[Cryptocurrency is a digital asset designed to work as a medium of exchange that uses cryptography to secure financial transactions, control the creation of additional units, and verify the transfer of assets. With the rise of digital currencies, many people have started investing in cryptocurrencies to potentially earn high returns. However, with the volatility of the cryptocurrency market, it is crucial for investors to track and monitor their crypto investments regularly to ensure they are making informed decisions and staying on top of their portfolios.
Tracking and monitoring crypto investments can be a challenging task, especially for novice investors. However, with the help of various tools and resources available online, investors can effectively manage their portfolios and make sound investment decisions. Here are some tips on how to track and monitor your crypto investments:
1. Use Portfolio Tracking Tools: There are several online platforms available that can help you track and monitor your crypto investments in real-time. These tools allow you to input all your investments and receive updates on the value of your portfolio, as well as price alerts for specific cryptocurrencies. Some popular portfolio tracking tools include CoinMarketCap, CoinGecko, and Blockfolio.
2. Set Price Alerts: Volatility is a common occurrence in the cryptocurrency market, and prices can fluctuate dramatically within a short period. To stay informed about price movements, set up price alerts for specific cryptocurrencies you are invested in. This way, you will be notified when the price of a particular coin reaches a certain threshold, allowing you to make informed decisions about buying or selling.
3. Conduct Regular Research: Monitoring your crypto investments requires staying up-to-date with the latest news, market trends, and developments in the cryptocurrency space. Conducting regular research will help you understand the factors that influence the market, as well as make informed decisions about your investments. Follow reputable news sources, join cryptocurrency forums and social media groups, and participate in discussions with other investors to gain insights into the market.
4. Keep Detailed Records: It is important to keep detailed records of your crypto investments, including the date of purchase, the amount invested, the price at the time of purchase, and any transaction fees incurred. By maintaining accurate records, you can track the performance of your investments over time, calculate your profits or losses, and ensure compliance with tax regulations.
Tracking and monitoring your crypto investments is essential to ensuring the success of your investment strategy and maximizing your returns. By using portfolio tracking tools, setting price alerts, conducting regular research, and keeping detailed records, you can stay informed about the performance of your investments and make informed decisions about your portfolio. Remember that the cryptocurrency market is highly volatile, so it is important to stay vigilant and proactive in managing your investments.
References:
1. Shadab, H. (2018). Cryptocurrency regulation in the United States: A comprehensive view. University of Illinois Law Review, 2018(1), 183-231.
2. Osterberg, T. D., & Shadab, H. (2019). Crypto: A review of cryptocurrency. Yale Journal on Regulation, 36(3), 745-760.
3. Catalini, C., & Gans, J. S. (2016). Some simple economics of the blockchain. NBER Working Paper No. 22952.
