How to Generate Passive Income in the Crypto Space

Investing in crypto currencies is considered a risky business in a very volatile space but there are ways in which you can invest with low risk and reap handsome rewards. For most people they become aware of tokens such as BTC otherwise known as Bitcoin or Ethereum which is the second top ranked coin according to Coin Market Cap and other crypto exchanges. 

The troubling aspect of these coins is that they are the Kings and Queens of the crypto market and many people are confused by the price. If BTC for example is at $35K to $60K as recording the year of 2021, then most people think – “I can’t afford that” – and maybe they are right if they are trying to buy a whole coin.

So the tendency is for people to either take no action at all or they react and choose another coin like Ethereum which has a much lower price point.  This kind of thinking will most likely ruin many investors right from the start.

There is a saying that when others are buying - sell, and when others are selling- buy.  

This is especially true concerning cryptocurrencies. First of all, when BTC as an example is getting higher and higher people tend to get excited and start buying, following the media frenzy. In effect, they are buying at the highest price point compared to last week, and when the market reverses – they panic and sell, thereby losing some their money.

For the majority of people this is a totally wrong approach and it was their strategy that failed them not the coin itself.  The number one best strategy is to Not be in love with any crypto coin.

Why Alt crypto coins?

The next best strategy is to look for other coins such as Alt coins. Why?

These Altcoins usually have less mining, selling, transfer fees, and they are usually tied to some great utility, and best of all they might be new tokens with great potential as an investment. Once you see that there are a number of holders, the market cap, and that it is listed on exchanges, that are a good time to get in at the entry point, or lowest level. 

Regardless of your choice of investment in crypto currencies there is a fundamental principle that 99.9% of the people tend to forget. Which bring us to point number two, and it is advised to remember it well. 

First, were assuming that your investment is something that you can afford to lose - meaning you did not empty your life savings, or take out a second mortgage or something risky like that to gamble on a coin because the media was pumping it up, while the big whales were selling off at a high price point. 

Secondly, If you bought say $100 of any coin, you will have in effect so many satoshi’s or a fraction of a coin if it is BTC or ETH whereas if it is some Alt coins you may in fact have thousands, millions, or trillions of these actual coins.

Here is the Fundamental point most people forget. Regardless of the ups and downs in the market – You still have the number of crypto coins you purchased, and if you do not panic, and if you do not sell, you have lost nothing. Holding onto your coin known as HODL or Hodling until the price increases in value is the smartest way to riches.

So, instead of buying a coin at  a high price point based upon FOMO (fear of missing out), why not buy a coin at a low introductory price, get millions of those coins, and sit tight and wait for the price increase? 

For example, a relatively new coin known as SHIB-INU has a base price as June 27^th, 2021 of .000007321 which is not even a penny. Purchasing $100 worth will give you 13,659,336.15626281 coins – and you could say you’re a Shib-Inu millionaire, IF you hung on for the ride and not worry about your $100 investment for six months to a year while it increases in value.

Even if you are concerned and cannot handle the anxiety you should at least wait until you see that your investment has doubled. Take out your original $100 and then buy another well researched coin, which bring us to another vital aspect of investing if you want to achieve wealth.

Always re-invest.

But we’re not done with Shiba yet. So, if you decided to recoup your $100 when it doubled or more, then two things took place. 

One you got out your original investment and you have lost nothing. 

Two, you only have 50% of the coins you purchased and you are now positioned for more profits, while you take your $100 and re-invest in another well researched coin, and the crypto investments continue to grow and expand. Repeat the process. 

However, what if you decided to wait it out on Shiba-Inu? 

Every time Shiba-Inu drops a zero you are exponentially getting wealthier. When that investment becomes .01 you would have huge gains and you could buy possibly thousands of dollars of more coins. Now think of the potential of reaching .10 cents? .50 cents? How about $1.00? 

Here it is: 

13,659,336.15626281 x .01 = 136,593.3615626281 or $136,593 dollars – WOW 

13,659,336.15626281 x 10 = 1,365,933.615626281 or $1,365,933 dollars – More WOW 

13,659,336.15626281 x 0.25 = 3,414,834.039065703 or $3,414,834 dollars – Greater WOW 

13,659,336.15626281 x  50 = 6,829,668.078131405 or $6,829,668 dollars – Splendid WOW 

13,659,336.15626281 x 1.00 = 13,659,336.15626281 or $13,659,336 dollars – Maximum WOW

As you can see it pays to HODL in the right coin and the math never lies. 

AS a rule of thumb the longer you HODL the greater the profits and this can be done in a span of six months to a year. Of course human nature, along the way you can take out some small profits if you wish, and re-invest in other coins and it will affect the total income in Shiba-Inu coins you have.

The final outcome but may bring smaller or larger gains in the other crypto coins you chose to invest in.

If you see the crypto markets rapidly declining you can take out all of it, or a proportion of it daily or weekly and it will be 100% profit and maybe millions of a percent of profit depending upon your strategy. 

As you are aware nothing is guaranteed but many people have made huge returns by following the principles found here. 

Serious investors invest on hourly, daily, weekly, monthly, bi-annual, and annual commitments. 

After you have done your own research and validated a good coin, decide the amount you want to invest, and I would suggest not staring at the price charts all day creating anxiety. Invest. Come back in a few weeks and see the growth. If it is down, walk away, and come back later to see profits. 

Never sell below your investment price, and you will never lose money!