Today, when the cryptocurrency market is becoming more mature and boasts hardly believable ROI, more and more traditional finance-minded people are investing in crypto for superior gains. We decided to help newcomers with their first steps and present a quick introduction to the most important aspects of crypto investments.

Every novice investor has a number of questions that immediately arise in his/her head: what to buy, when to buy, and where to buy. We will try to clarify the main points that many beginners are concerned about.

What cryptocurrencies are there?

Launched in 2009 by Satoshi Nakamoto, Bitcoin was the first and the best-known cryptocurrency in the world. But what is cryptocurrency? 

To make the long story short, crypto is a digital currency built on the blockchain, somewhat like a totally decentralized and immutable database where no single person or group has control over the system. This makes crypto decentralized and non-controlled by governments financial instruments that can be used for payments, investments, store of value, etc.

Soon after the appearance of Bitcoin, alternative coins — or altcoins — began to appear. The best-known altcoins that are issued on their own blockchains are possibly Ethereum and Litecoin, but there are many more.

What are tokens?

Tokens, unlike coins, are not based on their own blockchain but are built on top of other blockchains, Ethereum or Tron for example. They are more like company shares or internal currency. Some tokens confirm your right to have a share in the project; others allow for using some ecosystem privileges, for example, to reduce the fees. 

Why do you need tokens if there are coins?

To the investors, tokens sometimes have a greater value than coins. Investing in crypto means investing in the success of some blockchain, whereas token investments are exposed to the success of a single project. Thus, the risk of investing in tokens is usually higher as well as the possible gains. Still, knowing the difference between a crypto coin and a token is paramount.

The investing process, especially when searching for cryptocurrency to invest in, is easier when all your crypto trading activities are presented on a single dashboard. Midas.Investments offers a complete solution for managing and monitoring passive income portfolios, which will be easy and convenient to use even for beginners.

How to choose a cryptocurrency wallet?

Choosing a crypto wallet is one of the main stages in the process of working with digital assets.

There are several main types of crypto wallets, that are presented below.

All these repositories for digital money differ from each other in the level of security and usage opportunities.

There is a myth that online wallets are not secure, because many of them store private keys on their servers, which can easily be hacked, but reliable online wallets do not have servers connected to the web, which protects them from possible attacks. Midas.Investments has multi-layer wallet security that protects your coins.

How and where can you exchange cryptocurrency?

There are several ways of exchanging cryptocurrencies for regular, fiat money (for example, dollars and euros): cryptocurrency trading platforms, cryptocurrency cards, which can be used to withdraw cash from crypto ATM, and the most popular – cryptocurrency exchanger.

The exchange algorithm is simple and clear even for beginners. It is alike on most exchanges: you find an appropriate exchange pair (for example, bitcoin-dollars), create a request form with wallet numbers, and receive your money within 15 minutes. The only drawback of this method is that you can often come across high fees. There are usually not enough reserve funds for popular exchange pairs on the platforms with small fees. For example, the Binance fee reaches 0.1% from each side, and the fee on one of the largest decentralized exchanger Bisq reaches 0.7% for the buyer.

Please note that there are a large number of scammers, so before exchanging money, make sure that you are going to work with a trusted platform. Thoroughly read cryptocurrency exchange reviews for an initial image before dabbling.

If you do not know where to start, just start with Midas.Investments. We have different strategies and shares that will help you to start your journey in crypto market

START INVESTING WITH MIDAS

What do you need to know before investing in crypto markets?

Despite the fact that the cryptocurrency market is very attractive, it is also very risky, therefore caution must be practiced before investing in crypto. Unfortunately, fraud is a common practice in the digital world and cryptocurrency projects are no different. There are several most frequent scams in crypto: fake websites and mobile apps, scamming letters on social media and emails, pyramid schemes, fake cryptocurrencies and others.

Furthermore, provided by the specifics of the market, the prices of cryptocurrencies are very sensitive to events taking place in the world and are therefore very unstable. When you become a crypto investor, you should form your own predictions about the events that influence the market and its further development, because crypto experts can also make mistakes.

To stay updated, you should check out these resources: CoinDesk, CoinTelegraph, TodayOnChain, CoinGecko, CryptoSlate, CoinMarketCap, Bitcointalk. With these resources, you will not only be able to learn more about cryptocurrency but also become a part of the community and take part in conversations with many crypto enthusiasts.

If you want to read more from us, you can follow our blog, where we frequently post on crypto-related subjects.It’s time to get started. Join us and start investing!

The post Ultimate Guide to Investing in Crypto for Beginners appeared first on Midas.Investments. Crypto investment company blog..

Even if you’ve never invested in cryptocurrencies before, now is the time to start. The recent Bitcoin rally to $55k is just the beginning: many coins could grow by 100% in 2021. But how to create a profitable portfolio and minimize the risks? In this article, the analysts of the leading passive investment ecosystem Midas.Investments offer their advice.  

Passive or active investing? 

If you are beginning to invest in crypto in 2021, you have three basic choices: 

1) Passive HODL

HODLing means simply buying and holding crypto in a wallet, waiting for the price to grow. It’s the easiest method, but it’s actually not very passive at all: you have to keep tracking the market so that you don’t miss the moment to sell. Plus, you might have to wait many months to get your first profit.

Stable YAP offers investors the opportunity to invest in a fully managed and automated investment portfolio that offers long-term growth potential as well as a weekly payout in BTC.

Earn 12% APY

2) Active investing: masternodes vs. DeFi protocols

A masternode (MN) is a special blockchain node that ensures network stability and receives regular rewards (between 10% and 50% a year). They are considered one of the best crypto investments for beginners. 

On the other hand, there is a very attractive DeFi sector which was all the rage in 2020. Here, investors can provide liquidity to decentralized protocols, DEXes for example, but it is far too complex and risky due to impermanent losses and thus is not recommended to inexperienced investors.

Most investors choose shared masternodes, since operating an MN yourself is expensive and technically demanding. One of the best-known MN investment platforms is Midas.Investments, where you can choose between dozens of MN coins yielding between 6% and 430% a year. You can invest any amount directly in BTC, and rewards are mostly paid daily.

3) Active trading

The most basic strategy is to buy when an asset is cheap and sell when it appreciates. The advantage is that you can make 20-30% on a single trade, but prepare to spend a lot of time – possibly all your free time. Plus, the risks are high: some say that 95% of beginner traders lose money.

4 best tips from Midas Investments managers

1) Don’t chase the cheapest coins/masternodes. Some MNs are priced between $100 and $1,000, while others are worth $5,000 and more. A balanced beginner portfolio should center around mid-range and high-range coins because they offer a better risk-reward ratio. For instance, the highly-successful Midas YAP product (see below) includes MNs priced between $2,000 and $25,000 and yields around 26% a year. 

2) Don’t dump everything into Bitcoin. Bitcoin will certainly grow further, so you should allocate a part of your portfolio to it. But there are many cheaper, high-potential coins that can appreciate more than Bitcoin in 2021 and yield a higher passive income while you hold them. Examples include Midas (24% APY), Energi (33%), and DIVI (25%).

3) Invest in a ready-made portfolio. If you are not sure how to allocate your funds, it’s better to pick a managed portfolio designed by a professional fund. For example, Midas Investments offers a product called Masternode YAP (Yield Automated Portfolio): a balanced portfolio of 8 coins that pays 16% APY. All the rewards are paid in BTC on a weekly basis. 

4) Try social trading – but be careful. Many newbie traders use social or copy trading, meaning that they automatically copy the orders opened by experienced traders. This is usually a paid service, and the idea is that you risk less by following a pro. The problem with this method is that you don’t know the pro trader’s strategy and you can’t judge their skills. If you lose money – which happens very often in copy trading – you won’t even learn anything.

A few final words

If you want to get the most out of the 2021 crypto rally, it’s better to act now. Head over to https://midas.investments/, register an account in one minute, choose your masternode coin – and enjoy daily rewards starting from tomorrow. When your coins appreciate, you can withdraw and instantly sell them on the built-in Midas Exchange. This will give you the best of active and passive crypto investments with minimal risks. For more information, read guide how to earn crypto interest.

The post Building your first crypto investment portfolio the easy way with Midas.Investments appeared first on Midas.Investments. Crypto investment company blog..

Greetings community,

This article is going to continue the series of the DCA (Dollar Cost Average) investing strategy on various coins listed on the Midas platform. In this piece, we will be looking at e-Sports Betting Coin (ESBC) – a well established project that has been long standing in the industry. Nothing in this article should be considered financial advice, but rather should be taken as educational material on the benefits of the Dollar Cost Averaging strategy. Always do your own research before making any investment, and NEVER invest more than you are willing/able to lose. 

What is Dollar Cost Averaging? 

Dollar Cost Averaging is an investment strategy where an investor makes regular purchases of an asset. The goal of this strategy is to accumulate a position over time and over a variety of price points, resulting in a better overall entry. Since cryptocurrencies – especially low cap Masternode coins – can be quite volatile in price, this strategy reduces the overall risk. This is also known as the constant dollar plan. 

It should be noted that this strategy is not a get rich quick scheme. Rather than basing your trading off of speculation and large price movements, the DCA strategy minimizes risk and is simple enough for inexperienced investors to use. 

In this example, we will be looking at a DCA strategy applied on ESBC over a period of one year. For the purpose of showing the benefit of PoS and Masternode coins, all coins purchased for this example will be held in a Midas Instant Share. 

Our Application of the Strategy

For this example, we will take price “snapshots” of ESBC on the first day of each month, starting in May 2019 and ending in May 2020. This will give us a total of 13 price points. Our hypothetical investor will be making a regular purchase of ESBC coins in the amount of $100 on the first day of every month – regardless of the price. We will examine the results on two alternative versions of the strategy: one with reward reinvestment, and one with selling rewards monthly. 

Now we will take a look at the price of ESBC from May 2019 – May 2020. 

In the above graph, price snapshots were taken on the first day of each month from May 2019 – May 2020. The value of ESBC was in steady decline for most of the year, reaching a low of $.0133 in April 2020 before rising sharply to $.053 in May. This rise represents an increase of nearly 400% in value. 

Backtest

• Total Capital Invested: $1300
• May 2020 balance (USD, Reinvesting): $2832.12
• May 2020 balance (USD, selling rewards): $2360.49
• *Dividend: $256.55

*NOTE: The “DIVIDEND” portion only applies to the “selling rewards” plan. The total portfolio value of this plan can be determined by adding the balance and dividend. 

Below is a graph of portfolio value per month vs. investment amount: 

The blue bar represents the total amount invested, and the red represents the ESBC portfolio value (with reward reinvestment). For the first few months of the strategy, the value was slightly in profit, but as ESBC declined in value, the portfolio was in a loss. Then in April, ESBC price skyrocketed by 400% to over $.05! Compounded by the reinvesting rewards and lower average-entry from the DCA strategy, the portfolio value is now very much in profit. 

At the end of the one-year backtest, the DCA strategy with reward reinvestment yielded a 217.8% return on investment. 

Alternatively, if you choose to sell rewards on a monthly basis, the strategy yields the following result: 

Here the red bar represents invested capital, the blue bar represents portfolio value, and the yellow bar represents the dividend earned from selling rewards. 

The total return of ESBC holding and sold dividend is $2617.04, representing a 201.3% return on investment. This is slightly lower than the reinvestment version of the strategy, but selling rewards reduces the overall volatility of the portfolio. 

Both strategies have proved out to be very profitable, but the reinvestment strategy shows the power of Midas Instant Shares and how compound interest magnifies portfolio gains. 

We will continue our DCA analysis on various coins and coin portfolios available on the Midas platform in the coming days/weeks. Stay tuned for more updates! 

The post ESBC Investing Strategy appeared first on Midas.Investments. Crypto investment company blog..

Dear Midas Community,

This is our weekly update on Bitcoin price movements. We as a team feel that these insights are valuable to the community, as the value fluctuations of Bitcoin greatly affect altcoin markets. In this series of TA articles, we will conduct both price and fundamental analysis to determine an overall trend for BTC. 

Price Analysis

Once again we will observe the movements on a large (4H) candle timeframe. We can see that over the past few weeks, Bitcoin has been consolidating between the 9-10k mark, with breaks out of this range quickly correcting. 

A new wedge is forming on the chart, with support being repeatedly tested in the $8800 zone. This is a major support zone, which has survived multiple tests. The lower highs suggest that this zone will continue consolidating until a direction is determined. 

On the shorter-term 30m candle chart, things are looking decently bullish with a nice bounce from the $8800 support zone. The moving averages are looking good as well, with the 100MA crossing the 200MA. This bullish move would be confirmed with high volume, which has not yet happened. 

Investor Sentiment

Investor sentiment is a key indicator for the market direction. As the renowned investor Warren Buffet once said, “Be fearful when others are greedy, be greedy when others are fearful.” The key here is to go against the sentiment. When times are fearful, it presents a good buying opportunity. Likewise, when investors are greedy, the market is likely due for a correction. 

The sentiment index has been in the low 40s for quite some time now, showing investors are tepid about price prospects. Nonetheless, the market has not had any significant moves in either direction, so the index has stalled out in this range. 

Fundamentals 

Miners revenue continues to hold near yearly lows. Bitcoin miners have certainly taken a large decrease in earnings following Bitcoin’s block halving. These yearly lows have not broken significantly below $7M, creating a nice support zone after testing several times. The only way that miners are going to increase their revenue is by refusing to sell at this valuation. 

Analysis

The $10k psychological resistance continues to evade Bitcoin, and the price is now consolidating yet again. After a failed attempt to break support last week, Bitcoin is in indecisive territory. On a short timeframe, technical indicators look neutral to bullish, but on the larger time frames, they look neutral to bearish. The best move now would be to wait for entries near the support zone, use tight stop losses, and exercise extra caution until Bitcoin determines a decisive direction. 

Always do your own research before making an investment decision. 

The post Bitcoin Price Analysis – Week of June 28 appeared first on Midas.Investments. Crypto investment company blog..

Hello Midas Community! 

We will continue with our analysis of Bitcoin price movements, as it greatly affects the altcoin markets. In this series of TA, we will conduct some TA, and look at overall trends and fundamentals. Let’s get started!

Price Analysis

Here we see the macro price movements of Bitcoin vs USD on a 4H timeframe. Ever since the large decline in mid-March, Bitcoin rose steadily before beginning a consolidation pattern between 9-10k. 

If we take a closer (zoomed in) view of the chart, we see that a wedge consolidation pattern was forming, as depicted in the above picture by the red lines. These lines are determined by the candle “wicks”, which show a tightening window between support and resistance. However, the last few candles show an upward breakout from this zone. 

On lower timeframes, Bitcoin is showing very bullish activity, with the 100 MA line crossing the 200 MA line, before an upward surge in value. On higher (4H) timeframes, the RSI is currently 66, showing more room for positive upside. 

Investor Sentiment

One of our key indicators is the Fear/Greed index, which we use to predict overall market direction. Usually when the dial reads “fear” it indicates a good time to buy, and “greed” is a good time to sell. Since last week the price was declining, the historical values show slight “fear” – indicating that a move upward was likely. We are seeing this upward price movement now. After today’s move, it is likely that the index value will go up, but generally this remains a good buying opportunity. 

Fundamentals

Last week, at time of writing there was a hash rate of approx. 112m TH/s. Today, that number has fallen to 105m TH/s. Since Bitcoin’s price is rising currently, expect the hash rate to follow suit. 

After the block halving, the miners revenue is near its yearly low. In order for miners to regain their revenue, the price of Bitcoin must rise. 

Analysis

Since miners are not making as much money post-halving, a convincing and sustained break above the $10k level will be explosive. Nonetheless, the $10k mark has been an extremely strong resistance, and the price has failed to hold above this key level. Technical indicators as well as investor sentiment are all bullish, and I expect the price to retest the $10k levels in the coming days. Key support levels are: $9.2k, 8.8k. Key resistances are $9.6k, 9.8k, and 10.2k. 

Always do your own research before making an investment decision. 

The post Bitcoin Price Analysis – Week of June 21 appeared first on Midas.Investments. Crypto investment company blog..

We will be continuing our series on the DCA investment strategy on various coins listed on the Midas platform. Be sure to also check out our analysis on DIVI and Midas!

In this piece, we will be looking at Telos coin. As we have stated before, this article is intended only for educational purposes on the benefit of dollar cost averaging, and should not be taken as financial advice. Always do your own research and never invest more than you are willing to lose. 

Before we get started, it’s important to ask the question: What is dollar cost averaging? This is a strategy where investors purchase an asset in increments over time. Rather than making one large purchase all at once, averaging in your position reduces risk caused by volatile markets. This is not a get rich quick scheme. Instead of short term trades based off price speculation, the DCA strategy is one that investors use to create good long-term hold positions. 

In this example, we will be looking at the DCA strategy applied to Telos over a period of one year. For the purpose of showing the benefit of PoS and Masternode coins – as well as the advantages of the Midas platform – all purchased coins for this example will be held in Midas Instant Shares. 

Our Application of the Strategy: 

For the purposes of calculation, price snapshots will be taken for Telos on the first day of each month, starting on May 1, 2019 and ending on May 1, 2020. This gives us a total of 13 price points. Our hypothetical investor will purchase $100 worth of Telos coins on the first day of each month, regardless of the price, for a total investment of $1300. We will then examine the results of two different versions of the DCA strategy: one with reward reinvestment and one with selling rewards monthly. 

Backtest: 

• Total Capital Invested: $1300
• May 2020 Balance (USD, Reinvesting): $3130.65
• May 2020 Balance (USD, Selling Rewards): $2262.44
• *Dividend: $758.96
  

*NOTE: The “DIVIDEND” portion only applies to the “selling rewards” plan. The total portfolio value of this plan can be determined by adding the balance and dividend. 

Below is a graph of portfolio value per month vs. investment amount: 

In this chart, the blue bar represents the total invested capital, and the red bar represents the portfolio value of Telos holding (with reward reinvestment). As you can see, the portfolio is in profit for the entire life of the strategy. Actually, the portfolio peaked in value on Mar 1, with a value of $4231.37, before declining with the decline in value of Telos coins. Including reward reinvestment, this strategy ends with a value of $3130.65, representing a 240.8% return on investment! Send the word “win-win” to the Telegram chat and get extra $10!

The alternative strategy of DCA with selling rewards yields the following result: 

Once again, the blue bar represents invested capital and the red represents portfolio value, but now the yellow bar represents the dividend created by selling rewards each month. 

The total return of Telos holding and sold dividend combined is $3021.39, representing a total ROI of 232.4%. This number is only slightly less than the return from reinvestment, and experiences much less volatility in the later months due to the stability of sold rewards. 

Yet again we see that both versions of the DCA strategy are quite profitable! We will be continuing the DCA analysis on various coins and portfolios available on the Midas platform in the coming days/weeks. Stay tuned for more updates! 

The post TELOS Investing Strategy appeared first on Midas.Investments. Crypto investment company blog..

Greetings Midas Community,

As always, we are keeping our eyes on the price movements of Bitcoin. Since the inception of cryptocurrency, the crypto market moves as Bitcoin moves. In these articles we will make weekly technical analysis, looking at trends and fundamentals.

Here we see Bitcoin’s price action on a large-scale 4H time frame. Since the big drop in mid-March, Bitcoin has been steadily rising against USD.

Until recently, the blue trendline was quite strong, and had been tested multiple times. However after several failed attempts to sustain a break above the $10k resistance level, the trend changed to test the local support. At time of writing, the local support of $8800 held, and the price has bounced back into the $9400 zone. If this support were to break, more support will be found at $8k and then the $6k zone. 

Zooming in on a 30 minute candle chart shows that the moving averages are bearish, but with a bullish divergence. After finding support, the current bounce is moving to challenge the short term bear trend. 

The technicals vary greatly depending on the timeframe. On the short term 30m chart, RSI is showing as overbought – indicating an imminent pullback. On the longer-term 4H and 1D charts, the RSI is neutral. 

Investor Sentiment

Like we always say, Investor Sentiment is a critical component of proper TA. In general, when the index shows  “Fear” it represents a good buying opportunity. Likewise, “greed” indicates a good selling opportunity. This index is updated once daily, so the drop to $8800 may not be fully factored into the index yet. However, the index is still showing slight fear, which might be a buying opportunity for long term investors. (This message will allow you to add an extra 10 dollars to your address if you are the first to send the words “a penny saved is a penny gained.” to the chat.)

Fundamentals

In our analysis from June 7, the TH/s read out around 112. Since our last analysis, the hash rate rose to 117 before returning to the 112 level. Even still, the network hash remains near all time high levels. 

Analysis

Last week we predicted that if Bitcoin failed to hold above the $10k level, the trend line would be broken and the price would test support levels. That is exactly what happened, leading to the recent correction to $8800. The recent spike to ~$9400 could be a good shorting opportunity for traders with a higher risk tolerance, with a target entry of $9450 – $9550. Long term, Bitcoin remains bullish, but traders should exercise extra caution until a clear direction is confirmed.

Always do your own research before making an investment decision. 

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