Cryptocurrencies have been a craze ever since their inception. And many are starting to consider it as a primary revenue stream. At first, some were a bit skeptical about their value, impact, and sustainability. But this has changed ever since they took the world by storm. The first-ever cryptocurrency to come into the limelight was Bitcoin, which still enjoys the largest share of market capitalization. Ethereum follows closely in market capitalization. As a new entrant into this industry, looking to trade cryptocurrencies, we would highly suggest that you use a Bitcoin Cryptocurrency app for a start. It has everything you need to ensure your journey is successful.
We understand that you have a lot of questions about cryptocurrencies. And luckily, we have the answers with us. Here are some of the main things that you need to know about cryptocurrencies:
The Best Cryptocurrency
Well, we can rank cryptocurrencies based on market capitalization. And with this in mind, the leading cryptocurrency is Bitcoin. It is also the earliest cryptocurrency to suffice. When it all started, there was just one cryptocurrency, which is Bitcoin. Today, there are over 17,000 cryptocurrencies that you can trade-in.
There’s a continuous proliferation of cryptocurrencies, with the total value of all cryptocurrencies being about $1.7 trillion by February 7, 2022. This goes to show the immense value that this industry has, and why you should have a slice of it. But note that even this value in 2022 is just but a drop from the initial $2.9 trillion at the end of 2021. This goes to show you how volatile the markets are.
Bitcoin currently enjoys a market capitalization of $828.2 billion at the time of writing this article. Ethereum follows closely second at $372.7 billion. Therefore, the best cryptocurrency that we would advise you to trade-in is either Ethereum or Bitcoin. For the latter, you can take advantage of a Bitcoin Cryptocurrency app to make your trades a lot easier.
Ethereum is mostly preferred by developers because of its open-source nature and the ability to support multiple decentralized platforms.
It is Risky
This is a fact that you need to have at the back of your mind from the word go. As hinted above, cryptocurrencies are very volatile. Their prices fluctuate all the time and could either hit an all-time high or low.
With all this in the picture, you need to enter this industry with an open mind, ready to face the risks. It is not for the faint-hearted. This is not a threat, but rather a caution. Only invest with what you’re comfortable losing, because once you trade, it may go either way. Cryptocurrency investing and trading are two different fields that you can consider, based on your level of risk tolerance. Yes, it is possible to make it in this industry, and we don’t mean to discourage you. After all, so many people have made it within this sector, and yours won’t be different.
If you’re going to succeed in trading Bitcoins, then you will need to use a good Bitcoin Cryptocurrency app. There are several in the market, but not all of them will be right for you.
The best Bitcoin Cryptocurrency app should have all of the standard and even specialized security features. Just because cryptocurrencies have high security doesn’t mean that they can’t fall vulnerable to cons and cybercriminals. Scammers are always waiting for the right time to strike, and when an app has weak security, they get a chance to walk away with millions. They have done this before in several cryptocurrency theft cases reported online.
Keep Your Cryptocurrency Safe
As you choose a good Bitcoin Cryptocurrency app, you also need to focus on getting a credible and safe wallet to store your cryptocurrency. In this category, there are two options that you have on the table. You can either choose a hot or cold wallet. A cold wallet is normally safer because it is offline, compared to a hot one which is online.
A cold wallet is just like a USB disk that stores your cryptocurrency offline, safe from the dangerous eyes of scammers and other cybercriminals. Also, ensure that you store your private keys very safely, as they are what grant access to your cryptocurrency. In case you lose this key and it goes to anyone else, you can’t retrieve it easily. And they can wipe out your savings within a blink of an eye.
Again, this will depend on how much of a risk you’re ready to take. You can invest any amount, as long as you’re prepared to let it go if things don’t go in your favor.
So, that’s about everything that you need to know about owning cryptocurrencies and investing in them. Just make sure that you get yourself a good Bitcoin Cryptocurrency app in case you’re investing in Bitcoins. Read more about the benefits of cryptocurrency.