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Chris Bell

How to Invest in Crypto and Stocks at The Same Time

The global economy has experienced an enormous change due to the Coronavirus pandemic. Markets have registered historical swings in both directions. Currently, equity markets are trying their best to correct some global financial situations and the upcoming Bitcoin halving is getting some of the fans worried. But listen! Don’t freak out and quit now, as we’ve been on this road before (maybe not on such a rough one, though).

Sure, you may think the economic crisis is different this time, but recessions, depressions and corrections are a part of the natural market cycles. This is a great chance to manage how you step up to stock and crypto changes that might occur so, today, we’re here to give you a bit of knowledge on exactly what are the main aspects you should follow while investing in both of the markets.

Know Where to Buy Your Assets

For the last couple of years, Bitcoin has had a strong performance, with a powerful customer adoption and some significant returns. Studies show that there are outstanding payouts over a 5-year stretch for any asset, stock, bond, derivative, or currency. But where should you be buying them? Remember, always keep track of all your moves and make sure the app you use is safe and 24 hours accessible. For Bitcoin and other Cryptocurrencies, there are a lot of exchanges you should follow that turned out to be great for Bitcoin investors, all over the world. These are some of the most successful ones:

  • Coinbase
  • Binance
  • Gemini
  • Coinmama

When it comes to traditional stock market trading, be it for beginners or suitable investors that already know their way around, you can check out BestStockTradingApp to get you on the right track.

Security comes first, whether you’re buying Cryptocurrencies or classic stock exchanges, so make sure you use the most comfortable App for you, that is, at the same time safe enough to store and move your money around.

Decide How to Store Them

Bitcoins can be stored in two kinds of digital wallets: a hot wallet or a cold wallet. In a hot wallet, transactions are generally faster. If you go with Bitcoin, it is stored by a trusted exchange or provider in the cloud and accessed through an app or computer browser on the internet, even though most users enjoy storing and transferring their coins through a third-party or wallet provider (which are usually free to download). The problem is that these exchanges and hot wallets have suffered and continue to suffer some security breaches that can leak some important and dangerous personal information, so be careful when working with them.

On the other hand, a cold wallet might a great option for you. It often incorporates extra security steps that help keep your assets safe, but it comes with a downside – it takes longer to buy, sell and move your money around. Now, there is no denying that it’s proved to be much more secure due to its small, encrypted and portable device that allows you to download and carry your bitcoin.

If you prefer to stick with the basics and chose the traditional stock trading path, remember the first rule: Cash is King. Cash is an essential part of any portfolio and risk management strategy because its value increases during a downturn, for example. You need to cash to be flexible and able to buy dips. It all comes to equities, as the buying power of your cash increases as equities become cheaper.

Manage Your Investment

After you make your decision, it’s time to manage your investment properly. Day trading is a nice way to invest in bitcoin, as you buy it now and just sell it when and if the value increases significantly. If you keep yourself to the classic stock trading area, perhaps your best investment plan is to buy and hold for the long haul.

Aim Higher

Personally, due to the increasing amount of exchange in the market, Bitcoin has proved to be the most valuable asset to invest right now. However, it is an incredibly speculative and volatile buy! Stock trading can give you a similar thrill and picking stock of established companies is generally less risky than investing in bitcoin. But in the end, it all comes to you, so make sure you go for an informed decision and try to balance the investment you put on both of them.