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Trader indicates high and low risk cryptocurrencies to invest


Cryptocurrency trader and influencer Lark Davis is sharing his low and high risk techniques to identify the next big moves in the altcoin market.

In a new video, Davis told his followers on YouTube that some investors are losing as altcoins have been discreetly making significant gains in recent months.

Therefore, according to him, keeping an eye on Bitcoin only limits the earnings of cryptocurrency dealers.

“Some people are sitting around waiting for the magical altcoin season to happen when, in fact, the altcoin season has been going on for a year. Altcoins have been getting absurd returns for investors, far beyond Bitcoin, ”he said.

Attention to altcoins

So, for investors who want to board the altcoin train, the trader said to look for cryptocurrencies with a market value of $ 100 to 200 million. After all, these crypto assets offer the best risk / reward ratio.

In addition, he noted that these projects typically have functional products and growing user bases. But the market reach is limited.

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Davis added that solid projects like Aave can grow exponentially without a significant setback. In such cases, the analyst suggests examining the fundamentals of the protocol.

“Focus on the fundamentals. This is what will bring you these gains ”, he said.

Basics for choosing cryptocurrencies

As the analyst explained, there are some important fundamentals to consider before choosing which altcoin to invest in. Davis stressed that investors should look for:

  • Strong economic token model;
  • Original ideas and powerful technologies;
  • Strong team;
  • Total blocked good value.

At the same time, it is important to understand whether the model is sustainable and simple and understand cHow the release of remaining tokens can affect the value of purchased tokens.

“Always find out if you can get tokens for free,” he said.

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Finally, Davis emphasized that while low-value digital currencies are unlikely to generate 100x returns, they have the potential to print gains between 20x and 50x during this bullish run.

Returns

As for opportunities to obtain “safe” returns, Davis recommended forgetting cryptocurrencies with a market value of less than $ 100 million.

He noted that while these projects offer maximum earning potential, they also present an extremely high risk.

“Either you lose a truckload of money or you make a lot of money.”

Thus, to invest in low-value crypto, Davis indicated the practice of risk management techniques to protect capital.

Also read: Robinhood now removes cryptocurrency trade from its platform

Also read: Is Tron the next cryptocurrency driven by WallStreetBets?

Also read: Mia Khalifa invests in Dogecoin: “I bought the dog’s share”




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https://www.criptofacil.com/trader-indica-criptomoedas-de-alto-e-baixo-risco-para-investir/


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