Expert Guide On Choosing The Right Time To Start Buying Crypto

It’s not always easy to know when to buy a cryptocurrency. Just because a crypto’s price is rising, that does not necessarily mean that it’s a good time to buy. The same is also true when a cryptocurrency’s price is falling.

In order to make effective purchases, you need to study crypto, learn to read charts, and educate yourself on everything that’s going on in the industry.

If you have no real crypto experience, then doing all of this probably sounds pretty confusing to you. Don’t worry though, because this post will tell you everything you need to know.

Crypto Purpose

Why are you buying cryptocurrency?  You need to be able to answer this question before you can think about buying some. Do you want to invest? If so, then you need to find a currency that is stable and shows future promise. You cannot invest in a cryptocurrency until you are confident that you are making a good decision unless you are using it for gambling. If you are going to be gambling with crypto, then it doesn’t really matter how the currency is performing. There are a large number of different crypto casinos. You can use a Dogecoin casino, or an Ethereum, Bitcoin, or even Cardano one.  It is worth noting though, you may want to use a currency that is stable to gamble so that your crypto’s value doesn’t plummet while you are gaming with it.

Buying Low

The best time to buy a cryptocurrency is when its price is low. As the saying goes, buy low, sell high. However, cryptocurrencies can be very unstable. You need to be confident that the currency you are buying shows future promise and is not plummeting in value. Just because a currency’s price is low, in other words, that does not mean that it is then going to increase again. Some currencies with previously high values have plummeted and are now worth next to nothing. Bitcoin, while still valuable, is worth just under half of what it was half a year ago.

Pump ‘n’ Dumps

Pump ‘n’ dumps are something that you need to avoid. A pump ‘n’ dump is when a collective of traders come together to artificially inflate the value of a cryptocurrency, so they can then sell it as soon as the currency’s value gets high enough. As soon as they sell, the crypto loses all of its value, and all of the people who bought the coin on its way up lose their money. Pump ‘n’ dump schemes are very common, unfortunately, and can be very hard to avoid if you don’t know how to read market charts (or don’t follow crypto forums).

Market Conditions

The best time to buy a cryptocurrency is when market conditions are good. However, unless you take some time to learn about market conditions, there is no real way for you to be able to decide whether they are good or bad. Market conditions change all of the time, especially with crypto. If you are used to stock trading, then you need to understand that crypto markets can change suddenly, for no real reason. The best way to learn to read (and understand) market charts are to take a course.

Reading Charts

In addition to understanding market conditions, you also need to be able to read charts. Reading crypto charts will help you to better understand what’s going on in the industry, and with the specific coin that you have invested in. Reading charts can be very difficult, which is why a course is probably your best option. Learning to read crypto charts will then make it easier for you to read stock charts, too.  There are many different guides that you can read about reading charts, but again, it is probably better that you attend a course so you can study charts more intensively, with less distraction.

Industry Changes

Finally, educate yourself about what’s going on in the global crypto industry. You can do this by following a social media page that’s dedicated to crypto news, or by signing up for a magazine or journal. Industry changes can lead to huge downturns (or upturns).  Make sure that any journal, social media page, or magazine that you sign up for is written objectively and contains hard data and information. You can then derive your own meanings from the data, rather than relying on somebody else’s opinion or personal beliefs.

You can’t buy crypto until you have taken a course in it, or educated yourself about it unless you are intending on using crypto casinos, that is. Making bad decisions with your crypto could lead to you losing a lot of money. Learning to read charts and educating yourself about industry changes will help you to make more sensible and effective purchases and trades.