Arif Efendi shares his insights on Crypto Investment with a businessman

Arif Efendi, a successful businessman and investor realized that cryptocurrency could be a legitimate investment tool. He shares his insights and lessons learned in this article.

Arif Emendi clarifies the difference is between stocks and Crypto
It is essential to be able to differentiate between stock and cryptocurrencies if you are like me, an investor. While they have some similarities, cryptocurrencies are not exactly the same as stocks.

Arif Efendi Cryptocurrency is a digital asset which is used to store and verify transactions employs cryptography as an alternative to the central authority. Stocks, also known equity are securities that signify ownership of a portion of a corporation.

When the price of an asset increases the crypto and stocks are bought with the intention of capital appreciation.

Why people buy cryptocurrency and stocks
For stocks, people buy stocks to be able to vote and influence decisions of the company. Investors also purchase stocks to receive dividends that the company gives to shareholders.

It's easy to invest online in stocks and crypto using the latest technology marketplace as well as a myriad of mobile investment apps.

While the process may seem identical, there are still significant distinctions. For instance, while the Securities and Exchange Commission regulates stocks, you can trade crypto anytime of the day using your smartphone or smart phone.

You can also trade crypto with other trading pairs of crypto or fiats.

Arif Efendi Trading Crypto vs. Arif Efendi Swing Trading
Now you may wonder why it is more profitable to trade crypto despite the risk of.

A huge market cap could cause a shift of between 5 and 10% in cryptocurrency, while smaller ones may see 10x gains in a single day.

This is actually a very unusual situation in the stock market.

To illustrate, if you had invested $1000 in Solana's Solana stock on January 1, 2021, for $1.837 Your investment would now be valued at $182,000 based on the current prices for trading of $182.

If you're a skilled hand, crypto investment can be very rewarding. Some novices might wonder where the money originates. No central institution regulates cryptocurrency.

Therefore, their value comes from the costs of supply and production as in addition to demand and the rate of adoption.

Understanding Demand and Supply in Cryptocurrency
We can remember from economics books that when there is greater demand than supply of an asset, its value will rise.

https://businesscloud.co.uk/news/arif-efendi-answers-all-your-questions-about-cryptocurrency/ If there's an earthquake at a place that is affected by water, the price of water will go up if the demand for it isn't. The same economic concept is applicable to cryptocurrencies as well.

Arif Efendi We are approaching the stage of mass adoption and institutional investors such as MicroStrategy or a country like Ecuador are placing huge bets about crypto. This is a fantastic moment to be alive!

It's Important to Recognize the risks of volatility
Like the stock market The value of cryptocurrency changes. A lot of people are hoping to make 100x returns by investing in cryptocurrency.

It is impossible to predict the future of an asset. being profitable. But, it is crucial to understand the best time to buy and sell the asset.

Warren Buffet says, "Be fearful if others become greedy. Don't be greedy if other people are afraid."

Arif Efendi Many people in the cryptocurrency sector are scared. The bear markets are among the best times to invest in crypto. If the value of the currency drops. When every Tom, Dick and Harry is selling in a panic.

If people are scared and worried, they may lose their holdings. Make a list of the cryptocurrencies you would prefer to invest in and wait for the candles to appear.

Another excellent time to buy is during the weekend as the majority of institutional investors have closed their trades for the week.

There is a massive shift taking place in the present from traditional investment methods that require you to collaborate with a broker, to modern ones where you can buy crypto in the comfort of your own home.

What Cryptocurrency Do I need to Purchase?
You can choose from many different cryptocurrencies when you visit coinmarketcap.com.

Arif Efendi My top choice was Solana. POLIS, AVAX and ATLAS were close behind.

It is now simpler to track and monitor your preferred coins. Tabtrader lets you monitor every move so that you can determine when you should take a profit or buy more.

If you've been holding your cryptocurrency for an extended period of time, you could keep it and use it to get airdrops or transfer your coins to wallets such as Trustwallet, Imtoken or Myetherwallet and use secure passwords to secure them.

You should also keep your 12-word word phrase in the event that your host device gets stolen or lost.

Conclusion
With this information, you are your bank, and you are able to transact anytime and wherever you are in the world.

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Pub: 14 Sep 2023 13:00 UTC
Views: 38