Cryptocurrency

Investing in the Best Cryptocurrency 2017

(Last Updated On: August 26, 2017)

In this post, I’ll tell you steps to take to invest in cryptocurrency in 2017 or during any season. I’m going to be explanatory and not speak gibberish, so let’s dive in.

how to invest in cryptocurrency

Meaning of Cryptocurrency: Like I explained in this post, A cryptocurrency is a medium of exchange like normal currencies such as USD but designed for the purpose of exchanging digital information through a process made possible by certain principles of cryptography.  If that wasn’t so straight to the point for you then take this one instead, it is a digital currency designed to work as a medium of exchange using encryption techniques to secure transactions and creation of additional units of the currency. A lot better right?

3 things to look out for before Investing in Cryptocurrency in 2017

Here are the main features of any cryptocurrency you should consider;

 

Characteristics of cryptocurrency

Recommended: 8 sites you can Get Bitcoins for Free

1. Market Capitalization and Daily Trading Volume
A cryptocurrency’s market capitalization is the total worth of all coins currently in circulation. A high market capitalization can indicate a high value per coin or simply a lot of available coins. Perhaps more important than market capitalization is daily trading volume: the value of the coins that exchange hands every day. A high daily trading volume relative to the market capitalization indicates a healthy economy with many transactions.

2. Verification Method
One of the major differences between cryptocurrencies is their verification method. The oldest and most common method is called proof of work. To gain the right to verify a transaction, a computer has to expend time and energy solving a difficult math problem. The trouble with this method is that it requires a massive amount of energy to operate. Proof-of-stake systems attempt to solve this problem by letting the users with the largest share of the currency verify the transactions. These systems require less processing power to operate and claim faster transaction speeds, but concern over security means that few coins use an entirely proof-of-stake-based system.

3. Retailer Acceptance
A cryptocurrency isn’t of much use if you can’t buy anything with it. That’s why it’s important to know who accepts a currency before you invest in it. A few cryptocurrencies are widely accepted, even boasting partnerships with major retailers. Most, however, have more limited acceptance, and some can only be exchanged for other cryptocurrencies. Some coins simply aren’t designed to be exchanged for goods and are built for other purposes.

Source: tontenreviews

How to Use the Market Trends to Know the Right Cryptocurrency to Invest in 2017

We’re going to use Coinmarketcap, you are free to use other market cap charts and rankings.

  • Now, to see the cryptocurrencies that are currently trending, simply click on “Trending” then select “Gainers and Losers
trending cryptocurrencies

Trending

  • When the page loads, a list of the biggest gainers 1hour,24hours and 7days will be displayed. So better analysis, click on 24h and go through the list of coins, then click on 7days and also go through the list of coins. For instance, from the image below, it can be observed that “Flycoin” which was added recently has been doing well on the 24h list and 7days list.
flycoin cryptocurrency gainer

Flycoin as an example

One can decide to buy Flycoin from the available markets and exchange it for bitcoin as Flycoin grows in value.

How to Know the Available Markets Trading any Cryptocurrency

Still using Coinmarketcap, the markets currently trading a particular cryptocurrency can be seen/known by clicking on the said Currency then after that – click on Markets.  As shown below…

flycoin markets - cryptocurrency

Flycoin markets

NOTE: Bitcoin is still king, there’s a signup box just below this article, if you’re interested in learning more from me about cryptocurrency, then fill it and we’ll be in touch.


Download My Dirty Little Bitcoin Secrets ebook

If you liked this article, follow us on Twitter @xtrahola and make sure to subscribe to our newsletter to receive the latest bitcoin, technology news and make money online tips.

About the author

Joseph Ibezim

Joseph is an Internet scientist by mind and founder of Xtrahola, Inc. Lover of all things tech, and general geekery.

Leave a Reply

5 Comments on "Investing in the Best Cryptocurrency 2017"

avatar
Pius Odejayi
Guest

Hello Joseph, You’ve talked so much about Bitcoin and it really sounded interesting. My first question; is the fund transferable to any local account? Please reply.

Thanks and best regards.

Joseph Ibezim
Guest

Yes, if you have bitcoin and wish to exchange to your local currency, you can sell it at InstantGold.ng,they are a trusted bitcoin exchanger.

The funds will be transferred to your local account within some hours.

Hope this answers your question,let me know?

Vigo
Guest

It’s a soap bubble

Paul Doe
Guest

I would recommend investing in the classic forex market. There are a lot of brokers in the forex market https://topbrokers.com/ who have proven themselves very well. Crypto currency is on the rise, but it is not stable.

Simon
Guest

How can i buy flycoin

wpDiscuz