10 Bitcoin Investment Tips to Become a Millionaire this Diwali

These 10 Bitcoin investment tips will help you to maintain a healthy crypto portfolio

Cryptocurrency investment has worldly spiked over the last five years, with 14% of Americans now holding digital assets in their portfolios, up from a reported 1% in 2016. Some crypto experts predict that this figure is likely to double by the end of 2022 after 13% of survey participants expressed the desire to purchase crypto over the next few months. Optimists expect the crypto market to be worth around

US$250 Trillion by 2030. But only a fraction of this will be taken up by Bitcoin. The larger chunk of this outsized market will be in the hands of crypto coins such as Ethereum or Solana. We have been witnessing massive changes in the cryptocurrency market over the past decade. Here are the top 10 Bitcoin investment tips to become a millionaire this Diwali.

Do Research Well

It is important to take a look at the major online cryptocurrency publications like Coindesk and Mercari. But the only source that moves at the speed of crypto is Twitter. On Twitter, you can follow people from major funds who have access to vastly greater analytical resources than any individual trader.

Set boundaries

You should always be thinking about the percentage of your investment portfolio (and ultimately net worth) you want to devote. Once you've come up with that number, you can break it down even further into three buckets- the percentage you want in Bitcoin, the percentage you want in Ethereum, and the percentage you want in all the other coins.

Make a Strategy

It isn't easy to separate genuine cryptocurrency recommendations from scams; there are lots of sharks out there waiting to take your money. So when you're confronted with a lot of information about a cryptocurrency, take a step back from the hype. Try to look critically at the project or platform.

Track your holdings

Tong suggests either making a spreadsheet or using one of the free online tools to keep track of your holdings and make strategic decisions. He uses a web and mobile app offered by the crypto market-info site CoinGecko. "They provide literally every coin and every ticker symbol," he says. "And you can just manually type in how many coins you own and quickly see how they're performing against each other."

Manage risk

Some people offering crypto trading tips might not have your best interests at heart. So don't get stung making the same mistakes as others. Set limits on how much you invest in a particular digital currency and don't be tempted to trade with more money than you can afford to lose. Cryptocurrency trading is a high-risk business and more traders lose money.

Maintain A Healthy Crypto Portfolio

By doing this, you won't be too exposed to any single investment. Winning some and losing some is better than losing it all. Diversification is one of the smart ways to invest in Bitcoin and can help stabilize gains. Indeed, you won't be able to reap all the benefits of a skyrocketing coin but you also won't lose everything in case its value drops.

Don't Invest Based on Hype

Just like with any other traditional investment, ignoring the hype and filtering out the noise regarding Bitcoin will be crucial. When investment in Bitcoins is concerned, your decisions shouldn't be based on what others say. A smart Bitcoin investor never makes decisions based on hype and noise as it is hazardous. Relying on only what the crowd says about Bitcoin is not wise at all.

Trade it Safe and Keep it Secure

Many crypto exchanges continue to suffer the occasional hack even today. It is extremely important to choose a platform that has best-in-class security that invests in regular security audits to ensure a highly secured cryptocurrency trading platform.

Focus on Token Utility

There are more than 10,000 cryptocurrencies, but only a few have real-world use cases and a significant trading volume. You must focus on token utility, real-world adoption, significant trading volume, and steady growth over the years.

Beware of scammers

Scammers are always on their feet to rob investors of their portfolios. Beware of fake airdrops, pump-and-dump schemes, and signals from social media handles. Scammers also use imposter websites to loot investors.