Dogecoin Investments: Dos and Don’ts that you should follow

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Dogecoin

Dogecoin is the talk of the crypto world right now. Investors, traders, and young crypto enthusiasts are showing keen interest to buy dogecoin in India. This meme cryptocurrency has witnessed tremendous growth in the past few months. 

In the first half of the year 2021, the cryptocurrency encountered a 7000% rise in its value. Dogecoin has managed to perform really well and has successfully outperformed even the most popular options in the cryptocurrency segment. 

However, it is always advisable to be cautious before making any decision related to crypto trading. Here we bring important dos and don’ts that you should follow before investing in dogecoin. 

Do’s 

  •  Understand and analyze the underlying objective behind dogecoin. Proceed to invest only when you are satisfied that it is a favorable investment option for you. 
  •  Always double-check facts, figures, and data points you find online. 
  •  Start investment with one coin initially to exactly find out how the coin works actually. 
  •  Buy, sell, and trade dogecoin only through a trusted exchange platform to avail fair price on Doge to INR exchange. 
  •  Diversify your investment portfolio. Over-reliance on doge is risk-worthy as it has a far different operating mechanism than usual cryptocurrencies. 
  •  Invest according to your risk-reward tolerance capacity. Though dogecoin is cheap, sparing too much money in this cryptocurrency is not advisable. 
  •  Track your coins using a reliable tool. These tools help you monitor real-time dogecoin price movements. 
  •  Do keep your dogecoin holdings for the long term. Rushing to sell them may not earn you the expected yield. 

Don’ts

  •  Do not believe in social media hypes. Like other cryptocurrencies, Dogecoin is also vulnerable to market fluctuations. Thus, just going with the flow and listening to everything that comes up on social media may put you at risk. 
  •  Do not blindly follow the crowd or celebrities endorsing dogecoin investment. 
  •  Do not listen to your emotions. It is always advisable to stay calm and keep patience while trading in dogecoin. 
  •  Do not share your crypto wallet information with any third party. Because once you lose your assets, getting them back is near to impossible. 
  •  Do not try to time the market. Dogecoin’s value can fluctuate heavily in a single day. Thus, smart investors never try this. 
  •  Don’t get caught in the haste of earning quick profit. Investing in crypto needs patience and perseverance, apart from research. 

The future of Dogecoin

As per the expert predictions so far, dogecoin experienced impressive growth. Moreover, it will continue to yield positive outcomes in near future as well. In addition to its fundamental technology, the coin is grabbing attention for its cultural significance. 

Although the coin is likely to experience further gains, novice investors are recommended to do their own research first. Weigh all positives and negatives of your decision. Since you are putting your time and money at stake, spend enough time to learn about how dogecoin works and how it is performing. This may sound challenging to beginners but staying vigilant is a must.