Cryptocurrency has had a troubling rise in the world of finance, but it has managed to capture global imagination. It has made more money for folks by teaching them how to use it and how not to use it. Although it is still not as fully accepted as it should be, experts believe it is only a matter of time before cryptocurrency becomes a large factor in all our lives. Entrepreneur Jack Skipp, a popular spokesperson for all things related to cryptocurrency, talks about what 2021 looks like if you wish to invest in the digital currency of the future.
Study hard, play harder
“One of the biggest problems that people face with cryptocurrency is that they don’t understand it. And they won’t till they try to learn. It is very straightforward to start a crypto account. The processing fee is negligible,” said Skipp. Failure to understand cryptocurrency is also why most people run away from it or sell out so quickly. When there is a global slowdown, most people panic and liquidate their funds and sell stocks. The smarter thing is to let the financial sector sort things out. “Let the market settle before you make any decisions about your stocks. Unless you urgently need cash, do the smart thing and hold on,” added Skipp.
Learn the ropes
Once you learn to wait things out, you can start educating yourself about cryptocurrency. It is a very new field, financially speaking, and there is always something new being learned about how digital currency works. Keeping up-to-date on your knowledge will be a good thing before you get the hang of it. And since finance comes with risks, it’ll be a good idea to teach yourself to trust your instincts.
Building logic to make decisions
As humans, our fight-or-flight reflex can be overwhelming. Emotions are dangerous. Therefore, it’s necessary to be logically sound when it comes to our research. Make sure to bet on industries and markets in the technological or industrial sector because they can largely escape the difficulties of an economic slowdown. “No one can predict the market with any reliability. Despite studying the market for ages before being able to predict something, even professionals wouldn’t know how to deal with a pandemic,” said Jack Skipp.
So, it’s best to play safe and invest logically.