How to start your Cryptocurrency Investment?

Cryptocurrencies have gained widespread attention in a little more than ten years. Cryptocurrencies are increasingly being viewed by some as a potential replacement for national currencies as a worldwide alternative. Such ideas, however, are improbable delusions.

The Honourable Supreme Court of India gave cryptocurrencies legal status in the country, which put the Reserve Bank of India and the market at odds. The legal status has, however, provided the market for digital tokens a much-needed boost.

This action has sparked an increase in investor interest, which is now the dominant trend experienced by entrepreneurs in the Indian crypto industry. But until India's laws and classifications are in place, many people in the nation still find cryptocurrencies to be strange concepts.

Here is a detailed, step-by-step tutorial on how to trade cryptocurrencies. This article's main aim is to educate the reader on the numerous procedures involved in trading cryptocurrencies and the difficulties encountered along the way. So let's take a quick look at cryptocurrency trading:

Pick the best cryptocurrency exchange

There is no set structure or uniformity to cryptocurrency trading in India because there is no regulatory framework for the industry. The sites of the crypto exchanges, however, make it simple to purchase and sell your digital money. In the nation, some of the most well-known cryptocurrency exchanges include WazirX, UnoCoin, CoinDCX, and CoinSwitch Kuber

Establish a Trading Account

To start trading, you must create an account at the cryptocurrency exchange of your choosing. This account will resemble a bank account. The exchange will check your credentials during registration based on the services you choose, the amount you intend to deposit, and the choices for exchanging coins that are offered. Sharing KYC (Know Your Customer) information and setting up payment choices are required. You might have to provide copies of your PAN card, picture ID, and address verification for KYC. 

Invest in Your Account

You must deposit funds into the cryptocurrency trading account after creating an account in order to purchase cryptocurrencies. From your bank account to the cryptocurrency trading account, you can transfer money online. But to do so, you must link the two accounts. Additionally, there can be a waiting period before you can buy digital currencies, depending on the regulation.

The Purchase and Investment of Cryptocurrency

You must choose the coins you want to invest in after opening an account and sending money. By far, Bitcoin and other altcoins like Ethereum, Cardano, Binance Coin, Tether, XRP, and Dogecoin are some of the most well-known ones.

Safeguard your cryptocurrency.

The most important phase is storage, which comes after completing your purchases. Since no organisation has formally endorsed cryptocurrency exchanges, they almost definitely lack regular insurance protection. They further fear getting hacked. You must thus safely maintain the password to your valuables and account. Generally speaking, keeping your purchased coins in a crypto wallet is a smart idea.

Pick a Plan of Action

Implementing Elliott Wave Theory can help you create a great plan that will increase your profitability. Elliott Wave Theory is effective for speculative assets like cryptocurrencies because it focuses on the psychology underlying market emotion. Before increasing your bitcoin investment, you may also acquire the advice of certain experts in the field. Instead of mindlessly following anyone's advice, one should always start with minimal investments and carefully research the market.

A digital asset known as cryptocurrency utilises blockchain technology to identify each unit's owner. Since cryptocurrencies don't have an inherent worth, their value is solely dependent on market demand. Due to its tremendous volatility, cryptocurrency is an investment that investors should approach with care. Learning how to invest in cryptocurrencies is simple. Simply create an account with a broker-like cryptocurrency exchange.

By Vandana Gaur