crypto asset holders need to know banner

Top factors all crypto asset holders need to know

Taking your first steps into the crypto trading economy can be daunting if you don’t know what to watch out for. Fortunately, veteran traders compiled a list of factors they wish they knew when they were starting for future generations to learn from. All of them are easy to research and changes in their respective trends can be quick to notice. 

Though they are easy to understand, there’s quite a few that you have to go over. Each one tackles similar concerns in trading, making them easy to remember once you get the hang of them. Just keep in mind their simplest concepts whenever you have to make a decision as a cryptocurrency trader.

Crypto wallet options

You cannot store any cryptocurrency if you don’t have a wallet. Choose from one of many options provided by a wide variety of brands. There are software or hot wallets with improved intuitive features for interacting with the blockchain technology and market. You can also try hardware or cold wallets to avoid having to expose your account online. Both are secure but each one has completely different ways of handling important features.

Since you’re new to crypto ownership, you should choose whichever is popular. Coinbase Wallet is a great example of an all-around crypto wallet with access to exchanges and online services. It’s one of the most popular options used by Bitcasino live casino gamblers along with MetaMask which is an Ethereum-only digital wallet with similar features. 

Cold wallets are a lot less interactive, often requiring to be linked with a hot wallet to interact with many online services. However, it can bring your private keys to any device you want to use like a laptop, desktop, and smartphone. A hot wallet, on the other hand, is usually non-custodial, keeping your keys on the device where you installed its app. Choose whichever suits your needs as a trader. 

Having more than one crypto wallet

You can have multiple crypto wallets at a time so long as you can manage them all. Most traders keep one cold wallet for storage of large amounts of cryptocurrencies and a hot wallet for quick online interactions. Most online services for crypto also generate a wallet that you can use with the most basic functionality like the peer-to-peer transaction system. An example of this is your bankroll balance for playing Bitcasino slots which can generate a wallet address.

It’s ideal for any trader to compile their entire portfolio in one wallet only for better asset management. However, many opt to separate them for different wallets to ensure the safety of their cryptocurrencies. You don’t have to juggle that much if you’re just starting out or only investing in one crypto. 

Fortunately, many modern wallets support pairing, allowing different wallet brands to work together rather than compete for the sake of the traders. You can keep your private keys for every asset you own in separate accounts and track their market trends using a single platform. 

Expanding to more assets for better profits

Following just one asset at a time is fine. Many crypto holders track only either Bitcoin (BTC), Ethereum (ETH), or Dogecoin (DOGE) because they want to dedicate their funds in a single market. In time, you will gain enough experience to consider investing in other wallets. It can be inspired by confidence in your market reading skills or you’ve decided to hop onto a more volatile trend when your main target is too stable.

Most multi-asset investors are juggling multiple crypto at once to have profit from each one to cover another’s losses. Likewise, it’s also possible to profit from bullish markets from both assets, giving you twice the profit than you could with just one crypto. 

PLAY THE BEST CASINO GAMES AT BITCASINO

Cybersecurity strength 

The blockchain and digital wallets are safe from hackers. Your most vulnerable spots would only be your own cybersecurity. There’s a wide variety of scams and attacks bad actors can resort to and you can be vulnerable just by going to the internet. 

There are several ways to protect yourself such as getting a strong anti-virus or verifying the legitimacy of a website by consulting experts. The best way to protect yourself is to be wary of the types of scams done so far. 

Some are direct attacks on you like a phishing scam which baits you into writing your login information on an impostor website. There’s also the pump and dump scheme which urges you to invest in an asset that is actually not popular enough to stabilise its market price. Once the scammer leaves its ecosystem, the prices will drop and you’d have no buyer.

Other scams involve malware that either steals your device’s information or tries to control your account remotely. Every computer is equipped with enough tools to combat them like the firewall but it’s worth investing in a strong antivirus like Eset or just avoiding dubious links altogether. 

The best exchanges for trading or swapping

Exchanges are platforms officiating exchanges of cryptocurrencies between buyers and sellers. All of them offer security for both sides of the transaction, ensuring that the other side completes their side of the deal to prevent theft and scams. The main difference is the quality of life they can offer for all kinds of users. 

Every exchange service comes with a fee to pay for its services. Usually, it’s a fraction of the crypto being traded. You can compare them by who has the cheaper fee. Only opt for more expensive ones if they’re more trusted, have faster services, and have convenience tools that ensure traders the best deal in the market. 

Many veteran traders do away with the quality of life improvements in exchange for a fee rate as close to 0% as possible. This inspired the popularity of advanced trader settings for some exchanges like Gemini and Coinbase. 

Market trends 

Tracking the market trends is the new pastime for any crypto owner. Take a glance at the live candlestick chart of your asset to see if it’s going upward or downward. Trend refers to the general direction of the market and is usually set to track long-term changes. 

Veteran crypto owners analyse crypto charts to find technical indicators to predict the direction or timing of the next reversal in the market. Listening to bloggers and podcasts can help but you’re just following their example. The most profit comes from finding your own opportunities and taking it before the others.

Investments outside of crypto like commodities or stocks

Bitcoin and Ethereum are so valuable that they can quickly accumulate enough value to be exchanged for other commodities. That includes gold, silver, and land properties which are great stores of value because they cannot be devalued by inflation. Stocks for company ownership are also volatile like cryptocurrency but its trends are easier to predict. You just need to know how good the company’s management team is and whether their product/service is in demand.

These are all great investments and were the only choices for investors before crypto existed. Thus, you can consider adding them to your portfolio for more income opportunities. You may use the profit you gained from selling cryptocurrencies or use the digital assets directly as a form of payment. It just depends on whether the seller of the commodity or stock you’re buying from accepts them as mode of payment. 

Security of your devices 

Besides cybersecurity, the device you are using to hold your private keys can also be vulnerable. The most common scenario of which is theft or robbery when a criminal takes your cold wallet or smartphone. Another example would be misplacing them either because you forgot where you put them or they are accidentally moved. Likewise, they can simply break, denying you access to your cryptocurrencies forever. 

Fortunately, every wallet generates a seed phrase. This is your only key to recovering the contents of your other wallet. Once you make a new account, keep the seed phrase recorded and saved in a secure place like a piece of paper kept in a safe. Make sure that only you can reach it no matter what. 

Likewise, you should also simply be more mindful of your possessions. Keep your hard wallet somewhere where it won’t fall off or be nabbed by a stranger. If you have to take it out, then be quick and put it back once you’re done with why you took it out. Your smartphone is just as vulnerable to the same dangers so you have to be extra careful with it if you’re using a mobile wallet.

Recent events and global news

Many major news have a huge impact on the state of crypto markets and the right crypto to invest in. Just like fiat, cryptocurrency is directly affected by recession and inflation. Events like the Ethereum Merge inspire new buy-in and market price increases for ETH. Even the announcement of a new brand ambassador affecting Bitcasino bonus offers can encourage new users to join. Sometimes, celebrities’ opinions on digital assets can nudge trends towards a certain direction. It’s better to stay updated with global news because these are factors technical analysis cannot consider. 

SIGN UP ON BITCASINO AND ENJOY THE BEST CRYPTO GAMES

Leave a Reply

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