How to Research Cryptocurrencies Like a Professional Investor (Step-by-Step Guide)

[00:01] you will learn that if you are going to enter the crypto market and you need a good coin to invest in. You have to stay in this for the long haul. But how do you know which coin you should go for? Is the coin you are going to invest in

[00:14] actually worth investing in or not? So how do you have to research on it So stay tuned till the end of the entire video. And yes, if you are going to

[00:26] is a link in the description of the video from where you can create an account in CoinDCx and start your investment journey. Let's start. So first of all we will know which points we need to keep in mind. If you are an initial investor,

[00:40] Our first point is to see whether the coin in which you are going to invest is providing some utility or not. Is some utility coming out or not? You have to keep this thing in mind. Now utility means that

[00:56] only that coin is being traded or it has its own blockchain. Isn't it? Apart from this, it also provides multiple services. For example, if we talk about Binance Coin, is this utility coming out in Binance Coin

[01:11] ? Is the value coming out ? So if we talk about Binance Coin, the cash fees here are very low. In this the transaction is very fast. It also has strong DeFi and BNB chain. So all these things

[01:24] provide value to them. So first of all, if you talk about value, then you will see that the value is coming out from here. So whenever you are going to analyze any coin, you have to see what value is coming out of it. If no value

[01:37] is coming out then it is not right for you. It will not give you better growth in the long term. So the first thing you have to see is what value is coming out of it. Isn't it ? Is the value coming out? Is it just for trading or does it have

[01:50] its own ecosystem which will help you in sustaining in the long term. So the first point. If we talk about the second point, then you have to check a little history about it. Isn't it? I have to check its history a little bit about it.

[02:03] Like who found this coin ? Isn't it? Who found this coin ? Does it have a CEO or not? How much is it centralized or decentralized?

[02:17] If it is decentralized then it is better. If it is centralized then it is not considered much better because then in a way it is partially under someone's control. So things that are under someone's control are not considered good. So

[02:30] you have to keep this thing in mind also. Apart from this you have to look at its tokenomics. What does Tokonomics consist of? In tokenomics, the first thing to do is to see what its actual supply is. Isn't it ?

[02:44] What is its supply? Is it fixed or variable? Is it fixed or variable? For example, if you look at the supply of Bitcoin, the supply of Bitcoin is fixed. So once that much supply is there, more supply than this cannot come into the market.

[02:59] This means supply is limited. But the demand will be unlimited, right? Demand will increase. So when demand increases and supply is limited, prices will increase. So if you look into the future, a lot of the growth in Bitcoin is due to limited supply

[03:12] i.e. scarcity. If you look at the same example in Binance Coin, the supply is also limited in that which is 200 billion. If it is million then the supply cannot exceed 200 million. So its scarcity also applies here.

[03:25] Its demand will also be seen increasing in the future. With this you have to see whether it is working on deflationary model or inflationary model. There is a coin that acts on deflationary. There are some coins that

[03:38] work on inflation and some coins can also be seen that work on both inflation and deflation. If seen as an example, seen as an example,

[03:52] seen in Ethereum. Whereas if we talk about Binance Coin, only deflationary see how strong its ecosystem is. How much strength does he have? For example, if you look at Binance Coin's

[04:06] ecosystem, you will see that the transactions in Binance Coin's ecosystem are very fast. Has the lowest gas fee. Strong DeFi and bnb chains are visible. So all these things show that its ecosystem is very strong. So if the ecosystem

[04:20] remains strong then it will be long lasting in which your chances of getting profit increase. After this you also have to look at the risk factor. Isn't it? Its risk factor also needs to be seen whether there is any regulatory body for it? Does it have any

[04:34] regulatory body? If there is no regulatory body then it is better. Isn't it? Is there concentration in this? Concentration means is it under someone's control? Is anyone in control? As you can see, if we talk about Ethereum as an example,

[04:48] talk about Bitcoin, it is more decentralized. But if we talk about Binance Coin, it is a little less decentralized. Isn't it? It would be considered a little centralized. So the more centralized it is, the

[05:02] more risky it will be for you. So if we talk about Binance, in the long term, due to being a little centralized, it gets involved in risk. Whereas if we look at other coins like Ethereum and Bitcoin, then there is less risk in it than in this.

[05:17] Along with this, you have to see one more thing whether the market volatility is high or low. So normally if you are going to invest in Bitcoin then there is a little more volatility in it. So it is a simple

[05:31] thing that if you are going to try the Bitcoin market then you should be ready for it. Okay, right? So you have to keep this thing in mind. Semi-volatility is seen in almost all the coins. , some have a little less. Along with all this, you have to see

[05:44] what its positioning is in the market. Isn't it? How is the positioning in the market? For example, you have to see whether the coin you are going to invest in has any level in the market or not. For example, suppose you are going to invest in Bitcoin,

[05:57] then you know that if anyone has the biggest level in the market, it is Bitcoin, then you will be more sure that this is the biggest coin in the market. Will last for a very long time. It will work fine. It is stable. Good work friend. That's why it is number one.

[06:10] So one thing you get is this assurance. The second thing to see is where is it getting its revenue from? Where is the revenue coming from? Isn't it? In this coin, in which coin you are going to invest money, in what way are

[06:24] you going to get revenue? So you have to keep this thing in mind also. Also, you have to keep in mind whether some tokens are burnt quarterly ? Are some tokens ? Are some tokens also burned quarterly? Is there any such feature

[06:36] in it? You have to check this thing also. So after looking at all these things in this way, you will be able to decide or not. So if you are getting all these features strongly on that coin

[06:51] then you can think that this coin can be good for us and can make good money in the long term. Otherwise you can ignore it, otherwise you can ignore that coin. There are many coins in the crypto market. So there are a

[07:05] So investing in any coin is not without much risk. So it is dangerous. So you should do the analysis first and then invest and there is a link in the description of the video from where you