

5 key tips that novices must know when investing in cryptocurrencies (nanny-level teaching)
Jul 24, 2025 pm 09:45 PM1. Choose a safe and reliable trading platform, give priority to leading platforms such as Binance, Ouyi, Huobi, and Gate.io to ensure that two-factor verification is enabled and familiar with the operating process; 2. Establish a correct mentality, establish a risk awareness, reject the fantasy of getting rich, and adhere to independent research (DYOR); 3. Start with mainstream assets such as Bitcoin (BTC) and Ethereum (ETH), understand their value basis, and treat high-risk altcoins with caution; 4. Learn basic chart analysis, master the identification of K-line charts, moving averages, trading volume and support resistance levels; 5. Implement risk management, use stop-loss orders, moderately diversify investment, and adopt batch position building strategies to reduce risks; always take safety first and continuous learning as the core principles, maintain rationality and patience, and gradually build your own digital asset investment system.
1. Choose a safe and reliable trading platform
1. Priority to choosing top platforms : For novices, the mainstream large-scale international platforms are a safer choice. For example, Binance , Ouyiok , Huobi HTX and Gate.io gates , etc., they usually have a huge user base, deep transaction depth and a more complete security risk control system.
2. Pay attention to security functions : Understand the security measures provided by the platform, such as two-factor authentication (2FA), device management, etc., and ensure that they are all enabled to strengthen the defense line for your account security.
3. Familiar with platform operations : Before conducting large-scale transactions, first use small funds to familiarize yourself with the platform's recharge, transaction and withdrawal processes to avoid unnecessary losses caused by operational errors.
2. Establish correct cognition and mentality
1. Risk awareness first : Never invest funds that exceed your affordable loss range. Consider the money investing in digital assets as "risk capital" and plan for the worst.
2. Reject the fantasy of getting rich overnight : Although there are many myths of making wealth circulating in the market, this is not abnormal. Think of this as a long-term learning and investment process, rather than a short-term opportunity.
3. Adhere to independent research (DYOR) : DYOR, or "Do Your Own Research", is the first rule in the field of encryption. Don’t blindly believe in other people’s investment advice, learn to review project white papers, team backgrounds and community dynamics by yourself, and build your own judgment.
3. Start with mainstream assets
1. Focus on BTC and ETH : Bitcoin ( BTC ) and Ethereum ( ETH ) are the two cornerstones of the market. They have the highest market value, the best liquidity, and the richest relevant information and research materials, making them very suitable as a starting point for beginners and learning.
2. Understand their value : Take the time to understand the technology, history and value propositions behind them. Understanding what you are investing is far more important than simply chasing price rise and fall.
3. Be cautious about altcoins : Although "altcoins" or "Meme coins" with smaller market value and lower popularity may bring amazing short-term returns, their risks are also extremely high, and cases of price zero are common. Care should be maintained until there is no sufficient research and experience.
4. Graphic analysis of basic learning
1. Understand the K-line chart : Learn to understand the K-line chart, and understand the meanings of the opening price, closing price, highest price and lowest price.
2. Understand key indicators : Be familiar with several commonly used technical indicators, such as moving average (MA), which can help you judge short-term and long-term price trends; and trading volume (Volume), which can reflect market activity and the intensity of trends.
3. Identify support and resistance : Learn to identify the support level in the price chart (the level where the price may obtain support when the price falls) and the resistance level (the level where the price may encounter pressure when the price rises), which has some reference value for setting the buying and selling points.
5. Master risk management strategies
1. Use stop loss orders : Learn to set stop loss (Stop-Loss). This is a preset order that is automatically sold when the price drops to a preset point, thus keeping the loss within an acceptable range.
2. Moderately diversified : Do not invest all funds into a single asset. Even if you only invest in mainstream assets in the early stage, you can consider allocating funds to BTC and ETH in a certain proportion to diversify the non-systemic risks of a single asset.
3. Build positions in batches : Avoid investing all funds at one time. Using the strategy of buying in batches (fixed investment or grid trading) can smooth costs to a certain extent and reduce the risks caused by buying in one-time at a price high.
Editor's suggestion
For newcomers who have just entered the web3 field, always make security first and continuous learning your core action guide. The market will always exist, and opportunities will always come again, but the safety of the principal is the top priority. Don’t be swayed by short-term market fanaticism (FOMO) emotions, stay patient, start from the basics, and gradually establish your own knowledge system and trading system. The digital world is far more than transactions. As you understand it further, there are a wider field in the future waiting for you to explore.
The above is the detailed content of 5 key tips that novices must know when investing in cryptocurrencies (nanny-level teaching). For more information, please follow other related articles on the PHP Chinese website!

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