Entrepreneur on the Road: Useful Tips to Manage Your Crypto Portfolio
If you browse the internet long enough on this topic, you will notice that many people try to ace the technical aspects of managing their crypto portfolio. But when you’re a digital nomad like me, that’s a surefire way to lose focus on your goals.
Instead, a better approach is to have a few solid principles that guide you along your crypto journey.
Since I’ve been traveling and trading crypto for a while now, I thought I’d put together a handful of tips that have helped me with trading crypto on the go.
I hope these suggestions will serve as inspiration, so you can manage your crypto portfolio safely and profitably. Let’s dive in!
Make Sure You Know Your Why
You’ve decided to be a digital nomad who enjoys the world living off crypto, but you need to have an honest moment with yourself and understand why you want it.
- Is it simply reducing taxes?
- Casually globetrotting for a while?
- Getting a second passport?
- Securing a second residency?
- Making other types of investments around the world?
Is it because everyone seems to be making an insane amount of money out of it? Perhaps you want to create more freedom, gain financial sovereignty, or escape from the predictability of a ‘secure’ job and life in your home country? Why did you choose trading cryptos as a means of achieving those goals?
Once your why is crystal clear, it will be the thing that keeps you motivated and focused while on the road. It also helps you ensure that your trading strategies align with your purpose and risk tolerance.
Have an Investment Plan
The idea is simple — decide what you want to achieve with your crypto portfolio, set up an investment plan, and stick to it. For sure, you want to explore the new place you live in, but you need to have a trading schedule. Staying organized will keep your goals alive and well.
If you didn’t know this by now, there are four strategies that people go by when managing their crypto portfolios:
- Hodling — you buy one or more cryptos and hold them for a long time
- Dollar Cost Averaging — you set a budget and a schedule, so you know how much you can afford to invest
- Swing trading — you try to anticipate the trends and profit from price changes over a short or medium time frame
- Day trading — you buy and sell on the same day
Regardless of the investment plan you go for, the stress increases from the top to the bottom of the previous list, while the chances of being successful decrease.
Monitor Your Investment and Secure It
There are many options out there to store your cryptos. Before you decide to go with one of them, there are a few things to consider:
- If you want to store cryptos short-term and make use of Stop-Losses, then exchanges may be the way to go. Be aware that they are the least secure.
- If you want to store cryptos long-term, cold storage wallets are a great option. These take your cryptos offline, and you don’t have to worry about their safety.
- If you want to trade them frequently and want both convenience and security, then download the official wallet of the crypto you want to store.
There are different pros and cons to the wallets you can choose from. Experiment for yourself and see what suits you best. Learn more about this topic here.
Another crucial app you need in your crypto journey is a crypto portfolio tracking app. This one is a must for tracking your investment, so you know at all times how your portfolio is performing.
Make Education a Priority
Investing time in your crypto education and knowing where to get trusted information from is crucial for your success. Websites like CoinGecko do a great job at covering everything you need to know, just be mindful of the term “buy the rumor, sell the news” in crypto.
So instead of falling into the temptation of chasing shiny things you’ve read on Twitter (no matter if it’s your best buddy or Elon Musk), you base your decisions on quality information rather than random sensationalistic news. Training your discipline in this area helps a lot when it comes to managing your crypto portfolio.
Also, with so many tokens and coins out there, before you decide to buy, make sure you understand their mechanics. For example, some people don’t buy Bitcoin thinking they can’t afford it, not knowing that they can buy a fraction of it.
Education is an integral part of the trading crypto experience. The more you know the pros and cons of what you are buying, the more comfortable you become.
Do Your Best to Remove Emotions
Many emotions could cloud your thoughts when trading cryptos:
- Getting attached to potential gains or losses
- Fearing the unknown and doubting (FUD)
- Experiencing the fear of missing out (FOMO)
Since you are traveling and enjoying life along the way, you may be tired, lonely, hungry, or annoyed after missing a flight. When you couple these with listening to some flashy news about the crypto world or a strongly opinionated new acquaintance, rash decisions can be taken. Catch yourself when in a sub-optimal state of mind, so you don’t make mistakes that you will regret later.
Keep an Eye on What’s Going on Next
Your needs and interests keep changing, so the way you manage your crypto portfolio reflects that. To diversify it, look out for tokens and new opportunities which you want to support.
Every crypto has projects behind it, so you have the chance to invest in the technology that resonates with you. Some key things to research about projects are:
- The vision
- The team behind them
- The technology and its utility
- The impact on the world, or disruption of a major industry leader
Here you can find a more detailed list of things to consider in your research. New projects give you the chance to vote with your money for the long-term use of the technology behind those particular cryptos.
A rich life is not only about the cash you spend. It’s also about shaping the future.
Get Help From a Coach
Regardless of your level of financial sophistication, there are times when you hit roadblocks or lack inspiration for managing your crypto portfolio. To move things forward, a mentor can help you come up with better strategies and get more out of your investment.
What are the benefits of taking a course and working with a coach?
- Earn while you learn with less effort
- Improve your chance of going full-time crypto
- Maximize the shot at living the life you want
If you need help, check out our courses for ongoing guidance and step-by-step tutorials and walkthroughs. One perk of the BitcoinTAF Coaching and Coinsulting programs is direct access to a Full-Time Coach with the results you’re looking for and who will inspire you on your crypto journey.
To wrap up the list of tips, I’ll leave you with my final thought — don’t forget to have fun! Always remember to “lick your icecream” ;)
Too many people get attached to the outcome that the journey becomes too stressful. Trading crypto shouldn’t be like that. It’s for a good reason that your life doesn’t revolve around a 9 to 5 job.
So enjoy your crypto journey. When you approach trading cryptos with curiosity and an abundance mindset, you make sound decisions and unlock new opportunities for yourself.