Tip for Beginners on Binance: Understand the Market Before Investing
If you've just arrived and seen everything green and have already bought a high amount, be aware that everything can suddenly turn red. Don't be afraid to think you've lost money. On the contrary, most investors are happy because they can buy cheaper and accumulate more. So never buy crypto with all your capital. Always leave some to buy more when it drops. After all, the future and crypto are long-term and the shortest path to financial freedom.
A great tip is to start with a small amount, like $5, to observe the market's fluctuations and understand how it works. This is the best way to learn in practice, without risking amounts that could compromise your finances.
When you buy, for example, 10 tokens of a cryptocurrency, the number of tokens you have does not change, even if the market goes up or down. If the market appreciates and those 10 tokens you bought at $5 are now worth $10, that does not mean you earned $5. Your balance only actually increases when you sell the tokens. The same goes for declines: you only lose money if you decide to sell the tokens at a lower price than you paid for them.
This concept may seem obvious to those who are already experienced in the market, but it is common for newcomers to have difficulty understanding it. We often explain this to friends and realize that the concept can be confusing for those who are just starting out. It is important to remember that each person has their own learning pace, and this is completely normal.
For those who have questions, the Binance community is an excellent source of support. Many of those who post reviews and tips are willing to help, after all, most of them here are small investors with big dreams, all in the same boat, seeking the long-awaited financial freedom.
So, don't be afraid to start slowly. Understand the market, ask questions and always be willing to learn. Investing in cryptocurrencies is a path of constant learning, but with patience and discipline, you can DYOR.