Welcome to CryptoInMinutes.com. We provide analysis on the ever evolving cryptocurrency market. You can browse our analysis and reviews here. If you are new to the crypto market then read through this page step-by-step. It will help you get up to speed as quickly as possible.
Step 2 – Preventative Action
Get off to a head start and save yourself time and money by learning and understanding these common mistakes new cryptocurrency investors and traders make.
- Keeping crypto on exchanges
- Not doing your own research
- Chasing the pump
- Price vs. market cap
You can research these topics yourself or you can download our free eBook “The 5 Big Mistakes Beginners Make”. The book is free to download when you sign up to our weekly newsletter which will provide you with juicy market updates (don’t worry, we hate spam as much as you – we aren’t going to give your email to any third party).
Step 3 – How to buy Cryptocurrencies – Find an Exchange
By now you have some starting knowledge in crypto and you probably want to get your feet wet and start buying! To do this you will need an exchange. There are two types of exchanges which you will need to use. The first is a fiat-to-crypto exchange. You use these to change your fiat money (e.g. U.S. Dollars) to cryptocurrencies such as Bitcoin. As you gain more experience, you will notice that not all exchanges have the same coin listings, especially some of the smaller, less known projects. You will find many of these on crypto-to-crypto exchanges. These exchanges don’t handle fiat and therefore most of the trading pairs are in BTC, ETH and USDT.
We have compiled a list of the exchanges that we like to use the most:
Step 4 – Playing it safe
If you read the articles in step one, we mentioned the difference between a cold and hot wallet. It can be confusing or daunting to choose and it really depends on a few factors including risk tolerance and trading frequency. If you are a long-term investor (HODLER) you may opt for a cold wallet as opposed to a short-term trader who might choose a hot wallet for ease of access.
For many, choosing both is a popular option and we like to keep our short term holdings on exchanges and hot wallets, allowing us to execute buy and sell orders when the right conditions are met. For our medium and long-term holdings, we like to keep them safe in a cold wallet like a Trezor or Ledger Nano S.
We highly recommend cold wallets if you have more than a month’s wage invested into crypto. There have been numerous times in the history of crypto where exchanges have been hacked or malware has stolen private keys. To avoid becoming a victim we recommend the Ledger Nano S and Trezor One.
Step 5 – Fundamental Analysis
After reading our book and setting up an account with an exchange, it’s now time to start learning about the three forms of analysis when making investment decisions.
The first of these is fundamental analysis which is a method of evaluating a cryptocurrency to measure its intrinsic value. Unfortunately you can’t evaluate cryptocurrencies the same way you would with stocks and because of this, it’s hard to determine the true intrinsic value of a cryptocurrency. Although there are same valuation models postulated, they are still in very early development. We therefore, must take a more holistic approach to fundamental analysis.
Follow us on our Telegram to see how we do it.
When we research projects, we do look like to look at a few things including the market cap, team (i.e intellectual capital), product, competitive advantage, social media following, partnerships and white papers.
As you spend more time in the crypto market, you will gain a better understanding and will develop your own process to value crypto projects. To start here are some resources to help you understand.
- YouTube – Has a wealth of information with many crypto investors explainign how they valuate certain projects.
- Company website – Learning in detail about the team and the project before investing is crucial and the company’s website is the best place to do this.
- CoinCheckUp – This is a useful resource which compiles a range of data and information on each coin. We use this as a guideline but never rely on it solely as we cannot verify the validity of the data and information.
Step 6 – Technical Analysis
Technical analysis is the art of analyzing charts of past market data in order to form some prediction of future prices.
The below should help you get started:
Step 7 – Sentiment Analysis
To put it simply, sentiment analysis is gauging the mood of the market. We engage in this by reading the news on a regular basis and finding key themes which could drive the price of cryptocurrencies in the short term but also the medium-to-long term. We always keep an eye out for government and business regulation, partnership announcements and coin burns to name a few. Some resources for sentiment analysis can be found below:
- Twitter Sentiment Analyzer – Useful for gauging what people are talking about on Twitter. Enter a keyword for example “Bitcoin” and see the results. Please note we cannot confirm how reliable the results are.
- Cointelegraph – A great news website publishing all the latest happenings in the cryptocurrency world.
- Reddit – There are many cryptocurrency subreddits which can often provide valuable insight into various coins.
Step 8 – Don’t Stop Learning!
Now that you’re ready to dive into this rapidly growing and exciting market, please do so carefully and you should always keep learning the foundations of trading and investing to build upon your skills. Below is some further reading which we like. Good luck!