You have probably been hearing so much about cryptocurrencies that the whole concept has finally sparked an interest. Unfortunately, what has held you back for so long is that it’s something you can’t quite get a handle on. It’s money but it’s not money. How can that be? Actually, it really is money, it just doesn’t exist in the physical world. That’s a pretty hard concept for anyone to understand. It has value even though it only exists in the digital realm and some cryptos are outperforming even what the market analysts had predicted. So, if you are finally ready to buy a little digital money, let’s take a brief look at some of the key facts you should know.
First – A Word About the Top Two Cryptos
If you have been following the more recent news, you’ve probably been hearing that ‘another crypto failed,’ but there is something you need to keep in mind. The news is never good, or it wouldn’t sell! People don’t read or watch the nightly news to see how many cats were rescued from trees by firemen, but they will get online to follow the latest on which celebrity is beating his wife or what politician is in cahoots with the Russians.
So, it is with crypto news. Are you wondering about those failures that the news has been sensationalizing? Sadly, it’s like any other venture. Some will profit and some will lose. Those cryptos you’ve been reading about aren’t Bitcoin or Ethereum, which both happen to be doing very well. In fact, just hop on over to the Ethereum live price index at OKX and you will see that ETH, Ethereum’s cryptocurrency, is doing quite well. From November 27 to November 28, it rose in value by 1.6%. That’s quite a hike for one day! The point is, don’t believe half of what you read or hear. Take the time to read a live price index and you will see just how well the leading cryptos are performing.
Advice for Newbies
As with any investment, you are always told never to buy/invest what you cannot afford to lose. Always ‘play’ with those extra funds you have set aside. So many new investors hear about that ‘once in a lifetime’ opportunity and then sink everything they own into buying into it. Do you know how many new investors went bankrupt that way? Again, and it can’t be said enough: only invest what you won’t miss if you lose it.
Secondly, stick with the tried-and-true top performers. As mentioned above, that would be Bitcoin and Ethereum because they are the oldest and best established cryptos. Although Bitcoin was the first in 2009 and Ethereum came second in 2014/2015, Ethereum has much to offer that Bitcoin doesn’t. For this reason, many market analysts predict that Ethereum will soon take the lead, if not by the time you are reading this.
Your Key Takeaway
We’ll leave you with this. Your key takeaway is twofold. First, never invest what you can’t afford to lose and secondly, start slowly with a crypto that has a solid foundation and a proven track record like the top two performers mentioned above. Those new cryptos may promise you the moon, but if you aren’t careful, you might find yourself landing in a crater and that wouldn’t be good at all.