Cryptocurrency Investing for Dummies

427 Pages·2019·5.28 MB·English

by  Ta/Tk Dummies

Cryptocurrency Investing For Dummies®
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Copyright © 2019 by John Wiley & Sons, Inc., Hoboken, New Jersey
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Library of Congress Control Number: 2019930733
ISBN 978-1-119-53303-0 (pbk); ISBN 978-1-119-53305-4 (ebk); ISBN 978-
1-119-53307-8 (ebk)
Cryptocurrency Investing For
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Table of Contents
Cover
Introduction
About This Book
Foolish Assumptions
Icons Used in This Book
Beyond the Book
Where to Go from Here
Part 1: Getting Started with Cryptocurrency Investing
Chapter 1: What Is a Cryptocurrency?
Beginning with the Basics of Cryptocurrencies
Gearing Up to Make Transactions
Making a Plan Before You Jump In
Chapter 2: Why Invest in Cryptocurrencies?
Diversifying from Traditional Investments
Gaining Capital Appreciation
Increasing Income Potential
Fueling Ideological Empowerment
Chapter 3: Recognizing the Risks of Cryptocurrencies
Reviewing Cryptocurrency Returns
Risk: Flipping the Other Side of the Coin
Glimpsing Cryptocurrencies’ Reward versus Risk
Digging into Different Kinds of Risk
Exploring Risk Management Methods
Chapter 4: Looking Under the Hood: Blockchain
Technology
Breaking Down Blockchain Technology Basics
Perusing Problems with Blockchain
What Can Blockchain Be Used for?
Chapter 5: How Cryptocurrencies Work
Explaining Basic Terms in the Cryptocurrency Process
Cruising through Other Important Crypto Concepts
Stick a Fork in It: Digging into Cryptocurrency Forks
Part 2: The Fundamentals of Investing in Cryptos
Chapter 6: Cryptocurrency Exchanges and Brokers
Distinguishing Crypto Exchanges
Considering Brokers
Looking at Other Methods for Buying Cryptos
Chapter 7: Using Cryptocurrency Wallets
Defining Cryptocurrency Wallets
Looking at Different Types of Wallets
Choosing a Crypto Wallet
Keeping Your Wallet Secure
Chapter 8: Different Types of Cryptocurrencies
Celebrating Celebrity Cryptocurrencies by Market Cap
Cryptocurrencies by Category
Chapter 9: Identifying Top Performing Cryptocurrencies
Introducing the Invest Diva Diamond Analysis
Using Fundamental Analysis to Pick Cryptocurrencies
Choosing Cryptos with Sentimental Analysis
Trying Technical Analysis to Select Cryptos
Chapter 10: Diversification in Cryptocurrencies
Breaking Down Some Basics on Diversification
Using Cryptocurrencies in Long-Term Diversification
Tackling Diversification in Short-Term Trades
Part 3: Alternatives to Cryptos
Chapter 11: Getting Ahead of the Crowd: Investing in
ICOs
Understanding the Basics of Initial Coin Offerings
Investing in an ICO
So You Want to Start an ICO: Launching an ICO Yourself
Chapter 12: Cryptocurrency Mining
Understanding How Mining Works in a Nutshell
Discovering What You Need to Mine
Chapter 13: Stocks and Exchange Traded Funds with
Cryptocurrency Exposure
Looking for Stocks with Exposure to Cryptos
Considering Cryptocurrency and Blockchain ETFs
Chapter 14: Cryptocurrency Futures and Options
Focusing on the Fundamentals of Futures
Introducing the Basics of Options
Understanding Cryptocurrency Derivatives Trading
Chapter 15: Dealing with the Dollar and Other Fiat
Currencies
Considering the World’s Reserve Currency: The U.S. Dollar
Examining the Euro and Other Major Currencies
Comparing the Forex Market and the Crypto Market
Part 4: Essential Crypto Strategies and Tactics
Chapter 16: Using Technical Analysis
Beginning with the Basics of Technical Analysis
Spotting the Key Levels
Picking Out Patterns on a Chart
Smoothing Charts Out with Moving Averages
Chapter 17: Short-Term Trading Strategies
Distinguishing Three Short-Term Time Frames
Trying Short-Term Analysis Methods
Managing Short-Term Trading Risk
Chapter 18: Long-Term Investing Strategies
Time Is on Your Side: Getting Started with Long-Term Investing
Creating Long-Term Strategies
Considering Limit and Stop-Loss Orders
Chapter 19: Minimizing Losses and Maximizing Gains
Keeping the Losses Down
Letting the Profits Rise
Chapter 20: Using Ichimoku and Fibonacci Techniques
Getting a Handle on Ichimoku Kinko Hyo
Introducing Fibonacci Retracement Levels
Combining Ichimoku and Fibonacci Techniques
Chapter 21: Taxes and Cryptocurrencies
Distinguishing Three Types of Crypto Taxes
Minimizing Your Crypto Taxes
Evaluating Taxable Income from Crypto Transactions
Part 5: The Part of Tens
Chapter 22: Ten Considerations Before Getting Started
with Cryptocurrencies
Don’t Get Too Excited
Measure Your Risk Tolerance
Protect Your Crypto Wallet
Find the Best Crypto Exchange/Broker for You
Determine Whether You Should Invest Short Term or Long Term
Start Small
Follow the Cause
Mull Over Mining
Look into Investing in Other Assets First
Get a Support Group
Chapter 23: Ten Possible Moves When Your Crypto
Portfolio Is Down
Do Nothing
Reevaluate Your Risk Tolerance
Look at the Big Picture
Research the Fundamental Reasons the Crypto Is Down
Consider Hedging
Diversify within Crypto Assets
Diversify across Other Financial Assets
Exchange with a Better Crypto
Think about Adding to Your Current Position
Contemplate Cutting Losses
Chapter 24: Ten Challenges and Opportunities for
Crypto Investors
New Cryptos on the Block
Finding Economic Data
Regulations
Hackers
Bubbles
A Down Market
New Currencies and Projects
Diversification
Falling in Love with a Crypto
Using Invest Diva Diamond Analysis
Part 6: Appendixes
Appendix A: Resources for Cryptocurrency Investors
Exploring Top Cryptocurrencies
Cryptocurrency Information Websites
Cryptocurrency Marketplaces and Wallets
Charting and Tax Resources
Appendix B: Resources for Personal Portfolio
Management
Making Your Money Work for You MasterClass
Taking a Look at Textual Investment Resources
Index
About the Author