LIVE🤑 If You want earn some money in crypto, You have to be careful and gain some knowledge. One of the most important thing, when You are planning to invest, is diversity. 🤑
Maybe this term sounds complicated but
it's absolutely not. Diversifying your cryptocurrency portfolio involves spreading your capital across different assets. Taking such actions reduces the investment risk. 💥
Now it's time for practice. How to properly diversify a cryptocurrency portfolio? I will not writing about obvious things like gain knowledge about specific crypto or read news daily.
1. You have to understand that diversification is not necessarily intended to maximize returns, but rather to protect against unpredictability and risk. By investing in different assets with various risk, You can achieve a more stable and predictable return in the long run.
2. Before investing get some time to think about Your aims and risk tolerance. If You want maximum gain and tolerance higher risk invest more funds in less popular or young crypto. That kind of assets can rise rapidly and get huge profit. But in the other hand, lower the price can be as well spectacular. 🤔
3. Observe the indicators and buy currency when price is low and sell when is high. How? One of the most fundamental indicators is MA. 🤑
There's two major MA:
*SMA – simple moving average uses the arithmetic average of a given set of prices for a specified number of days.
*EMA – Exponential Moving Average uses a weighted average, giving more importance to the most recent, making it more sensitive to new information.
How use it? You have to looking for line crosses. ❗🤑❗
***Golden Cross - Occurs when the faster moving 50-day moving average crosses upwards the slower moving 200-day moving average. Bullish trend reversal pattern.
***Death Cross - Occurs when the faster moving 50-day moving average crosses down the slower moving 200-day average. A bearish trend reversal signal.
Of course that's not enough. If You enjoyed text I've will written further parts.
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