Bitcoin has been the bread and butter of the Cryptocurrency world for quite some time.
Even if people cannot get into other Cryptocurrencies like Ether or Dogecoin, Bitcoin will still remain the king.
Many call it an achievement once they start trading through Bitcoin.
Therefore, it is understandable that there are novice investors who are still asking this question, “How much Bitcoin should I Buy.”
Afterall among all the Cryptocurrencies out there, Bitcoin is the most volatile one.
Probably because of its hot & cold reputation.
At one point, it is high in demand, and the next day everyone is against Bitcoin, and the prices seem to fall drastically.
We are here to rescue you from evergreen curiosity.
Once you read this article, you should understand the amount you should be investing and the other factors to keep in mind when investing.
How Much Should You Invest?
Let’s pull over some percentage here, shall we?
When it comes to your first-time investment, then you should always have a total investment amount set with you.
Without this, you can start treating this as a gamble when you get a taste of big profits.
Once you have this investment amount set aside, it is time to place only 10% of that amount in your first investment.
Some might even prefer a total of $100 investment in your first year and begin with a mere $10.
Do not invest it all at once and have a scheduled time for investing.
For example, the first investment, and then after every three months.
This will essentially prevent you from giving in to tempting offers with nothing to base them upon.
Other Factors to Keep in Mind
Here are the other factors which you should keep in mind while investing in Bitcoin for the first time.
FOMO is the Fear Of Missing Out.
This is when a novice investor gets too excited about any new investment.
Especially if they see their fellow pals earning major profits; however, you should remember that not every piece of knowledge is the same.
When you find someone earning thousands from one move, there is a lot you need to factor in.
How many years have they been investing, was any calculation involved in this move, or was it plain luck?
No matter what you do, do not blindly believe in someone.
Sometimes when you get a higher profit from one investment, it is easier to get blinded by temptation.
This is why a set amount of investment rules is perfect to start with.
If you are not strategizing your loss, you can never learn from them.
The very first rule of Cryptocurrency is always invest the amount you can lose.
This is known as “loss tolerance,” i.e., how much loss you can tolerate.
If the loss is too much, neither will you be able to learn from it nor have the confidence to invest again for a very long time.
This is a smart move upon anticipating that you will be losing your very first investment, and you are doing so to educate yourself.
What About Minimum Investment?
Upon reading the last point, many might think of investing very little in their first investment in Bitcoin.
Some might even think about investing as little as $2.
But we, along with experts, would suggest otherwise.
No matter the platform you choose for investing, there are fees attached to trading and Crypto investment.
Upon trading with a meager amount, you will end up paying more fees than your investment.
Another crucial suggestion would be not to put all your eggs in one basket.
Cryptocurrency losses are inevitable, so divide your capital and invest in different digital coins.
In this way, you will have another to fall into in the event of a big loss for one.