5 Tips for Newcomers to the Cryptocurrency Circle

1. Don’t Use a Wallet at the Beginning

For newcomers, it is a relatively safe choice to put coins on well-known exchanges. The security and user-friendly interface provided by the exchange can help newcomers better manage their crypto assets.

2. Avoid Investing in New Coins

The fluctuations of new coins are usually very large, and it is difficult for newcomers to grasp their trends. Therefore, it is better for newcomers to avoid new coins and choose coins with stable markets and relatively mature ones.

3. Avoid Contract Trading

Contract trading is very risky for newcomers and can easily cause losses. If you are unsure about investing in the cryptocurrency circle, you can choose to buy Bitcoin and Ethereum. These mainstream currencies are relatively stable and suitable for newcomers.

4. Be Mentally Prepared

Be mentally prepared before entering the cryptocurrency circle. A 20% drop in one day is a common phenomenon. In addition to Bitcoin and Ethereum, do not invest all your money in other single currencies, especially altcoins, because they may return to zero.

5. Position Allocation is Very Important

Never "all in", keep "bullets" in your hand to respond to market changes in a timely manner. Reasonable position allocation can help you maintain flexibility in market fluctuations and reduce investment risks.