Top cryptocurrency investing concepts to watch in 2022

In 2021, the cryptocurrency had a good year. While era-defining events drove the assets into a euphoric state, the start of 2022 was everything but happy. Even the most promising crypto players started to lose momentum as the market stayed sideways. On the other hand, the range-bound market had minimal impact on investor sentiment. Leading platforms have seen a lot of activity in the previous week or two. 2022 is shaping up to be a watershed year for much-anticipated crypto adoption, with new listings at the forefront.

• Take into account the possibility of change

Experts believe that the present crypto market is seeing a major pump. And when investors start cashing out their positions, this tendency might lead to a lot of volatility in the following months. And, given the prevalence of ‘Pump-and-Dump’ schemes in the crypto arena, there may be a period of cooling or lengthy consolidation. That, however, is not a cause for concern. If you’re a crypto investor, no.

• DYOR on a regular basis

You must ‘Do-Your-Own-Research’ in order for these to work in 2022. Crypto is a queer space with a diverse variety of possibilities depending on our unpredictability as individuals. As a consequence, each technical nugget, fundamental insight, and other nugget will only deliver a little advantage rather than a full solution to your investing problems.

• Return to your roots

Ethereum and Bitcoin are more traditional crypto kingpins. Miner capacity, transactional effectiveness, blockchain compatibility, and other features that make these assets trustworthy financial instruments are the emphasis of these assets. If you’re unsure about new cryptocurrencies and their alleged use cases as an investor, sticking to the script and examining these tried-and-true crypto players looks like a preferable option.

• Don’t get caught up in the excitement

Do you desire to follow an influencer just for their popular cryptocurrency feed in 2022? That’s precisely what you ‘shouldn’t’ do if you want to make it big in 2022 as an investor. When the whole globe is focused on utilities in 2022, crypto mania or even peddling won’t get you very far. Shilling refers to the use of unspoken advertising or personal recommendations to generate interest in a certain item.

• Do not purchase the dip ‘always’

As an investor, you must have been purchasing dips for quite some time. Any decrease in 2022 will be unsustainable to buy, with the market awash with anticipation of a cooldown and contraction. To be cautious, focus on value-buying only if the marketplace or the crypto-asset in question starts a fresh uptrend.

Final Thoughts

While 2021 was the year of crypto domination, 2022 will be the year of redefining ‘crypto resilience.’ Furthermore, as an investor, you should spend the bulk of your time learning throughout the year. Regardless of speculative ups and downs, digital assets will remain popular in 2022. ‘The Trend is Your Friend,’ as the old adage goes, will still hold true for investors.

Disclaimer: This blog is exclusively for educational purposes and does not provide any advice/tips on investment or recommend buying and selling any stock.

Angel One Limited does not endorse investment and trade in cryptocurrencies. This article is only for education and information purposes. Discuss with your investment advisor before making such risky calls.