How to Invest in Cryptocurrency: A Beginner's Guide

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Interested in cryptocurrency trading? Before you begin, it's crucial to understand how to invest in cryptocurrency, which digital currencies show promise, and which investment strategies to implement. This article explores where to invest in the crypto market, how to purchase cryptocurrencies, and key tips for success.

You can start investing in cryptocurrencies through a regulated online broker in just four simple steps, in less than five minutes. We recommend using a major, secure trading platform that allows you to fund your investment instantly in euros, often with low transaction fees.

Cryptocurrencies are unregulated, highly volatile investment products.


Which Cryptocurrency Should You Invest In?

We will highlight several interesting projects to watch (and potentially buy). These could prove to be solid investments for 2025 and beyond. However, conducting your own research after reading our list of promising digital assets is always encouraged.

1 – Bitcoin ETF Token

The Bitcoin ETF Token is a primary choice for a crypto purchase this year. It is a token linked to the fate of Bitcoin (BTC) and the anticipated ETF approvals from the SEC. Its news feed keeps you updated on all the latest global Bitcoin ETF developments.

The project's mission is to make trading more accessible to the general public and capitalize on the potential historic approval of a spot Bitcoin ETF. It's a token to watch closely while its price is still low.

2 – Bitcoin Minetrix

If you're wondering which crypto to buy for staking, Bitcoin Minetrix is an optimal option. The most attractive feature of BTCMTX is how it allows users to mine Bitcoin.

Instead of a complex investment process, users can mine directly through the platform. Still in its presale phase, this crypto is promising and available at a very low price.

3 – Dash (DASH)

Before adopting the name Dash (Digital Cash), this cryptocurrency had several names since its launch in 2014, including XCoin and Darkcoin.

The main appeal of the Dash network is transaction speed. Since Dash aims to become the go-to cryptocurrency for everyday spending, its creator (Evan Duffield) focused on developing a fast blockchain. Privacy is also important for the network, which offers anonymous transactions (via PrivateSend), providing significant support for Dash's value.

4 – Stellar Lumens (XLM)

Launched in 2014 by Jed McCaleb, Stellar Lumens is now among the reliable names in the cryptocurrency world. The Stellar blockchain validates operations in 2 to 5 seconds. The network is capable of handling 1000 transactions per second and applies relatively low transaction fees, earning it the nickname "decentralized PayPal."

Like other virtual currencies to watch in 2025, Stellar Lumens has seen a strong increase in its value since its launch.

5 – NEO (NEO)

NEO is the native currency of the NEO network. Initially named Antshares, this crypto appeared in 2014 by Da Hongfei and Erik Zhang. After rebranding in 2017, the NEO project was tasked with creating a "smart economy" that uses smart contracts to distribute digital assets efficiently.

6 – EOS (EOS)

EOS belongs to the third generation of blockchain technology and cryptocurrency. Its ambition is simply to surpass Ethereum. Riding an unprecedented wave of enthusiasm, EOS creator Daniel Larimer managed to raise an impressive ICO (Initial Coin Offering) of 4 billion dollars.

Choosing EOS to diversify a cryptocurrency portfolio is a logical idea for those hoping to profit from resale, though others might opt for trading given its high volatility.

7 – Cardano (ADA)

Launched in September 2017, Cardano quickly reached a multi-billion dollar market capitalization. Inspired by Ethereum, Cardano aims to use blockchain technology for much more than simple payments. It allows developers to create their own blockchain applications using the platform. Cardano's dual-layer structure executes each layer separately, unlike Ethereum, where the two layers are linked.

8 – IOTA (IOTA)

Launched in 2015, IOTA is based on a proprietary "block-less" blockchain called Tangle. Iota stands out from competing cryptocurrencies, thanks in part to strategic partnerships with reputable brands like Cisco Systems Inc. and Samsung Electronics Ltd. to create a data marketplace that can be monetized later.

9 – Tezos (XTZ)

Created in 2014 by the Breitman couple, Tezos is a leading cryptocurrency that uses smart contracts to execute anonymous and fast transactions. This crypto also allows for the creation of decentralized applications and utilizes blockchain technology.

The XTZ protocol is essentially code written in OCaml. This makes instances of hacking or frozen funds nearly impossible thanks to formal verification.

Furthermore, Tezos is conquering the financial world with a total valuation in the billions of euros. Renowned companies have chosen to trust the Tezos chain, including Dalma Capital, BTG Pactual, and Elevated Returns.

10 – Monero (XMR)

Launched on April 18, 2014, this virtual currency uses the CryptoNote algorithm to ensure greater confidentiality. In other words, anonymous payments are guaranteed by this cryptocurrency.

The primary goal is to combat the disclosure of personal data of users on the Peer-To-Peer network.

Only the sender and recipient have access to the one-time address created by the transaction. The rise in Monero's value since its launch is certainly explained by this demand for anonymity.

How to Invest in Cryptocurrency: 5 Easy Steps

  1. Choose a broker to invest in cryptocurrencies
  2. Register with your online broker
  3. Fund your trading account
  4. Choose your crypto from promising cryptocurrencies
  5. Open a crypto position

Follow these fundamental steps to easily invest in promising cryptocurrencies via spot trading or CFDs.

Step 1: Choose a Broker for Crypto Trading

First, you must choose from the best crypto trading brokers available on the market to invest with the best chances of success. There are many platforms to invest in Bitcoin and other cryptocurrencies. How do you choose? A crypto broker will offer you all the tools, plus trading education, often for very affordable trading commissions.

Step 2: Open a Crypto Currency Trading Account

Opening a trading account is a simple process. In our example, we'll use a major platform.

First, open your trading account. You just need to follow these steps:

Once your account is created, log in.

Step 3: Fund Your Account

Next, choose your payment method. For convenience, you have a range of choices: credit card (Visa, MasterCard, Maestro), and others.

It is also possible to credit your account via bank transfer, usually with a minimum deposit. However, in this case, the funds will not be credited immediately to your account; it generally takes between 24 hours to 72 hours depending on the bank.

Step 4: Open a Position and Invest in the Cryptocurrency of Your Choice

Once logged into your account, you can buy the cryptocurrency of your choice via spot trading. You must then decide which cryptocurrency to invest in.

For the more adventurous, it is also possible to use leverage via CFDs. Please note, trading with leverage is risky. A rapid and total loss of invested capital is a real possibility with high leverage.

For example, using leverage allows you to multiply the amount of your exposure to an asset compared to your starting capital.

With this leverage, you have more capital at your disposal for trading. You can therefore make a larger profit, but this also carries higher risks because gains and losses are calculated based on the total amount of your position and not on the sum deposited in your account initially. CFDs are therefore more suitable for those with smaller initial capital.

The use of leverage can amplify gains, but it also carries a risk of significant losses, as it multiplies the impact of market fluctuations. Investors must be aware that leverage can lead to losses exceeding their initial investment.

Be Careful to Configure Your CFD Trades Correctly

We recommend trading leveraged CFDs only if you take good care to quickly limit potential losses using what specialists call "Stop loss" levels, where your position will be automatically cut. If the market falls, you could potentially lose more than your starting capital with leverage.

It can also be interesting to set a "Take Profit" level, a parameter corresponding to the price level at which you wish to take your profits.

Note, however, that Stop Loss / Take Profit orders are not guaranteed against slippage. Be careful, trading with leverage is risky. A rapid and total loss of invested capital is not to be neglected with too much leverage.

When all the settings are done, you can then trade.

Crypto Currency Investment: Which Trading Strategy to Use?

There are two main types of trading strategies for those who want to use a cryptocurrency trading platform.

"Buy and Hold" Conservation Strategies

These strategies involve long-term investment in cryptocurrency, hoping to profit from large price movements by riding underlying trends.

To implement this, it is preferable to use a crypto asset exchange platform to buy virtual currencies. You can then hold them without fees in an online or offline crypto wallet to use or sell later.

When you hold your tokens rather than selling them quickly after buying them, you are implementing a "buy and hold" strategy. To maximize your chances of success with this type of strategy, we advise you to train to become an expert in news analysis.

Indeed, geopolitical and economic news have a considerable influence on cryptocurrency markets. Learning to read market sentiment is a skill common to all professional traders.

To take the temperature of market sentiment, you must constantly stay informed of the news and see how the markets react. For this, some information sources are better than others.

There are good free blogs and websites, just as there are paid real-time news services specifically intended for professionals. You can also consult the economic analyses from the research services of large banks; these documents can sometimes be difficult to read but will help you progress very quickly in terms of economic analysis.

Scalping and Day Trading Strategies

Among the most active and aggressive trading styles in financial markets, scalping and day trading of cryptocurrencies are the most popular. Primarily based on chart analysis (technical analysis), these two methods profit from small price variations over a few minutes to a few hours, movements that can be amplified by the use of leveraged products like CFDs.

For an experienced crypto-trader, learning never stops, and you must ensure you continuously update your knowledge, especially regarding the use of advanced trading indicators.

While there are technical indicators known to all traders, like Moving Averages, there are also hundreds of others, more or less complex to use, such as the RSI or the MACD.

Their principle, however, remains the same: they give you buy and sell signals. These indicators help you identify market turning points or confirm that trends will continue.

It is therefore essential to continuously train on new technical indicators to stay at the forefront of analysis. This will allow you to integrate these indicators into your trading method and thus evolve it.

Consider Talking with Other Traders

Trading can be a solitary activity, which over time is often burdensome.

To remedy this, professional traders are often in contact with each other, either through private networks or forums, or on analysis sharing platforms.

How Much Money Should You Invest in Cryptocurrency?

Many traders who want to get into cryptocurrencies don't know how much money to start with. This is normal because the answer to this question depends on several factors to consider, including your trading experience. Therefore, there is no standard answer that suits everyone.

In short, you should only invest a portion of your savings based on your knowledge in the field of cryptocurrency trading. You can use one of the following 4 typical profiles to help you:

Crypto Currency Investment: How Much Money Can You Earn?

To better understand how much money you can earn trading cryptocurrencies, let's take the example of the virtual currency ChainLink, which saw its value multiply by 10 in a recent period.

Imagine you bought 1 ChainLink in August 2019 for 1.50 euro. By holding it until August 2020, for 1 year, you would have gained 13.50 euros, with ChainLink reaching 15 euros that August, a gain of nearly 900% in 12 months.

To get a better idea of the money that can be earned on ChainLink over time, let's take a numerical example with the following assumptions: a starting investment of 100 euros and an annual return of 900% on that investment.

Past performance is not indicative of future results. Cryptocurrency investments are highly volatile and risky.

Conclusion: Should You Invest in Cryptocurrencies in 2025?

So, should you invest in cryptocurrency in 2025? What are the main cryptocurrencies? You should now have a clearer view to invest successfully in the most promising cryptocurrencies. Investment in virtual currencies should remain promising in 2025 and in the years to come, according to cryptocurrency specialists.

To maximize your chances of success, consider several promising cryptos to diversify your investment portfolio easily. Exploring a variety of assets can help spread risk. However, remember to only invest what you can afford to lose.

Frequently Asked Questions

What is the best way to start investing in cryptocurrency?
The best way to start is by educating yourself on blockchain technology and market dynamics. Then, choose a reputable, regulated trading platform to open an account. Start with a small amount of capital to learn the process without exposing yourself to significant financial risk initially.

How do I keep my cryptocurrency investments secure?
Security is paramount. Use a hardware wallet for long-term storage of large amounts. Enable two-factor authentication (2FA) on all your exchange accounts. Never share your private keys or seed phrases with anyone, and be wary of phishing attempts and suspicious links.

What is the difference between trading crypto CFDs and buying spot crypto?
Buying spot crypto means you directly own the underlying asset. Trading CFDs (Contracts for Difference) involves speculating on price movements without owning the asset. CFDs often use leverage, which can magnify gains but also significantly increase the risk of losses, including more than your initial deposit.

Can cryptocurrency investments be part of a retirement plan?
Some investors choose to include a small allocation of cryptocurrency in a diversified retirement portfolio for potential growth. However, due to its high volatility and risk, it should typically constitute only a small portion of the overall portfolio and be approached with caution and a long-term perspective.

What are the tax implications of investing in cryptocurrency?
Tax treatment varies by country. In many jurisdictions, cryptocurrencies are treated as property for tax purposes. This means capital gains tax may apply when you sell, trade, or spend crypto for a profit. It's crucial to keep detailed records of all your transactions and consult with a tax professional familiar with crypto regulations in your area.

How can I perform research on a cryptocurrency before investing?
Conduct thorough due diligence. Read the project's whitepaper to understand its purpose, technology, and roadmap. Analyze the team behind the project and their experience. Check the coin's market capitalization, trading volume, and community engagement. Look for real-time tools and analytics to track on-chain data and market sentiment.