With millions of people investing in crypto, only a small percentage are actually making profits. It’s similar to trading but there are more risk factors you need to consider. There are over 5000 cryptos on the market in 2022 and it can be overwhelming when choosing which one to invest in.
Doing research is the most important part like when you are finding a reputable online casino but the information you get needs to be valid. Sometimes you will have a lot of information on your plate but it won’t be very useful. So, try to become a part of communities that have a great track record.
Communities and Groups
The first thing you should do when searching for the next big thing in crypto is to join a few discord and telegram groups. There are other ways to do it like Facebook but these two are the main way people do it. There are many groups that are just made for promotion so make sure the community is active and there are people that like to share information.
There are also paid groups where you need to spend around $50 to join which depends on their quality and track record. If their track record is positive, some can cost up to $1000 per month for the info they can provide. These groups can be very important if you meet the right people.
Do Your Own Analysis
You will get overwhelmed by the information that you can find online and in these groups but in most cases that won’t be very useful. So, you’ll need to do your own research about the info they are bringing so you can make a good decision.
Only people that have some kind of influence and are doing deeper research are making a profit. The majority of them have some kind of following and can manipulate certain crypto projects but there are also others that make a profit from traditional ways.
Check Their Devs
Developers are a big part of the crypto community because they are the ones in control. Even if blockchain is independent, when someone creates a new coin, they can manage it in such a way that you end up losing while they gain everything.
It’s important to do a backup check on the whole team that is behind the coin. This will give you insight if they had issues in the past because scammers tend to do it multiple times in a row. But, most people don’t check the team and they make the same mistake all over again.
Check The Usability
Every coin needs to have some type of usability so the price can grow. This wasn’t the case in the past even if most of them were different. BTC and ETH have different purposes but they are both at the top because of the way they are made. For example, the coin that is mostly used for NFTs is Ethereum which makes it even more important to the community.
Every crypto company will have a lot of claims about the coin which doesn’t mean it will be true. This is why you should dig deeper and check with other investors if the coin is useful or not. They believe in their project but they can’t be 100% sure that it will work in the long term.
After all the investigation you do, the last thing is to check what is the future like for a certain cryptocurrency. Ethereum is a perfect example because they are constantly working on improving its project. In 2022, they did a merge and managed to get to that number 1 spot on the top 100.
The way the coin will be used in trading is a crucial part because the trading volume can increase the price. Every single investment is a gamble until there are a lot of regulatory issues but there are countries that accept BTC as a currency.