As a beginner into the trading business, I'm always scared of putting my money into altcoins but I do hear some people talk about how they make profits altcoins.
So I decided to come here to seek the views of experienced traders on the potentials of altcoins.
Altcoins can indeed bring benefits to investors. Most altcoins were profitable at first, but over time there were many altcoins that could not survive the bear market, most only in the short term. Be more vigilant and patiently analyze and research when investing in new altcoins to avoid more losses.
Buying altcoins during a bear market and selling them during a bull market can be a good strategy for investors. The main thing is to choose new altcoins every new market phase, because old coins die more often. And it is better not to get attached to such projects. Sell and forget. That way you can minimize the risk of losing money.
It's not just buying in a bearish market, one needs to seek for potential alts that could make it through the bearish as well. With every coming day things get refined and new features are added to the alts. Therefore, it is must to go through the white paper and also to see the credibility of the technical team behind the project.
I absolutely agree with you that you need to spend a lot of time to research the project you are interested in in order to avoid scams. But as practice shows, even reliable projects can go bankrupt, such as the recent story with TERRA LUNA. So you can never put all your eggs in one basket and you should always diversify risks.
True besides that sometimes some people are impatient in the process and of course it's very unfortunate,
putting eggs in just one basket will make the risk even greater and it is not recommended,
with risk diversification at least it minimizes risk