buying crypto

We all remember the Idaho teen who created a sensation by becoming a legit Bitcoin millionaire at a tender age of 18 with just $1,000. This visionary tween investor saw potential in cryptocurrency when more than half of the world didn’t want to- and today he is a billionaire at just the age of 30! Bottom line is, you can make money with crypto if you believe in it and tread strategically across the crypto scape.

Making money with BTC or any other crypto is never a cakewalk; however, it’s not a herculean task either.  You just have to know the right channels and keep the timing right- and of course, you must be mentally prepared to accommodate reasonable risks in due course of time.

Good thing is, as of 2022, there are various ways to make money with buy and sell crypto.

  1. Investment or HODL

This is certainly one of the proven and most popular methods to make money with crypto.

Bitcoin was launched to streamline and democratize the payment system through electronic cash. However, over time, financial experts have been able to discover the huge investment potential of cryptocurrencies. Crypto is a constantly evolving market- a major phenomenon that makes it an excellent investment asset.

You can choose between short-term and long-term investment (HODL) methods to make money with crypto in 2022 and beyond.

Short-term investment

If you choose short-term investment to make money with crypto, the investment period will be something between 6-12 months. Choose coins that are predicted for a high rise in the coming few months. Some coins assure a mammoth growth in the long term and not so much in the short term. These coins are more suitable to make money with crypto through long-term investment.

There is another thing that you must remember when you aspire to make money with crypto through short-term investment. Please do not buy a coin when it is estimated to reach ATH shortly. History bears witness to the fact that coin prices tend to plummet after reaching the ATH for correction. Also, you must take into account the quarterly growth potential of the coin when you have plans to make money with crypto through short-term investment.

Long-term investment

In long-term investment or HODL, you simply purchase a coin and keep it on hold for years, say 4-5 years minimum. Patience is the key here- if you choose the right coin carrying consistent growth potential- you will be rewarded in big numbers over time.

One of the best benefits of long-term crypto investment is that your investment won’t be affected by short-term price swings. Taking cues from the discussion above, coin prices tend to tank after reaching the ATH. But if you have plans to make money with crypto through HODL, your holdings or ROI would not be affected by these short-term fluctuations. Just remember these 5 things when you aspire to make money with crypto through HODL-

  • Choose coins that are more stable compared to other cryptos
  • Choose coins that are developed backed by a solid purpose
  • Choose coins that follow a dynamic roadmap
  • Buy when the coin price has taken a dip
  • Don’t choose hype-driven coins
  1. Trading

There are various trading strategies to count on when you plan to make money with crypto. However, the trading strategy you choose depends on your preferred type of investment to make money with crypto. If you go for HODL, your trading strategy would be position trading. In position trading, you hold the crypto asset for years and then sell it when the coin reaches a colossal value over time.

On the other hand, if you want to make money with crypto through quick and decent profits, day trading is the option for you. Day trading is a trading strategy where you buy as well as sell on the very same day. For quicker profits, you can try a scalping strategy where a trader purchases and sells within a few minutes or hours.

  1. Staking

PoS blockchains deploy a process called “staking” to verify new blocks as well as mint new coins for market circulation. And for that, they seek help from crypto investors who are willing to stake their coins. The term “staking” in crypto implies pledging of a certain amount of coins to help a blockchain validate its new blocks. In return, the blockchain rewards the stakers with staking rewards (aka coins). You can take part in staking through crypto exchanges, staking pools, staking wallets, DeFi lending platforms, and so on.

When you aspire to make money with crypto through staking initiative, you should look for coins that offer high APY on staking rewards. On average, you can expect 10-20% APY. Focus on NFT and Metaverse coins as they tend to offer higher staking rewards compared to regular cryptos. Also make sure to sign up with an exchange that does not demand staking fees.

  1. P2E games

P2E (Play-to-Earn) games are those games that offer payment to players for playing games on their platforms. If you are an ardent gamer this is one of the best ways for you to make money with crypto. Crypto P2E gaming platforms generally offer the reward in their native token. You can always exchange the tokens in your preferred token and then eventually to cash.

  1. Affiliate link sharing

This is another easy way to make money with crypto.

Do you have near and dear ones who are equally enthusiastic about joining the crypto bandwagon? Well, they offer an excellent opportunity for you to make money with crypto through affiliate programs. Most of the crypto companies run affiliate programs that offer rewards to users who are kind enough to share their links – be it on blogs or social media or forums, and so on. If a person registers with the crypto site through your shared link, you are rewarded.

  1. Yield farming

Yield farming allows crypto holders to make money with crypto through lending. In this case, you will lend your crypto holdings to liquidity pools that supply liquidity to DEXs. In return, you make money with crypto via decent interest rates.

So, you have quite a list on how to make money with crypto. Just make sure to store your holdings in an independent hardware wallet.

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