It is easy for people to speculate as to which types of people and of what age, gender or race are most prone to purchase up cryptocurrency. We have this image in our minds of how a cryptocurrency trader ought to look. More curiously, our mental picture is not too far off from the reality. Read on to discover who it is that is truly holding up the cryptocurrency fad with their investments.
Men Of A Certain Age
The stereotype that you have in your head of what a cryptocurrency trader looks like is probably fairly accurate. Most likely the image that you are thinking of is someone who is male and on the younger side. Check and check. The vast majority of cryptocurrency traders turn out to be males between the age of eighteen and thirty-five.
A surprising number of cryptocurrency traders are male college and university students who are well-educated and self-educated on the subject. These male students are the most likely to buy as well.
Not Heavily Skilled Traders
It might not come as a surprise, but the majority of people trading in cryptocurrencies are novice traders. It is not even really that close. Some people might fancy themselves as highly sophisticated when they are buying and selling in cryptocurrencies, but the odds are they are just a novice trader trying to make the big bucks as quickly as possible. That is rarely the route to riches.
There are some skilled and intermediate traders thrown into the mix to keep things interesting. In fact, the more skilled traders enjoy the bulk of the profits, snapping up the dollars of the inexperienced novices.
Not As Profitable As You Might Think
A lot of the media coverage of cryptocurrencies traders goes to glamorizing those who have managed to make a lot of money playing this game in just a short period. The truth is that there are a lot of people losing money or making very minimal returns for a lot of effort in the meantime.
Lately, the price of many forms of cryptocurrency has been wildly volatile. You might get lucky and catch your particular currency when it is on an upswing, but that is far from a guarantee. You could end up on the wrong side of things and have to take a bath on the investment that you have just made.
Think about how you can make a more reliable and steady profit in other types of investments before you go and give up your day job to trade cryptocurrencies. Understand the risk involved and the possibility of money lost if you exchange these types of currencies. You should only really be playing around in cryptocurrencies with cash that you can afford to lose in the first place. That is the mentality that you have to have when operating in this market.