3 alternative strategies for cryptocurrency investors to make money in 2019

3 alternative strategies for cryptocurrency investors to make money in 2019

2017 was a annus mirabilis for cryptocurrencies, so much so that you could pull a bucket of paint on a wall and create a monet. This would not be an exaggeration of the euphoria that pushed cryptocurrency markets to new highs in December 2017. However, those halcyon times have turned out to be typically fleeting, a distant presumption in the current climate.

As we embark for the fourth quarter of 2018, it is safe to assume that after an incredibly bearish year almost everyone is waiting for the arrival of 2019 with crossed fingers and bated breath. Almost all the methods agreed to make money with cryptocurrencies have fallen flat and, unless you have been able to put an end to the market or perform operations oscillating with impeccable timing, multiply your outlay has proved a Sisyphean task in the 2018.

What happened to the crypto-explosion that everyone expected in 2018?

Analysts, hedge fund managers and almost all retail investors predicted that 2018 was the year of incredible gains. ICOs, mainnet launches, launches, cryptocurrency futures and institutional investments are expected to push the overall market valuation to above $ 1 trillion.

While at that time, each of these components combined to form what seemed to be an inevitable rally to new heights, on closer inspection, we can now review each of these categories to see how seemingly assiduous projections can sometimes be grossly misleading.

Icos Fell Flat

Initial coin offerings (ICO) should have continued to explode in a market of nearly three trillion dollars in 2018 and several analysts have predicted Ethereum will rise from $ 1400 to $ 3,500 – $ 4000. Fast forward to the present and handfuls of ICO have liquidated their ICO funds for fiat and the hype and the constant media coverage of the ICOs have almost ceased.

OIC they had to be an easy way to maximize investment, but right at the start of 2018 the global regulatory pressure from an assortment of governments and the precipitous decline in ETH prices made this reality less real.

Furthermore, a ICO number transition from open investments to allowing only private and accredited investors who actually cut out the man.

Altcoin Mainnet launches Fiant and the vanished Airdrops

Once again, the general consensus imposed it altcoins it would diverge from the ERC-20 standard by launching its core networks that could attract other crypto-startups to build on their platforms. This was further supported by the belief that altcoin values ​​would skyrocket when numerous partnerships with established companies tried to enter the blockchain revolution.

Investors expected to make a significant profit from the deluge of launches that would be derived after several altcoins passed from the Ethereum standard to its mainnet and while the launches occurred, the frequency and expected price did not meet investors' expectations.

Profits are still available, even in a bear market

So from the conventional investment theory in cryptocurrency proved to be fallible, what are the options for making a profit in the rest of 2018 and the start of 2019? This is probably the question on the mind of every cryptocurrency investor.

Fortunately, all is not lost and there is a guiding light at the end of the tunnel. While the bullish forecasts of prices are mostly declining, the adoption and expansion of the crypto-investment platform are definitely on the rise. From a technical point of view, it seems that the end of the bear market may be in sight and while Bitcoin is approaching the end of the current long-term downward wedge, investors and analysts eagerly await a self-imposed deadline for a sharp rise or a downward movement.

The biggest question should be: what happens if it does not happen? What happens if BTC falls below the descending triangle and the entire market capitalization of the cryptocurrency decreases further?

The partnerships and the blockchain adoption will continue. Exchanges will remain open for businesses. The world will continue to spin and blockchain technology will continue to grow its use cases, but what happens to investors? Or more importantly, how will investors make market conditions worse?

Let's discuss three strategies that investors could employ while waiting for a bullish market inversion.

Strategy 1: Follow the crypto startups with real-world partnerships

Investors may need to adjust their expectations and allocate a certain percentage of their portfolio to long choices.

Of course, the cryptocurrency market is fast, high risk and probably more suitable for day traders in 2018, but a small selection of coins that you are willing to wait for 2 to 5 years may not be the worst idea.

Given the intrinsic volatility of cryptocurrency, it is probably best to select cryptocurrencies that have strong partnerships with established industry players that are more likely to bear fruit in the long run. Characters like IOTA, Ripple (XRP) and Stellar Lumens (XLM) are potential contenders.

IOTA currently has collaborations with Volkswagen, Bosch, Fujitsu and DNB ASA. Ripple (XRP), despite being controversial among many circles, is challenging the status of Ethereum as the top altcoin with powerful partnerships and multiple use cases all over the world.

GoByte Network has partnered with iVend and is well positioned for the growing cryptographic payment industry. Currently, revenues from e-commerce and mobile payment processing are estimated at $ 530 billion and the sector is expected to rise to $ 886 billion by 2021.

IOST develops a blockchain infrastructure that serves as a bomb-proof solution to scalability issues commonly tackled by Ethereum and Bitcoin. Their blockchain is fully capable of meeting a company's enterprise needs Amazon or AliBaba it may need and have an impressive array of investors and partnerships. At the moment the IOST price is probably the most attractive since 2017.

Stellar Lumens is apparently similar to Ripple (XRP), except that it is less centralized with greater focus on cross-border P2P payments than B2B, has its own exchange and also recently launched a decentralized exchange where each token is paired with XLM. Stellar Lumens also has a series of impressive collaborations with IBM, Shift, Deloitte and Stripe to name just a few.

Strategy 2: margin trading

While spot trading allows you to bet on the price of upward activity, the trading margin offers the opportunity to bet on an asset that loses value. Using leverage borrowed from an exchange / broker, traders can bet on the price that rises (long) or down (short) with more money than is possible with spot trading. The merchant's own funds towards a commercial margin order are their margin and the leverage refers to the funds borrowed from the exchange / broker.

Although highly profitable, the risks are equally pronounced. Margin trading requires a strong understanding of AT (technical analysis) and is only recommended for sophisticated traders. It is important to start with small amounts to cultivate familiarity.

Renouncing a basic TA, familiarizing with support / resistance levels and key indicators such as RSI (Relative Strength Index) and MACD (Moving Average Convergence Divergence) would be a good starting point for those who did not know.

The most popular margin trading platform for cryptocurrencies are Bitmex and Deribit, both grants allow you to take advantage of up to 100x on future BTCs. Bitmex it also offers futures on other major cryptocurrencies with leverage up to 20 times.

Strategy 3: Perform a Masternode to maximize returns by accumulating extra coins

Instead of investing full attention to trading, investors may also consider managing a node as this offers the opportunity to earn passive income in the form of extra currencies, while remaining positioned to benefit from the appreciation of the price of coins.

Although the operation of a masternode tends to require a large initial investment, the operators are rewarded with block premiums (tokens) of any cryptocurrency network they are supporting. Most operators are compensated for 5 to 20 percent of a block premium and these "rewards" are designed to help compensate operators for the cost of running the node.

While the functioning of a node in 2017 required a capital treasure, the reduced market for this year significantly reduced the cost and the opportunity to earn passive income on an investment in cryptocurrency deserves to be taken into consideration.

While Dash, PIVX, ZCoin are among the best known currencies with the masternodes, they all represent an expensive barrier to entry into the cost required to perform a masternode. Currently, GoByte (GBX) is one of the most economical cryptocurrencies for the operation of masternodes.

CEO GoByte, Hisyam Nasir believes that the operation of a masternode has many advantages, even when it is performed during a bear market. Nasir emphasizes this

"Coin printing allows operators to save costs and this could potentially be more effective than simple storage." Nasir also explained that "managing a node is exceptional in a bear market, because new coins are printed to compensate for price decreases.This is much more effective than keeping deprecatory coins that offer no rewards".

While there are a large list cryptocurrencies in order to participate, GoByte already has a good support in e-commerce and mobile payments. Not to mention the fact that the sector is set to grow to account for 46% of the global e-commerce market by 2021 and a recent report found that 40% of survey participants awareness of cryptocurrency would be happy to use it for everyday purchases.

Although nothing is taken for granted, it is relatively reasonable to assume that as more and more suppliers accept cryptocurrencies, Token GoByte (GBX) will appreciate in value, thus making the operation of a masternode extremely profitable.

The cost of operating a GoMyte masternode is a one-time investment of 1.001 GBX. At the time of writing, the cost is around $ 370.00 and the hosting is $ 1 to $ 4 per month. Visit https://masternodes.online/currencies/GBX/ for more information on the procedure.

Smart investors will be ready for 2019 with a multilevel investment plan

At first glance, 2018 was a harrowing year for cryptocurrencies and unless one is able to cope with the market, it is difficult to argue against this observation. While the world's leading analysts are determined in their belief that cryptocurrency prices will rise in 2019, nothing is given and 2018 has taught many investors the dangers of speculating in an emerging market.

Investors and traders must devise a multi-pronged strategy while maintaining a long-term vision for this nascent sector and looking beyond short-term speculative gains. With cryptocurrency assessments at the lows of 2018 this could be the best time to take stock and implement well thought out investment strategies.