Congratulations, you have bitcoin discovers! A fascinating world opens up to you, but you soon find out that there is a lot to discover. So much so that you probably get the feeling that you can no longer see the wood for the trees. Today we are not going to tell you what you should pay attention to, but we will give you three points that you should not look at in the beginning.
The technology
The first point that most people often run into is the technology. Although bitcoin is extremely fascinating from a technological perspective, in principle you should not pay too much attention to it in our opinion. Ultimately it depends a bit on your background, for some people with a more technological background it’s fine to dive in from this perspective.
However, for most people it is better to first understand why Satoshi Nakamoto came up with bitcoin. Once you understand the economic and social side of bitcoin, everything about bitcoin immediately becomes more interesting. In that regard, it is better to first understand why the decentralized nature and absolute scarcity of 21 million bitcoin is so special in relation to the traditional financial system.
Your phone
People who are just starting to invest in bitcoin tend to constantly check their phones to see if they are already rich. We can be very clear about that right away. Bitcoin is not going to make you a millionaire in 5 minutes and it’s not going to make you happy. Bitcoin is extremely volatile and it is not exactly soothing to see your wealth constantly moving up and down. One moment you are 10 percent in the plus and the next moment you are flying off by 5 percent.
For your own state of mind, it is better to teach yourself the rates check as little as possible. After all, you are investing for the long term, not to cash out next week with a bag of money. If that’s what you’re looking for, you might as well go to Holland Casino.
Focus on the big boys
Another important tip is not to lose yourself in all kinds of small coins that have yet to prove themselves. It is best to first understand bitcoin and from there take the step to other currencies. First try to put on paper for yourself exactly what bitcoin is and why it might be an interesting investment, before you start gambling on the smaller ones. altcoins which carry much more risk. It is very tempting, because the profits are potentially huge, but often people come home from a very cold fair.