5 must-read crypto trading tips for beginners

February 24, 2022 06:17 PM AEDT | By Jasmine Anand
Follow us on Google News:


  • People all over the world are charmed into investing in the volatile, yet much-hyped cryptocurrency market.
  • Potential investors and beginners must undertake a careful study of the crypto market and the desired crypto, which would help to navigate the field better.
  • Owing to steep price fluctuations, one should not get tempted to put more money than one can actually afford.

While cryptocurrency investment has become a rage among the young and tech-savvy investors, it is still a new concept for the common man and new entrants to the cryptocurrency market.

A Quick Read: 5 famous NZ businesses welcoming crypto payments

Though people are charmed into investing in these new-age digital assets, they are to understand that the crypto market behaves differently from the regular share market, for the former is highly volatile and witnesses extreme price spikes as well as falls every day and moreover, once a crypto transaction is initiated, it cannot be back-pedalled.

Interesting Read: Five biggest global cryptocurrency heists

Hence, it is crucial for first-time crypto investors to be aware of their new venture and should avoid common investment mistakes.

Having said that, let us look at five must-know trading tips one should keep in mind before foraying into the untamed world of cryptocurrencies.

cryptocurrency, crypto wallet

Source: © Melpomenem | Megapixl.com

  1. Have a motive behind crypto trading

It is essential for a potential crypto investor to have a purpose for entering the cryptocurrency market. Be it trading for making quick profits or long-term investments, a clear motive is necessary as it drives one towards it.

  1. Find reliable news sources

There are numerous authentic as well as dodgy news floating across the market about cryptocurrencies.

Also Read: Easy Crypto: Is it a safe platform for crypto trading in NZ?

Even there are contrasting views of people who invested in these digital assets.

Hence, potential crypto investors should stick to facts and must steer clear of non-believers. 

Do Read: Five tips to avoid being conned by crypto fraudsters

  1. Get to know crypto wallets

While trading in cryptos, one should have a good knowledge of various crypto wallets, both hot wallets as well as cold wallets.

Must Read: 4 popular crypto wallets among Kiwi crypto lovers

These wallets not only are useful in terms of utility and versatility but also offer safety and security from hackers and fraudsters.

  1. Diversification of crypto portfolio

Generally, crypto investors all over the world are allured to buying Bitcoin, the most popular and the largest cryptocurrency across the globe.

Related Read: The Sandbox & 2 other most popular cryptos this week at Easy Crypto

However, there are other cryptos also which are not as highly priced as Bitcoin yet offer good returns. It is advised that instead of putting money in one single crypto, one should

spread his hard-earned money into different digital currencies, thus not risking getting overexposed should any one of the cryptos crashes in value.

Hence, thorough research is necessary for picking the right set of cryptos to suit one’s crypto investment portfolio.

  1. Manage risks wisely

It is a good idea to not get carried away to trade with more money than one can actually afford to lose

In other words, if new to the crypto market, one should be cautious and take baby steps to learn nuances of the functioning of the crypto market and should not run behind making massive profits in a short timeframe.

Instead, they should initially aim at making small gains and doing crypto trading on a regular basis, which eventually would lead the better know-how of market dynamics.

Bottom Line

Cryptocurrencies are not regulated; hence, potential and new entrants to this extremely volatile market must make a thorough analysis of the desired crypto and not get tempted to invest more than their risk appetite.


The content, including but not limited to any articles, news, quotes, information, data, text, reports, ratings, opinions, images, photos, graphics, graphs, charts, animations and video (Content) is a service of Kalkine Media Pty Ltd (Kalkine Media, we or us), ACN 629 651 672 and is available for personal and non-commercial use only. The principal purpose of the Content is to educate and inform. The Content does not contain or imply any recommendation or opinion intended to influence your financial decisions and must not be relied upon by you as such. Some of the Content on this website may be sponsored/non-sponsored, as applicable, but is NOT a solicitation or recommendation to buy, sell or hold the stocks of the company(s) or engage in any investment activity under discussion. Kalkine Media is neither licensed nor qualified to provide investment advice through this platform. Users should make their own enquiries about any investments and Kalkine Media strongly suggests the users to seek advice from a financial adviser, stockbroker or other professional (including taxation and legal advice), as necessary. Kalkine Media hereby disclaims any and all the liabilities to any user for any direct, indirect, implied, punitive, special, incidental or other consequential damages arising from any use of the Content on this website, which is provided without warranties. The views expressed in the Content by the guests, if any, are their own and do not necessarily represent the views or opinions of Kalkine Media. Some of the images/music that may be used on this website are copyright to their respective owner(s). Kalkine Media does not claim ownership of any of the pictures displayed/music used on this website unless stated otherwise. The images/music that may be used on this website are taken from various sources on the internet, including paid subscriptions or are believed to be in public domain. We have used reasonable efforts to accredit the source wherever it was indicated as or found to be necessary.

Top ASX Listed Companies

We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it. OK