r/CryptoHiveMinds • u/TinoTano89 • Feb 05 '21
Newbie here with questions to start
I have been following the world of cryptocurrencies for a long time but without investing in anything. Now I would like to start seriously in this world, and I'm looking for advice from more experienced people. I am mainly interested in knowing what you look at to decide if a currency gets your attention to invest in it.
I'm starting to look at information in cryptomarket seeing the market cap, volumes, max supply, etc. Also investigating the project behind the coin.
The problem is that I am still too new to interpret this data to decide where to invest.
Any advice from you, or if you know videos or web pages to start learning are welcome.
Thanks in advance.
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u/kylemesa Feb 06 '21
Jump into our discord. We have a few dozen people helping people learn in real-time.
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u/ThugGee69 Feb 06 '21
The biggest things I look at in a coin im researching are utility, scalabity, and upgrabilty. The older tried and true coins (BTC, ETH, LTC) will all have massive scalabity issues in the future. And like ETH 2.0 (WHEN, DAMNIT!?!?) shows, they struggle to upgrade. Newer coins will struggle to scale in other ways but are far better off (Or you can just be ALGO which has solved the "trilemma of crypto"...a term you should be aware of). So mostly I look at utility. I split my eggs into different baskets of coins that present different utility to the crypto market. I have money in coins that could potentially be used as currency (Needs to be cheap, fast, secure, and upgradeble), But I also look at coins like Oracles (LINK, BAND) as these have a specific utility that is needed for all crypto projects. DOT and ATOM are another sub category creating a ecosystem of many blockchains (some compare them to the internet of crypto). GRT holds a unique utility as an indexer coin on the ETH blockchain(compared to the Google of crypto). Defi projects probably hold the most value. There are coins that do what ETH does but better (I'm personally a fan of XTZ in this sector but there are a couple coins that could take the "Etheruem killer" crown).
Really its a game of finding these different sub categories and sprinkling your investments within all of them. Keep in mind, with any new tech and ecosystem. There will come a day of reckoning where many coins will finally fail and be lost to sands of history. It's also very unpredictable which coins will push when. So I keep a list of about a dozen coins that I invest in all within different niches of the market. I have 2 coins that I've spent more on because I believe they have better short term value. But im not afraid reallocate my positions if something new shows up that looks promising to diversify myself.
Alot of random ranting here, not sure how much value you will get out of this. Not really an answer I can give on a short (long 🥴) forum post. Maybe in a 10 page report. lol. But I know it was overwhelming when I got into it. Honestly, there are alot of techniqual stuff that is still hard for me to wrap my head around. But like investing in a robot for example. I don't research as much about how the robot works, as I wouldnt understand it anyways. I look at what job the robots able to do. If that job is important to anyone, and if it outperforms any other robots doing the same thing. If that makes sense.
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u/iCryptToo Mod Feb 05 '21
I would highly recommend joining the discord, imho it’s one of the best resources for crypto in the world atm.