Cryptocurrencies – Just going to buy and hold.
I’m new to the blockchain and cryptocurrency space (just under 2 months in) and although my scope understanding is limited, I am shocked by the advancements that are made every day. Many say that investing in cryptocurrencies at this fetal stage is absolute lunacy - it is a world underexplored, volatile and unrelenting to individuals who think that they can make large gains off upward spikes to then find market values fall dramatically, into the abyss.
Perhaps it is lunacy due to the fact that cryptocurrencies are not the norm in society, yet to make its way into the collective consciousness.
It may prove to be a significant advantage for us, those who are early adopters, immersed in the cryptocurrency world, investing and risking money which we aren’t really prepared to lose in the hopes of mountainous gains in the future.
Most of my day is spent away from computer screens preventing me from keeping a constant eye over the trading patterns and movements of these coins. “Technical analysis” which is a method which studies the previous movements of a graph to anticipate future indicators is a highly refined skill developed over time and experience. It’s no coincidence that the majority of the most successful traders are elders.
Also, with the advanced computer programs available to traders, that scan the markets with precision and can solve and apply sophisticated mathematical algorithms it is difficult for someone like me to compete. In fact these big-time traders most likely make their winnings off amateurs like me who think we have it all well calculated and lose our small sums through human error. I don’t doubt that actually many of you have earned considerable gains from trading cryptocurrencies and hope that you continue to prosper!
Buuuuut.. not for me.
I don’t have any spare eons so I’m just going to observe and wait by Buying and Holding. This requires some research about the fundamentals of each coin, an understanding the underlying intentions of their technology and buying an amount which corresponds to my confidence in the coin which still takes time.
But means that I don’t have to take my phone out every 3 minutes to check the markets, I can go to the toilet whenever I want to and even have some spare time to scratch in itch. All I have to do is look at the balance of my wallet, which correlates with the market in real to time, showing me the current value of all cryptocurrencies. Over the short period, I have my wallet the balance has seen a slow and steady increase, most likely because I have diversified the currency in which I am buying, purchasing these coins evenly.
I am currently holding Bitcoin, Ethereum, Dash, Litecoin and Golem.
I have particularly high prospects for the Golem project, supported by the Ethereum platform the Golem team are trying to create a universal computer where computer power can be exchange for Golem coins anywhere in the world as long as they have installed this software. A graphic design student in Columbia can pay a student in Japan Golem coins to use any spare computing power for rendering purposes for example. This will certainly be the pocket money of the future. If your computer was only used for social media and the occasional essay it is unlikely that your computer has anything to do (It's probably bored sick/unable to fulfill its dreams of being a super computer). Why not make some passive income whilst you are out and about with your friends but more importantly you can assist fellow graphics designers, architects, animators in developing countries to compete and get into the field!
To join the conversation with better-informed Golem enthusiasts, and join the slack here!
https://golemproject.slack.com
With more users, the Golem coins market price is likely to increase, however, I believe there is a 4-year roadmap, where updates will be released every couple of months, so I will just keep hopeful and observe the evolution!
Thanks for reading
Namaste
I am only an amateur so please don’t take any of this information as advice, please do your own research. I have probably made a couple of mistakes here.
Image credits:
http://nvm-illustration.tumblr.com/
http://jonasgrossmann.tumblr.com/post/109625158456/gjon-mili-jascha-heifetz-playing-in-milis