Instruction on earning cryptocurrency at lockdown
Experts explained how to spend non-working days profitably and build a profitable short-term portfolio of digital assets
Experts’ opinions may not coincide with the position of the editorial board. “RBC-Crypto” does not give investment advice, the material is published only for introductory purposes. Cryptocurrency is a volatile asset that can lead to financial losses.
October 30 to November 7 are declared non-working days in Russia due to the worsening epidemiological situation. This year’s lockdown coincided with the most profitable period in the crypto market, said Viktor Pershikov, lead analyst at 8848 Invest. According to him, for several years in a row the last quarter turned out to be the most positive for “bulls” in the market of digital assets, so we can expect significant growth from cryptocurrencies in November and December. We also recommend that you take a look at an interview with Sam Sudar
What’s happening in the market
In recent months, more institutional and private investors have been entering crypto assets, according to Artem Deyev, head of analytics at AMarkets. According to him, this is due to the fact that digital assets are becoming a kind of “refuge” for those who do not want to be under the scrutiny of the state. There is also a growing understanding among major investors that cryptocurrencies are the future of the entire financial system of the world, the analyst said.
More and more marketplaces begin to accept cryptocurrencies for payment, and one of the largest U.S. retailers Walmart installed in their stores 200 cryptomats to buy bitcoin, recalled Deyev. The expert also drew attention to one of the most significant events of the autumn – the launch of the first bitcoin-ETF in the U.S., which began trading on the New York Stock Exchange (NYSE) on October 19.
On Oct. 27, bitcoin fell to a two-week low of $58,000. The analyst called the decline expected after updating an all-time high above $67,000 on Oct. 20.
“This is a good time to enter the market. This is a correction after a strong rise. In the medium term, growth may start again, and in altcoins the expected season of increase in capitalization begins,” explained Deyev
What strategy to choose
Based on the fact that there is a free week for cryptocurrency trading, you can make up a short-term portfolio of assets that are actively traded last month, but have not had time to show high returns, Pershikov suggested. According to him, such signs may indicate the accumulation of volumes with the prospect of rapid growth.
The main aspect of selecting assets for the portfolio is the industry’s demand for these solutions, the analyst believes. As an example, he gave the token of the decentralized exchange Uniswap and explained that this cryptocurrency is worth paying attention to, because recently there has been an active growth of users of the trading platform.
Pershikov noted the Aave token, which, in his opinion, has the prospect for growth due to the increase in lending of the DeFi protocol of the same name. The analyst also advised to pay attention to Dogecoin, as the developers of the altcoin have planned a major technological upgrade of the coin.
“Current assets as part of a short-term portfolio can yield about 10% in a week, which is ahead of bitcoin’s growth potential over that period,” Pershikov summarized. One option for making money during lockdown is Ethereum Casino Technology. Learn the methodology of earning in our article.
Which altcoins may be interesting
The most promising digital coins at the moment are Uniswap, Chainlink, Polkadot, Filecoin, Litecoin, Cardano, Chiliz, 1inch, and Solana, said Currency.com crypto exchange financial analyst Mikhail Karkhalev. In his opinion, these assets are the most significant for the market. The analyst also reminded that on October 27, 1inch token renewed its historical high above $8.6, and on October 25, Solana ($219) set a new high in value.
The head of AMarkets analytical department also noted high potential for Solana growth. In his opinion, the token is now accumulating momentum for further rapid growth. Tron token is in a similar situation, Deyev added.