The turbulence, or rise and fall, in cryptocurrencies is something you have never seen before unless you traded penny stocks. You don’t need a college degree or education like a financial advisor to invest. These are simple rules you can easily follow to turn a hundred dollars into six figures.

Start investing when the market was near the top

Be careful when investing in cryptocurrencies under the cover of a multi-level marketing (MLM) or network marketing company

  • These usually don’t work out in the long run
  • The Bitcoin market dropped and continued to drop until a year ago

Watch out for taxes

If you sell your cryptocurrencies in less than a year, you will pay taxes as a short-term trader.

  • When you hold your cryptocurrencies for a year or more, you’ll pay less taxes because you’ll be classified as a long-term holder.

Dollar-cost average your way to six figures

When you get paid from your job, invest in yourself – pull off some of your income and invest the money.

  • Make sure you have enough to pay your rent or mortgage and enough to put food on the table.

Example of dollar-cost average with Bitcoin

Example: You bought Bitcoin and the price was $100 for one month.

  • The next month it was $150, and the next month $180
  • Over three months you paid $340.33
  • As you invest your money, month after month, you’ll see the money slowly grow larger. You’ll go from three to four figures and then four to five figures.

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