Four Proven strategies for Crypto investing

[Adawebs]

Four Proven strategies for Crypto investing

1. Holding
2. Accumulating
3. Staking
4. liquidity providers

*1. Holding* - This strategy is pretty simple. It involves buying and holding the coin till it appreciates massively.. This is usually very long term.... like 1 year - 5 years..... It requires less technical skills... You only need to know how to source for the right kind of coin/token to buy and wait for the value to appreciate considerably after a long time....

*2. Accumulating* - This strategy is also quite simple actually but it requires you to understand market sentiment since you would need to ride the trend at times. Here the investor is more short and long term..... He buys the coin, waits for it to appreciate a bit, sells with profit, waits for correction of the market, and uses the realized capital and profit to buy more of the token/coin after the market dips....... For example, an investor buys 100 units of dogecoin while it was trading at $0.1 (i.e $10 investment)..... price of Dogecoin rises to $0.6..... 6x the initial price (I.e $60 now in profit), the investor sells all the 100unit  of dogecoin for $60 now and waits for the market to correct...... On correction of the market price of dogecoin falls to $0.3 and the investor buys again with the $60 and gets 200units of dogecoin..... With this method he had accumulated another 100unit of the coin without spending more money.......

*3. Staking* - This requires investors to look for coins/tokens with proof of stake model of transaction confirmation. Here, the investor does not just buy to hold but rather stakes these tokens and get rewarded in that coin/token or whatever the reward may be for staking..... This is a crypto form of passive income where your coins brings in more more coins without your effort.....

*4. Liquidity providers* - As the name implies this persons provide liquidity for a coin/token on a DEX (Decentralised Exchange) and they get rewarded a certain percentage for every transaction on that network....

*With these strategies and the right guidance/mentorship, even a newbie can become a profitable crypto investor*

[Adawebs]