Cryptocurrency investments are popular these days because many people are beginning their cryptocurrency journey in order to earn money and save for the future. They are taking the risks because if you bought a bitcoin years ago at a price of $1 per bitcoin and only spent $100 to buy bitcoin, you now have 100 bitcoins worth $400,0000 if the current price of bitcoin as of February 2022 is around $40,000 per coin. Cryptocurrencies have a bright future, who knows, maybe in the future, digital currencies such as cryptocurrencies will be used as a mode of payment rather than physical currencies like the dollar or euros.
In this article, you’ll learn how to start investing with as little as $100, where to invest for beginners, risks, and much more.
The article will cover topics such as:
- How can I start investing with little money?
- What is the best investment for beginners?
- Will I lose money if I invest?
- Is $100 enough to start investing?
There are many ways to start investing your money with just $100, such as
You can stake/vote your tokens, such as USDT, or any Proof-of-Stake cryptocurrency that allows you to earn money with a specific APY/APR, such as 20-100 percent per year. Many centralized exchanges like Binance, Kucoin, Coinbase, Huobi, FTX, and decentralized exchanges like pancakeswap, bscstation, uniswap, and many more offer this kind of staking feature.
You can lend or lend a variety of cryptocurrency assets, as well as low-interest rates, collateral assets, and maximum loanable limits based on market conditions, as well as internal risk management. Many centralized exchanges offer lending features like Binance, Kucoin, Coinbase, Huobi, FTX, and many more.
You can try to start trading once you’re comfortable with the trading techniques/basics you’ve learned on YouTube or through an online course. Try to start buying cryptocurrencies that are legitimate, have a low market cap, a low price, and have future potential; avoid pump and dump cryptocurrencies such as shitcoins or meme coins that have no use cases. Many centralized exchanges offer trading features like Binance, Kucoin, Coinbase, Huobi, FTX, and many more. You may also buy new and low cap coins on Gate.io.
For beginners, the best investment is to purchase cryptocurrencies that are legitimate, have a low market cap, a low price, and have future potential because a low market cap indicates a lot of room for improvement or a rise in the value of the token. For example, a decade ago, bitcoin had a price of $1 per coin with a low market capitalization; but when inflation hit and supply was scarce, the value rose to $68,000 per coin in November 2021.
You may also use trading bots that help you to save time and energy while increasing your trading profits by using the bot trading tool. It’s the same as setting up a 24-hour, all-around bot butler for your trading strategy. You can let the trading bot do the work for you instead of worrying about graphs, patterns, gains, and losses. The trading bot is free, and you can find it on Kucoin.com, Gate.io, and Binance, where grid trading is used.
Of course, everyone loses money on cryptocurrency investments because the value is too volatile and risky. So before you invest all of your money, please do your own research and only invest what you can afford to risk because we know that cryptocurrencies are volatile unlike stocks, unless you only invest on stablecoins like USDT, DAI, USDC, which you can hold to stake or lend to earn profits from interest.
Yes, but it depends on the cryptocurrency you invest in. For example, if you invest in bitcoin, which will be worth $36,000 per coin on February 22, 2022, you will not gain a profit because capital is low.
However, if you purchased a cryptocurrency with a low market cap, a low price, and future potential because a low market cap indicates a lot of room for improvement or a rise in the value of the token, then your $100 investment is sufficient to get started. So, be cautious about where you invest your money, and please do your own research so that your money does not vanish like dust, but rather hold your cryptocurrencies to the moon.