There are several types of investors, those who apply their strategies in the short term, others over long periods. Some prefer risky strategies that pay a lot, while others rely on safe investments to make a 20% + in a few weeks. I will try to show you the different ways to invest, with their advantages and disadvantages, so that you can decide how best to manage your crypto capital.
What is the frequency?
Day-to-day trading can bring in more than swing trading (or going to see at least once a day) or holding company (C is to buy and wait a very long time before reaping the fruits of his investments) .Although it is generally not advisable to do day-to-day trading ..
Day-to-day trading is too risky in a volatile market like cryptocurrency. It brings a lot of stress from staying 24/24 in front of your screen. This is why it is better to opt for swing trading.
Swing trading is about going to see your investments once a day, it's a strategy at the scale of weeks. No stress, no FOMO. This strategy fits perfectly with full-time work or relevant studies.
Finally, the holding is the simple act of buying a value and keeping it for several years. It's a long-term strategy that obviously pays less than other strategies.
How many risks?
The level of risk is played out on several factors. First, the division of capital. Never put more than 5% of your capital by value, in order to drastically reduce the risk. If an investment falls to 0 it is not a big loss.
Some people put in their investments a big part of their capital. They can earn a lot more, but with much more risk. It's up to you to see what percentage of your capital you are willing to invest on the same value.
The nature of the investment is also a key factor influencing risk. You can safely double your capital in a few months by investing today in the ethereum, the neo, the dash, the monero ..... Doubling your capital may already seem crazy but it's nothing against this that you can win with a little risk.
Bet on a value that has not yet been discovered by the majority or bet on a value shortly after its creation (or even before its creation thanks to the ICO) can make profits of the order of the x10. To give a small example with my case, I invested a few weeks ago in Storj, OMG and NEO which have all five quintuplé of price. The risks were greater than with other cryptos but they paid.
In the end always put in your head this golden rule "Never put all your eggs in one basket"
