CryptoCurrency Investment Guide
People want to know about cryptocurrency investment. How to invest in cryptocurrency. Here we are giving you highlights to understand how to invest in cryptocurrency and how you can earn good amount. But before you start investment in cryptocurrency, you must know the basics of cryptocurrency and cryptography.
How cryptocurrency is build up and what is cryptography? Actually cryptography is a process to build cryptocurrency. In this processor the cryptographer do his work, and in reward of that work, he gets cyrptocurrency. In other words cryptographer gets crypto coins. Some cryptocurrency are based on SHA-256 technology and some use Scrypt technology. In these technologies, cryptographer use computer hash power along with the power consume during this generation. It uses computer CPU and GPU. This is a small definition of cryptocurrency.
Pioneer in Cryptocurrency investment
The base currency of cryptocurrency is Bitcoin. This is the pioneer of cryptocurrency. Bitcoin is highest price coin in cryptocurrency market. This is because it is the base currency coin and the highest, strongest and unbreakable system. In simple words, if someone want to create fake coins then he can not include that coin in block chain. The blockchain require a lot of confirmation to include that block in block chain.
Lets come back to cryptocurrency investment. Most of the investors invest in those assets that are strong and have higher trust level. So, that’s why we will recommend bitcoin as the first cryptocurrency investment. There are several websites and exchanger offering instant buying of bitcoin by using your Visa, Master Card or the credit cards they accept. They will send you bitcoin equal to the payment you sent. So, this is the simplest and safest way to invest in cryptocurrency.
Alt Coins for CryptoCurrency Investment
Bitcoin is not the only cryptocurrency in crypto market. There are some other Alt Coins available in crypto market. What are alt coins? Alt coins are coins that are alternative of bitcoin. Some of the Alt coins are on SHA-256 system and some use scrypt. There are several websites showing top ten list of alt coins. This is because they are most traded and exchanged coins with several crypto exchanger. They got place in market. But remember, don’t invest without investigation. Because some coins come up by artificial pumping and dumping. Due to this artificial fluctuation, you may see a sudden high in some coins that was not listed one week or one month ago. So be careful in that case.
You can also trade in crypto market, but it is recommended to learn something before start trading. This is necessary because without learning trader may lose his all money. If there are some good guys then there are some bad guys too. People use pump / dump techniques to make people fool and create artificial high or fall. This kind of trading require proper analysis of market and proper knowledge of coins and their system. In proper analysis, we can count technical and fundamental analysis both. Traders can also make their strategy, when to buy and where to sell. Where to close orders to make profits.
It is high volatile market, so it is recommended to invest that much money which you can afford to lose. Don’t invest that much money which you can’t afford. This is lucrative and high yield market but it can wipe out your all investment at once. So, think twice before investment. This is an informational article, not a recommendation for investment.
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