Should you trade or invest in cryptocurrencies?

Let’s see… Should I trade or invest in cryptocurrencies? It’s a topic many people talk about and they can’t decide which one is right for them. What is the best way to win on the long term? How can you make sure that you win on the short term, but also on the long term? There are several differences between these two strategies that you might want to do in the crypto space.


Investing can bring you nice benefits from the long-term crypto appreciation. Choosing strong coins, is almost a safe win, because of the following:

  • Top crypto coins are already consolidated.
  • There is a strong team behind them.
  • They have a validated technology
  • Great mass adoption.

You don’t chase the hype and risk to buy something because of the rumors a new project might get. Advantages in investing on the long term are lack of stress, because you don’t refresh the numbers every day to see price fluctuation and continuously evaluate when to jump in and buy something.

The key to investing in crypto and holding for the long term is to have lots of patience. People want more and more to ride the waves, to buy and sell, to try and beat the market and get profits faster, so that is how he get to…


Trading is about timing the market and beating it, getting profits from buying and selling, on a daily basis or weekly basis. It’s a stressful job, since you have to keep your eyes all the time on different pairs, to see what gives a better trading option and can brings nice profits.

The risk of losing money, as I said before, is very high and most of the traders are losing money on the long term. You need a lot of time and determination to be good at this, and it’s a full time job. Forget about it if you don’t have plenty of time to do it.

You will need to learn:

  • Technical analysis
  • Fundamental analysis
  • Market sentiment
  • Understand indicators, patterns, candlesticks.

It’s a very good thing to learn these things, because you can see how the market might move in the future, but it’s hard to stay in front of the game all the time and to make accurate predictions. Sometimes you are right and you win, sometimes you lose. And there is the emotional impact, when things might not go as you expected, and you can sell into panic, right before price started go up. You sell low, and buy high and you lose money. It’s a risk, but it can bring high returns if done right. Lots of traders just gamble, acting on instinct, which again, can be a good thing, but can also mean losing your coins.

So my personal opinion and strategy is investing on the long term. It’s safer and you can earn much time for discovering new project where you could invest. But you can also try both options in the same time and see what is the best option for you.

Back to Top