In October 2019, Bitcoin, Ethereum, Ripple, Monero, and many other cryptocurrencies on coinmarketcap show bearish trends. However, cryptocurrency investors have no time to wait till the market rise again.
Taking profit on cryptocurrency trading remains one of the main impetuses that drives crypto market.
Most investors prefer to play it safe and make their move only when the crypto market is on the rise. The believe that a long term investment in cryptocurrency can bring more profit doesn’t always work that way.
Sometimes it takes months and even years until the token you invested gains enough in value to be sold with profit that covers all fees and expenses.
However, when token finally gets in the uptrend every investor comes to the question - what is the right time to trade cryptocurrency? Any token cannot keep up with their positive sentiment forever. Waiting till it multiplies in its value doesn’t always end well.
This situation can often be seen with tokens such as Dogecoin, which managed to reach $0.0169 USD in January 2018, but since February 2018 never overcome the level of $0.006 USD. In 2019 Dogecoin is traded between $0.0019 and $0.003. Investors who have chosen a long term game and entered the make any time above $0.003 now have to wait for a next rise of Dogecoin price that may happen in years, or never happen at all.
Some tokens may even drop as much as that they would be literally worthless. If that’s true, betting on a long term game might become the worst decision. This is especially important to remember when choosing to invest in new token and project that has a very low market cap and a lack of trust from other investors.
Searching for more information, like the history of creation, info on token’s mining algorithm and other investors opinion can help beginning investors to make a good choice. Don’t fall under just one experts influence. As more resources you use as bigger the picture you get. This can help to predict the movements on cryptocurrency market and allows you to get desired profit.
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