocurrency market is influenced by a variety of global factors and can change rapidly. Therefore, a balanced and well-informed investment strategy is essential, taking into account both potential gains and risks.”

Investment in Cryptocurrencies in 2024: Tips for Newbies

-Look for a good advisor. The highly volatile nature of the cryptocurrency market makes it necessary to have a good advisor who will provide us with all the necessary information and clarify any doubts we may have regarding this investment.

-Invest only in money that you will not need. It is another of the maxims for novice investors. The money you are going to risk must be expendable for the normal functioning of your finances. Don’t let your loss become a drama. You should never invest money that you may not need.

-Diversify your portfolio. As they say, “Don’t put all your eggs in one basket.” If you can, invest in several cryptocurrencies to reduce risk.

-Keep calm in good and bad times. It is very easy to get carried away by emotion and panic in equal proportion, depending on whether we win or lose with our investment. It is important to have a cool head at all times and stay calm. It will help us improve our decision-making.

-Bet on the most reliable values. It is no secret that it is always more reliable to invest in popular cryptocurrencies, such as Bitcoin or Ethereum because they are less volatile and have a good return.

-Think long-term: Cryptocurrencies are a long-term investment, which means that you must maintain your investment over a horizon of ten years or more.

-Keep your cryptocurrencies safe: Make sure you store your cryptocurrencies in a secure wallet and follow recommended security practices to protect your digital assets.

    Leave a Reply

    Your email address will not be published. Required fields are marked *