Many of the so-called gurus of the crypto world think that a bottom formation is forming and that now is the time to selectively buy cryptos. I must admit that I am of the same opinion, for whatever that is worth. And I would like to add one additional tip: the week-end is probably a good time to enter the market as of late. I have recently noticed that prices seem to get depressed over the week-end.

Lately there has been lots of news stories that were not positive for cryptos – especially stories about potential government regulations in many countries. I have no idea how that is going to play out in the future, but a reasonable regulatory environment would, in my opinion, be a good thing over the long run. And we must face the fact that cryptos are viewed as an alternative to fiat currencies, which are strictly controlled by the various countries that issue them.

Finally, the news has contained a dearth of positive stories. I read about all the great things going on in the blockchain world and wonder how that can not be good for certain cryptos soon. I am old enough to remember the early days of the Internet. There were many who thought it would not amount to much – even a Nobel Laurette openly declared that the Internet would be a bust.

And even further back, the personal computer was initially thought to be a passing fab as well by many so called gurus.

I do not know if Bitcoin will be worth $100,000.00 per coin or become worthless eventually. However, the technology underpinning cryptos is solid, serves a badly needed purpose, and will almost surely become a significant factor in the coming years.

Game changing technology takes time to gain acceptance. But when that technology it is quicker, safer and far less costly that current technology, you can bet that it will be eventually adopted. Just like the Internet and the PC, some lucky investors will have the courage to step up to the plate and buy coins that will one day be worth many times their original investment. Of course, many coins will go away completely, as did many of the early Internet and PC ventures. On the other hand, Amazon.com quickly has become, by market cap, the second most valuable company in the world. And Dell Computer, founded in Michael Dell’s his dorm room, is now worth billions of dollars.

The cryptocurrency market is too potentially lucrative to ignore. My crypto trading philosophy is simple; select about 8 or 10 coins that seem to have the best chance to succeed in the long run and place a small bet on each of them. If only one turns into a big winner, you can still make a handsome profit; and if you get lucky, and two or three of your coins make it big time, you could make a ton of money.

But just in case you are wrong on all your choices, don’t risk money you cannot afford to lose.

 

 

 

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