In this day and age, you have more opportunities than ever when you’re interested in investing. It all comes down to understanding how the landscape has changed and seeking the best new opportunities. Today, cryptocurrency is the next frontier and an excellent asset to add to your portfolio.
Approximately 21% of adults have owned crypto. There are several platforms today that will allow you to invest in crypto. You need to know where to find live prices and new information so that you can make the most informed investment possible.
Use this guide so that you can start getting live cryptocurrency prices.
Find a Quality Crypto Exchange
Finding a cryptocurrency exchange is one of the most important decisions that you can make. These are the cryptocurrency websites that display the current values of current tokens so that you can then place an investment. It’s one of the fundamental decisions that you’ll make when it’s time to become a crypto investor.
Understanding some background about crypto exchanges will help you when it is time to choose the right exchange.
The Importance of an Updated Exchange
As an investor, you rely on the most up-to-date numbers possible to make informed decisions. This is especially important when it comes to cryptocurrency prices.
The flagship form of cryptocurrency, Bitcoin, has reached prices as high as $63,000 in the past. You need to be able to keep track of your crypto prices, whether they are climbing or reaching record highs or lows.
By having access to the best cryptocurrency exchanges, you’ll be in a position to purchase however many tokens you need and can time the market to get the most from your goals.
Choose a Reputable Company
You must be able to trust the cryptocurrency exchange that you decide to do business with. Check out their website and find out how long they have been in business. Study their credentials and see what others say about actively investing with them.
Speak to other investors that you know who have used the Exchange and gauge their experiences. Look into Consumer Reports and other industry reports from watchdogs to get the full picture of what you are signing up for. It’s far easier to get excellent results when you have the help of a company that is transparent and looks after the interest of its users.
There are plenty of benefits to investing in crypto, which is why so many people enjoy it. You’ll have an easier time appreciating the benefits of investing in popular cryptocurrencies when you’re pleased with the service that you receive.
Make Sure It’s Easy to Use
Aside from getting access to live cryptocurrency prices, you must be sure that the exchange you choose is user-friendly, try out the graphical user interface, and make sure that you understand the dashboard. Take advantage of a trial if the exchange allows for one. It’s especially important if you’re someone who expects to regularly invest in cryptocurrencies.
The platform should also seamlessly integrate with any crypto hardware that you use. Make sure to get a crypto wallet so you can lock in your crypto transactions and store your tokens offline.
Research Their Fees
Any exchange that you sign up for will also have its own set of fees. These fees are in place per transaction and are crucial to making sure that you’re still coming out ahead once a trade or conversion is made.
You’ll feel more comfortable drawing profits from the crypto market when you have up-to-date pricing info.
Work With an Exchange That Constantly Updates
It’s not just about choosing an exchange that you’re comfortable with now, you need to count on your exchange staying with the times. Read through reports of updates that the exchange has made through the years. Do business with an exchange that regularly adds new features and cryptocurrency options to invest in.
This research is essential when building a crypto portfolio that can last.
Consider Your Crypto Interests
Understanding live crypto prices is the first step, but from there, you must consider what you hope to get from investing. Your portfolio management depends on your interests and goals.
People invest in crypto for several reasons, and these reasons will dictate the investing strategy that you employ. Once you understand your situation, you’ll be better able to leverage price information.
Set Your Investment Goals
Begin by understanding what exactly you are hoping to get from crypto investing. There is a lot of growth potential in crypto since the landscape has not quite been established to the point of other asset classes, such as real estate and the stock market.
For this reason, currency often attracts people looking for large amounts of growth. This could be short-term as a day trader or a long-term investment that will build your portfolio for the next several decades.
Some reasons that people invest in crypto include diversifying their portfolio long-term, taking advantage of an untapped market, coming up with a down payment for a property, and several other investment goals.
Consider these sorts of details as you plot out your crypto investment strategy. This will help you set price points for your investments.
Assess Your Risk Tolerance
When investing in crypto, it’s also crucial that you understand your risk tolerance. Overall, it’s an investment that requires a certain measure of risk since it is more volatile than other markets.
Knowing your tolerance for risk will help you determine how much capital to invest initially and how much you are willing to risk long-term.
Know How Much You Can Invest
Whether you are a new or seasoned investor, you must also understand how much money you’re trying to invest in your crypto exchange account. A rule of thumb requires you to only use sums of money that you could lose and not miss. While the goal is to come out ahead, it’s never a good idea to risk the money that you need for your rent, mortgage, and other personal responsibilities.
Learn the Basics of Crypto
You can only take advantage of live crypto prices when you understand the fundamentals. This starts with understanding the technology on which your cryptocurrency is based.
Most cryptocurrencies are based on the blockchain. Blockchain is a form of recordkeeping that keeps an encrypted ledger of several transactions. Consider taking a course on crypto so that you understand the basis of major tokens and how it plays a role in your investing.
Run Through Some Simulations
You’ll get a better handle on your crypto investing after you have run through several simulations. Some exchanges have a virtual simulator that mirrors the exact prices and conditions of the market.
This allows you to use digital play money so that you get an accurate picture of how your investments would play out in real life.
Know Which Crypto to Invest In
Perhaps the most critical thing to consider is which form of cryptocurrency you’d most like to invest in. You have several options to take advantage of in today’s market.
Before purchasing even a fraction of a token, do some due diligence on it and read through the prospectus. This documentation will let you know the basis of the token, its history, and how it has performed. Look into 52-week records, projections, and information about the factors that affected price changes.
Study the Different Types of Crypto
Before running out and investing in a token based on news reports and the word of a friend, make sure that you understand the main cryptos that people invest in.
Examples of top cryptocurrency options include:
- Bitcoin
- Litecoin
- Ethereum
- Monero
- Cardano
- Ripple
- U.S. Dollar Coin (USDC)
As you do your research, you will begin to understand how each coin got started and can explore whether it’s a good addition to your portfolio. Bitcoin launched in 2008 and has set standards in the world of crypto ever since. In a lot of ways, it will continue to set the tone for how crypto advances.
Create a Mixture of Investments
If you’re investing in crypto, it’s best to use a combination of different token options. This gives you the chance to diversify while also figuring out what investment makes the most sense to you.
Many investors choose to have a growth crypto portfolio and a blue chip crypto portfolio. Having a combination of both will add balance and help you achieve different goals.
Stay Tuned to Initial Coin Offerings (ICOs)
As a crypto investor staying abreast of live prices, make sure that you also check out Initial Coin Offerings (ICO) as they come along.
An ICO is the announcement and documentation of a new form of crypto that is just being rolled out. This will teach you how the coin was founded, its current value, and how many initial tokens are being distributed. Getting in on the ground floor can give you some serious equity, along with a price point that can deliver an impression return on investment (ROI).
Create Rules and Profit Margins
When you invest in crypto, it helps to set different parameters. This will put rules in place that will help you get the best profit margins as you invest.
You can create rules that will let you know when to reinvest by buying more and at what price point you should sell. It’s also possible to place these types of orders on your crypto exchange of choice.
By automating the process, you will have less to think about while knowing that your crypto portfolio is being handled in a way that is aligned with your financial goals.
Invest in the Infrastructure, Not Just the Money
It’s easy to get caught up in the value of cryptocurrency to the point that you’re only focused on price. While this is the bottom line that will affect your portfolio the most, make sure that you’re also investing in tokens that you believe in.
For instance, XRP is a type of financial technology (Fintech), and this is a growing industry that people and companies will continue to use for the next several years. Litecoin is similar to Bitcoin but uses different mining processes.
Many people who invest also try their hand at crypto mining as another way to grow their wealth. Looking at crypto from a macro perspective will help you make a more informed decision.
Finetune Your Investment Strategies
We’re all new crypto investors at some point. Once you understand the basics, speak to a financial advisor that can help you along the way. Many firms today that have long specialized in stocks and real estate have advisors on staff that can also help you make the best crypto decisions.
Subscribe to investing publications so that you’re always in the loop on what’s new and which investments might pay off the most. When you’re a constant learner, you’re able to diversify your portfolio and will let your investment strategies evolve.
Many investors set routines, such as investing a percentage of their paycheck each period in different asset classes. It’s best to invest with some regularity in this way rather than just several one-off investments.
Browse Live Cryptocurrency Prices
When you comb through live cryptocurrency prices, you’ll be better able to invest with wisdom and discretion. It all begins with having the right information. We’re happy to be your resource when you’d like to stay up-to-date on all things crypto.
FDAR.org has the information you need when you want to apply risk management to your crypto investing strategies. If you’d like to get in touch, contact us digitally or by calling (785) 865-7226.