Are you intrigued by all the news about Bitcoin? Cryptocurrencies have emerged in popularity over the past year, thanks mostly to its incredible rise in value. In January 2017, Bitcoin was priced at $1,000. In December, it reached $19,000, an all-time high. The price of Bitcoin has since plummeted, but many people still want to get their feet wet in the world of cryptocurrency trading. Should you invest in Bitcoin this 2018? Here are four things you need to know before shelling out money.

1) Buy and hold

It’s vital to understand that there are many ways to invest in Bitcoin. The simplest way is by buying and holding. Often referred to as “holding” by cryptocurrency investors, this tactic involves buying virtual currencies and holding on to them for the long term. This strategy is recommended if you really believe in the coins you’re investing in. Bitcoin, for instance, has long been considered the best long-term investment out of all cryptocurrencies.

Keep in mind that while this strategy is often considered a safe one, it still comes with a certain level of risk. You need to resist the temptation of selling if the price of the coins goes down. Also, remember not to invest more than you’re willing or able to lose. Cryptocurrency trading is risky in nature, so you’d never want to gamble your money away.

2) Trade Bitcoin and other cryptocurrencies

If you want to be a more proactive investor, then you may want to get into trading. This involves buying Bitcoin or other cryptocurrencies and trading them when the price goes up. As many investors would say, buy low and sell high. Be careful, though; it’s not as simple as it sounds. This tactic requires knowledge and practice. To improve your trading skills, use a trading platform like Crypto VIP Club. It allows you to trade automatically while giving the option of switching to manual mode to try different strategies.

3) Mine Bitcoin

You might think that the only way to get Bitcoin is by buying it. However, you can also get Bitcoin by mining it. If you have the resources, you may want to get into Bitcoin mining. This requires mining equipment, which can be expensive. Large scale operators generate huge returns. You need a large upfront investment, but mining proves profitable when done efficiently.

4) Avoid Bitcoin investment programs

Due to the immense popularity of Bitcoin, many so-called Bitcoin investment programs have emerged. These programs are designed to attract as many potential investors as possible. Usually, there’s a referral program that rewards users every time they get other people to join. But don’t be fooled by the claims of such programs. Most of them disappear after a few months, with all the money from their users. There’s no reason to use a third party to get started with Bitcoin. Steer clear of these programs to avoid getting scammed.

As you can see, it’s not only a matter of investing in Bitcoin or not but how to invest your money as well. There are many ways to invest in Bitcoin other than buying and trading. You need to figure out your own skills, knowledge, and resources to determine what kind of investment to start with.