Each cryptocurrency serves a specific purpose, except for “meme” coins (such as Dogecoin and Shiba Inu), which generally have no practical use beyond speculation. Before investing, research the project. Ask yourself:
What was this coin created for?
Does it solve a real problem?
What is its usability in the market?
2. Beware of Exaggerated Promises
It is common to see videos or posts saying that a coin will appreciate 10x or 100x. Many people get carried away by these promises and end up investing all their money. The result? They end up buying at the top of the price, and when the market corrects, they end up with negative capital.
3. Understand Market Movements
Those who invest heavily can drive the price down. Imagine that you invest R$1,000 expecting a profit of 100x. Meanwhile, another investor invests R$100,000 and withdraws when they get a 30% gain. This movement causes the currency to fall, and those who are not familiar with the market dynamics end up losing money.
4. Bitcoin and its Influence
Bitcoin is the mother currency of the crypto market. If it continues to rise, there is still a chance of recovering capital in other currencies. However, if Bitcoin falls by just 10%, other currencies could plummet by 50% or more. Therefore, it is important to monitor BTC's performance.
5. Beware of Launch Coins
Many new currencies have high volatility. Those who bought at low prices on small brokers tend to sell when they reach large exchanges like Binance. These movements usually last only a few days.
6. Golden Rule: Only Invest What You Can Afford to Lose
Never invest money that you cannot afford to lose. There have been cases of people who used their rent money to invest, faced losses and became desperate. The crypto market is unpredictable and requires caution.
7. Beginner's Strategy
If you are starting with R$1,000, follow a gradual approach:
Invest only 10% of your capital initially (R$100).
Study the market and the behavior of the currency.
If the coin shows promise, add another R$100 next week
