What is the best strategy while investing in crypto?
- You always have to plan what works best for you. Never blindly follow anyone who says they will let you make 10000% returns. Understand that if they can get those returns why would anyone be posting articles or videos for ad revenue?
- Typically I plan with 20-30% in stablecoins and BTC/ETH, some in CEX tokens such as BNB, KCS etc(so that you get a discounted fee and also get Launchpad/launchpool rewards), some in DEX tokens(to offset any potential regulations on centralised exchanges), some in oracles, some in DeFi tokens, very little in “TO THE MOON” tokens, some high staking rewards tokens etc
- I didn’t make huge money in crypto even though I have been in it for almost 2.5 years. I entered at the peak of bull run and had to endure a significant loss during LUNA and FTX crashes. Yet I’m still close to breakeven just before entering the bull run.
- How did I cover my losses? 2 major things
— always average your token only after the price drops more than 40-50% (assuming you know your project is a good one)
— never get too attached to any project (basically sell when you realise something is off. Surprisingly intuition works very well at times)
— always keep staking your assets (whether it’s directly on exchanges or by providing to validators)
— instead of investing in memecoins, look for tokens pushed by players who know how to play the game. For example, Injective is pushed a lot by Mark Cuban.
— don’t keep switching your tokens frequently. Many a times people keep selling their assets to buy already high priced assets. Remember there will always be another token that you can invest into
— last but not least don’t be too greedy. Book a portion of profits if not all when you start making good returns.