- Though crypto is risky, many techniques exist to double your crypto money. Following these methods can double or even triple your crypto value.
- Before making any crypto investment, carefully analyze your financial goals, potential risk, & associated uncertainties with cryptocurrencies.
- As a beginner, you can buy Bitcoin because it is the dollar bill of the crypto market.
- Making double your crypto money is only simple with proper investment knowledge. Learning crypto trading gives you a foundation for investment and helps you decide on the right crypto coins.
So, you have heard many stories about people becoming rich after crypto investment. These people may be your friends, colleagues, or relatives. Let’s imagine you have some money & want to double-using crypto. Many people invest in cryptocurrency but need more proper crypto knowledge to make a profit.
Crypto is a young industry with high risk. New traders are often lost money due to miscalculations of risk. The good news is there are many ways to double your crypto money. Don’t worry; you are in the right article. You will learn some unique ways to double your crypto money by reading this article.
What are cryptocurrencies?
Cryptocurrencies include a set of digital or virtual tokens such as Bitcoin (BTC), Ethereum (ETH), XRP (XRP), Cardano (ADA), and Tether (USDT) that use cryptography to secure their monetary transaction. Cryptocurrencies are not under any government or financial institution; it operates by a decentralized financial system.
We can use digital crypto tokens to purchase commodities, services & trade. Cryptocurrency’s value fluctuates quickly; therefore, it is considered risky.
We know what currency is, but how can we differentiate it from crypto? Let’s understand two types of currency:
1. Risk-free or government-controlled currency:
In this currency, the government has controlling power, so; there is no significant difference between realized return & expected return. That means no volatile price. Simply, what types of currency we use today for the medium of exchange fall under this category.
2. Risky or without the government controlling currency:
Government or other financial regulatory bodies have no controlling power. This system operates under a decentralized monetary exchange where transactions occur directly between traders via the peer-to-peer marketplace. You can expect huge profits and significant losses, so there is a gap between realized return & expected return. This type of virtual currency belongs to cryptocurrencies.
In cryptocurrency, where does the money go?
It can vary depending on crypto coin use, but generally, money goes to people who are selling their crypto & miners who help to validate transactions.
Let’s understand it from per beginner’s perspective:
- People who are selling their crypto:
In the cryptocurrency market, when someone wants to purchase or sell a crypto asset, they need to pair with another trader who also wants the opposite outcome. So, crypto money goes to these two people willing to fulfill their mutual needs.
For instance, Jonty buys a crypto coin worth $5000; Jack is willing to sell it for $5000 or equivalent. Here, Jonty & Jack paired with each other to trade for opposite outcomes.
This money does not send anywhere, just its value switches hands between Jonty & Jack. Jonty gets credited with a new digital asset & Jack receives fiat currency as payment. Blockchain technology records all transactions openly & securely on a distributed ledger so that no one can interfere or make illegitimate changes with correct detection.
- Miners who help to validate transactions:
Crypto is a digital token that is supported by algorithms. It needs circulation to validate the crypto transaction. Therefore, all the money goes to miners who help to validate transactions.
Say you have purchased a crypto coin worth $1000; this money will go to the miners for legalizing transactions. Miners transport the crypto coin in circulation through swift algorithms by their Hardware.
How safe is the cryptocurrency for a first-time trader?
According to my survey, most beginners lose their money due to a lack of proper understanding of the crypto market. You have to understand that crypto is a long-term investment game, it is not possible to double your money within a short period.
Let’s say someone purchases crypto with a view to earning monthly profit. Is this achievable without deep understanding? No, because you are not a magician.
Thus, becoming familiar with crypto fundamentals will help you to understand how the cryptocurrency market works. Besides, you can take beginner courses or hire mentors because experience always speaks the right words.
What are the top 3 factors you consider when deciding which cryptocurrency to purchase?
Learn many things as you can about crypto trading. Still, the top 3 factors you should consider before buying your first crypto coins are investing in cheap crypto, considering the field of expertise of the crypto, & do your research or finding a broker.
Below I have discussed the factors you need to consider while choosing a cryptocurrency.
1. Invest in cheap crypto:
If you are a beginner, purchase new cryptos or cheap cryptos below $100. These types of coins have the probability of quickly jumping up on the market.
For instance, one piece of information can double its value with a minimum risk. So, you can double your money by investing in these types of crypto.
2. Consider the field of expertise of the crypto:
You should invest in those cryptos that are created to solve specific problems.
For example, you can diversify your portfolio with DENT coins which are very specific to tackle the mobile data industry.
3. Do your research or find a broker:
As a beginner, you may need help to invest in the crypto market. Do some research and examine the changes that news generates. This activity will allow you to distinguish important news from irrelevant news. You can take investment advice from a trustable broker that offers cryptos through CFD. For example, you can start to trade crypto with FINQ. It offers cryptos via CFD & has a good execution speed.
What’s a good book to read on cryptocurrencies?
There are many good books on cryptocurrency, but if you want to master crypto investment as a newbie trader, read Mastering Bitcoin, The Truth Machine, The Crypto Trader, Bitcoin Billionaires, & Crypto assets.
These books will give you basic as well as advanced knowledge about cryptocurrency. If you’re looking for a solid foundation, then take some time to read these books.
Below I have given a short review that may be helpful to you:
1. “Mastering Bitcoin: Unlocking Digital Cryptocurrencies” by Andreas M. Antonopoulos:
This book will give you a basic understanding of Bitcoin and other cryptocurrencies. It also covers technical aspects as well as the social & economic implications of cryptocurrencies.
2. “The Truth Machine: The Blockchain and the Future of Everything” by Paul Vigna and Michael J. Casey:
This book focuses on blockchain technology’s potential to revolutionize various industries that range from healthcare and finance through voting technology and the management of supply chains.
3. “The Crypto Trader: How Anyone Can Make Money Trading Bitcoin and Other Cryptocurrencies” by Glen Goodman:
This book will guide you about Bitcoin & cryptocurrency trading. After reading, you will know how to set up a trading account, analyze market trends, and manage risk.
4. “Bitcoin Billionaires: A True Story of Genius, Betrayal, and Redemption” by Ben Mezrich:
This book is a non-narrative fiction report on the Winklevoss twins, who were among the early investor in Bitcoin and eventually became among the very first Bitcoin billionaires. The book recounts their initial journey at Harvard & contribution to forming Gemini, the cryptocurrency exchange.
5. “Crypto assets: The Innovative Investor’s Guide to Bitcoin and Beyond” by Chris Burniske and Jack Tatar:
This book will teach you how to invest in crypto assets. It also covers how to assess value, create a diversified portfolio, & how minimize risk.
Now, this is high time to ask for a safe platform to start crypto trading. If you read the above article carefully & do what I have advised, then my next recommendation will be to learn about Binance grid trading & how to invest crypto with Binance. Are you ready to double your crypto money? Let’s start
What is Binance grid trading?
Binance, the world’s largest decentralized exchange, has announced a new blockchain-based trading platform that allows users to purchase, sell and invest in cryptocurrencies called Binance Grid trading.
It is a robotic trading system that automatically performs the purchase & sale of future contacts. It can place orders in the market at set intervals within a defined price range.
Grid trading involves placing orders above and below a fixed value to create a grid that increases and decreases prices incrementally & ultimately creates a trading network.
Traders could, for example, place buy-orders at any $1,000 below Bitcoin’s market value and place sell-orders every $1,000 above Bitcoin. You can do this because of varying conditions.
If you are a crypto buyer, don’t worry, Binance makes the Grid trading tool accessible for all crypto investors without any fee. You can use this in its app or desktop software form.
How do you invest in crypto with Binance?
To invest in crypto with Binance, you need to verify your identity. Then, complete the identity verification process to secure your account and transactions.
But, in this stage, you may ask yourself, Is Binance good for crypto investment and trading?
The answer is Yes; Binance is good for crypto investment. You can purchase, trade, and hold more than 300 cryptocurrencies on the Binance crypto platform.
Below are the steps to start a crypto investment with Binance:
Step-1: Create an account by heading to the Binance homepage and registering by clicking at the top right corner.
Step 2: You must verify your Binance account with the KYC process.
Step 3: If you want an easy method to buy crypto, you can use your debit card or credit card with the convert feature.
You can buy crypto assets with the trading view by transferring fiat currency from your bank account.
How to buy Altcoins on Binance?
You can buy utility tokens like AirBNB to start diversifying your portfolio.
Step-1: Log in to your account, hover over the buy crypto button, and click Credit/Debit Card.
Step 2: You must select the correct fiat currency from various cryptocurrencies.
Step 3: Fill out payment details & wait for the crypto to be credited to your account.
Which is the next cryptocurrency to explode from 2023 to 2025?
Many cryptocurrency experts believe many can blow out of Proportion from 2023 to 2025. Below I have mentioned some coins that have a great chance of exploding from 2023 to 2025. They are:
2. Bitcoin 2.0
3. Pepe 2.0
4. World Coin
5. Evil Pepe
Is this the right time to buy and hold cryptocurrency?
Yes, 2023 will be a good time to buy & hold crypto coins. Focus on the top 5 to 7 coins. Besides Bitcoin 2.0, you can also hold DigiToads, Cardano & InQubeta.
Which cryptocurrency would you recommend for a first-time investor?
My advice for a first-time investor in Crypto is Bitcoin. Bitcoin is the first cryptocurrency ever created & has a long-term stable value that makes it a safe investment.
However, Ethereum can be a good choice if you want more potential profit. It is a new one but gaining attraction day by day. You can also consider Solana, Cardano & Avalanche. These coins also bear minimum risk & gaining popularity.
Cryptocurrencies are highly volatile and considered risky investments. They have the potential to double your money, but they also have a high level of risk. Below I have discussed some points that you should consider as a newbie crypto investor:
Crypto is volatile; prices fluctuate significantly within a short time. So, be aware of the risk & enrich your trading knowledge.
Lack of regulation:
It has less protection for investors because the government or any financial authority does not have any control over the crypto market.
It is a new form of exchange and has yet to be widely accepted as a form of payment. As a result, this could limit Crypto’s utility & adoption.
Finally, Proper understanding is very important in crypto investment. With this knowledge, you can double or even multiply your money dozens of times. You can focus strongest Crypto that has less chance to volatile its price. To minimize volatile prices, invest in multi coins to diversify your investments, and do not put all your money into a single cryptocurrency. It would help if you also thought about buying & selling associated fees with Crypto because they can reduce your profits.
Frequently asked questions (FAQ):
Can I start crypto trading under $100?
Yes. It is good to start crypto trading with a small amount, especially for a new trader. Crypto is highly volatile. So, learning cryptocurrency before making a big investment is strongly recommended.
What is CFD trading?
CFD or Contracts for differences are a contract between buyer & seller where the seller will pay the buyer the difference between the current value of Crypto & its value at contract time. The buyer pays the seller if the reverse thing happens, such as a negative difference.
What Crypto do you think will be 1000x or more this year?
The value of cryptos depends on many factors, such as market demand, regulatory changes, & the overall condition of the international economy. So, predicting which cryptocurrency will have the greatest potential in the upcoming year is hard.
What Crypto will double your money?
You can make double your money by investing in Crypto, but you must understand the crypto market before doing so. If you want a single answer, then you can buy Bitcoin & Ethereum. These coins have good potential to grow in the upcoming time.
What are the important cryptocurrencies that I should know about as a newbie trader?
For newbie crypto traders, my recommendation will be for the following currencies:
The information provided in this article is just the author’s view & only for educational purposes. By reading this, you agree that the information is not investment advice. Do your research before making a crypto investment. Therefore, FinanceIdeas.org will not be liable for your financial loss.