Whether "playing" crypto or stocks, or buying insurance, or borrowing from banks, all activities related to finance have certain characteristics and complexities that if not learned, the Sheep can easily become prey for the Wolf to eat... 😱
However, the number of lessons in school is too small, so the Sheep has to learn in the school of life 🫠...
After many years of struggle, Young Sheep would like to share 5 tips that life has taught her to "be less naive" when applying to crypto:
1. Learn carefully about basic concepts and phenomena
Before investing the money saved over the years, the Sheep needs to familiarize himself with the basic concepts, terms, and phenomena of the Crypto world, especially account security tips and hacking cases. , deceived... 🤕
If you still don't understand what Blockchain, Market Capitalization, Shark or FOMO, FUD, Bull market, Bear market, ... are, then Sheep recommends that you keep your money in your wallet first.
Go to academy.binance.com, read some basic concepts to familiarize yourself with basic knowledge.
2. Set aside some idle money for investment
Sheep always only consider investment as a means to earn more, not live or die with it. Need to restrain greed. Sheep criticize a moderate rate of about 30% of the savings to buy coins. If you lose all this money, the Sheep will not be too far from shore... will not be seriously affected and will not have to go... to the dike 😱...
3. Sustainable investment, long-term investment 🤑
Because she is new to crypto, Sheep is very afraid of scams and the huge risks from "shitcoin" or floating projects. In short, when you lose money due to these rumored projects, there is no way to "reclaim" your money 🥲🥲🥲...
Therefore, Sheep must research carefully and start with buying top coins with moderate risk such as BTC, ETH and then "hodl" for a period of time from a few weeks to a few months, if there is a profit, then sell.
Sheep also avoid trading, daily trading, excessive trading leading to loss of appetite and sleep.
There are a few long-term investment strategies such as Price Averaging strategy, or Staking on Simple Earn and Automatic Investing on Binance Earn, you can learn more.
4. Set investment goals
If you invest without setting a goal, you will never know when to take profits to take your money home 🥲.
The goals set by Sheep are usually small goals, with moderate profits so that they can sleep peacefully at night.
To make it easier, after buying, Sheep places a Take-Profit order at the desired price on the Orderbook. Similar to the Stop Loss/Stop-Loss order if the Sheep feels he can't "bear" the loss anymore 😚.
5. Avoid FOMO and FUD
FOMO and FUD are two not very "healthy" phenomena in the crypto world. These phenomena greatly affect the emotions of newbies like Sheep, causing Sheep to buy and sell hastily and carelessly to keep up with the trend. The result always causes Sheep to lose assets and feel stressed.
Therefore, Sheep always advises you to carefully select information, thoroughly understand why a certain trend appears to avoid being "led" by the Wolves.
Above are 5 pocket tips that Young Sheep uses when getting her feet wet in Crypto. How about you? What tips do you use or like?
