Basic factors to consider when investing in any cryptocurrency

There are various factors which come into play while selecting which cryptocurrency to buy:

1.Genuinity : Always check that the currency is real and not a scam. Examine it's website carefully. Study the profiles of the team members of currency. Check if their website is not on a proxy . These days it is very easy to launch a Crytocurrency which is actually worth nothing and fool people .

2.Purpose of the currency: Before buying any currency you should understand what is its purpose. For what all things we can use that currency and; is the purpose of currency unique and has a great practical use. If the currency serves same purpose which hundreds of others do than its not worth it to buy it.

3.Market capitalization : check the market capitalization of the currency. Always prefer the currency which have some significant market capitalization.

1. Right price: Before buying any currency you need to determine if the current price of the currency is higher than the actual estimated value; is the currency over hyped and driven by irrational market if yes then don't buy the currency at that point of time. Wait for the moment when the currency's price crashes and people began to sell more than buy it.

5.Funds raised by the currency and allocation of funds: Before buying any cryptocurrency check their finances including the total investment in the currency and how will they allocate it. It is important that funds are enough to meet the future goals set by currency's management.

6 . White paper; white paper is like a blue print or skeleton of a currency . Always read the white paper thoroughly and understand the ins and outs of the currency,acquiring a sound knowledge of how the currency will work and it's legal aspects.

Just work on these six factors and chances are high that your investment will be successful.I hope it helps