Arif Efendi, Businessman, Gives His Thoughts on Crypto Investment

Arif Efendi was a businessman and an investor who realized that cryptocurrency was a viable investment asset. https://www.imdb.com/title/tt0254001/characters/nm0022342 He shares his experiences and lessons learned in this piece.

Arifefendi explains how Crypto is different from Stocks
Investors like me need to understand the differences between cryptocurrency, stocks, and other investment options. While they have several similarities, stocks and cryptocurrencies differ.

Cryptocurrency is an electronic currency that records transactions through a decentralized system that uses cryptography rather than a central authority. Stocks, also known as equity or securities, represent ownership of a specific portion of a business.

Stocks and crypto are bought in the hope of capital appreciation, especially when an asset is rising in price.

Why people buy Stocks and Cryptocurrencies
Stocks are purchased by individuals to vote in corporate decisions. They also purchase shares to receive dividends that the company distributes to its shareholders.

It's simple to invest online in crypto and stocks with the next technology marketplace as well as a myriad of mobile investment apps.

While the process might appear similar, there are still significant differences. For instance, while the Securities and Exchange Commission regulates the stock market, you are able to trade crypto anytime of the day from your mobile phone or your smart phone.

Arif Efendi You can also trade crypto using other trading pairs of crypto or fiats.

Trading Crypto and. Swing Trading
You might be wondering what the reason it's more profitable to trade crypto regardless of the volatility.

A large market cap can lead to a swing of 5% to 10% for cryptocurrency, while smaller cryptos can see gains of 10x in a single day.

This is a rare situation in stocks.

If you had $1000 invested in Solana at $1.837 1st January 2021 Your stake would have been worth $182,000 at today's trading price of $182.

It can be very rewarding investing in crypto, if you're not a weak player. An uninitiated person might wonder where the money is coming from. The cryptocurrency market is not governed by any central authority.

Thus, their value comes down to the cost of production and supply, as well as demand and adoption.

Arif Efendi Understanding Supply and Demand in Cryptocurrency
We can remember from economics textbook that if there is greater demand than supply for an asset its price will rise.

Arif Efendi If there is an earthquake at a particular place, the price of water will increase even when the demand is not changing. The same economic principle applies to cryptocurrency.

We are in the phase of mass adoption and companies like MicroStrategy, and Ecuadorean investors are placing their bets on cryptocurrency. This is a great moment to live!

It is essential to be aware of the dangers of volatility
The value of crypto currency fluctuates as does the stock market. A lot of people are hoping to make 100x returns by investing in crypto.

There's no guarantee that an asset's profit margin will never decrease, but it is important to be able to identify when to sell an asset or earn a profit.

Warren Buffet once said, "Be fearful of others being greedy, and be greedy if others are afraid."

Arif Efendi Most people in crypto are scared. The bear market is the ideal time to invest in crypto. If the value of the currency drops. If Harry, Dick and Tom panic-sell.

If investors are anxious or fearful, they could lose their holdings. You should make a list of cryptocurrency you would like to invest in and then wait for the red candles to show up.

Another good time to purchase is during the weekend when most institutional investors are closing their trading for the week.

The traditional way of investing requires a broker. The modern way of buying crypto is possible from the convenience of your home.

Should I Purchase a Cryptocurrency?
You can pick from a variety of cryptocurrency options when you go to coinmarketcap.com.

My top pick always has been Solana (SOL) and then AVAX, POLIS and ATLAS.

It's even easier to keep track of your favorite currencies. Tabtrader lets you monitor every move and decide whether to invest more gain.

If your cryptocurrency has been kept for a time, it is possible to get airdrops, and then transfer them to wallets. Trustwallet. Imtoken. Myetherwallet.

It is also essential to record your 12-word phrase in order to recover your asset in case your host device gets missing or stolen.

Conclusion
Your bank has all of this information. Transact wherever you're located around the globe anytime.

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Pub: 11 Oct 2023 13:41 UTC
Views: 3