Be skeptical about all sources of information
This also applies to this site. Don’t rely on the statements of just one source, always check the information. There are false recommendations everywhere that might damage you and profit others. A good starting point are forums such as bitcointalk.org und CoinForum, but don’t take just any post for gold. Also pay attention to information sites pages that they are impartial. Be aware that even serious pages make advertising for Wallets, Exchanges, Coins or ICOs. The good ones can be identified by the fact that the ads are clearly identified as such and that the sponsor is not hidden. A very good page is, for example, CryptoCompare.com, where there are many helpful tips.
The value of cryptocurrencies fluctuates heavily. This can be positive but also negative. Therefore you have to spread your money into different forms of investments. It is advisable to choose a handful of cryptos and scatter your money among them. At the same time, it is important to divide your assets much further: private pension, ETFs, funds, stocks, bonds, real estate – there are many possibilities.
But money is not the key to happiness. Enjoy your life and spend your earnings! It is much more rewarding to invest in experiences, friendship and charity organizations. This increases your own well-being and that of others 🙂
Buy at the right moment
This is, of course, easier said than done. However, this is true for many types of investments:
Buy low, sell high.
It means, you buy at low price and sell when the price is up. It is difficult to get the timing right and no one can predict the future value.
For an initial investment, it’s therefore good to wait until the desired coin falls in price. When it comes to selling, it depends on your own strategy: Would I like short-term, quick profit or do you want a long-term investment? I choose the latter and would like to leave my assets in place at least one year or even longer. Then you do not have to pay attention to your portfolio every day.
I’ve made the mistake myself and bought Ethereum at the wrong moment. But I learned and got Bitcoin when it was low, as you can see in the statistics from August 18th, 2017:
Stick to the top 20
Even the top 20 Altcoins fluctuate very heavily. The ones below that line have so little market capitalization that it is very risky to invest in smaller projects.
You can get a good list here: https://www.coingecko.com/en
(An alternative is https://coinmarketcap.com/ but they don’t include such things as the activity of the developers.)
Be very careful with ICOs
ICO means Initial Coin Offering. This is like a crowdfunding for new cryptos. They promise very high profits, but very few deliver a product with profits for you. The market for this is not regulated at all and so everyone can do whatever they want. This attracts many scammers which will shamelessly exploit your trust.
I have never invested in ICOs because I could not gain their trust. There are quite interesting and serious offers, but whether these will make you money is quite difficult to answer.