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How to invest in Ethereum: learn to evaluate the market condition

Every coin flew to the moon for a brief moment this year. Ethereum cost $700 in January 2021 only to jump to $4,000 by mid-May. Who wouldn’t become interested in cryptocurrencies after such a crazy swing? An average bank deposit would offer a ridiculous APY. Ethereum brought its holders 571% in a single season.

After the crazy surge, you might wonder, ‘How do I invest in Ethereum?’

Even considering the ongoing FUD that brought ETH to $1,700 per coin at some point all Ethereum users saw a significant increase of their assets value. A newcomer might ask, is it not too late to jump in? Exactly the opposite, it is a great time to top up your Ether store and wait for the next growth period.

Before the news about Ethereum 2.0 upgrade broke out, Ethereum remained the most profitable miner’s choice. The upgrade is planned to commence sometime this summer, and miners plan to transition to PoW with considerable ROI. Obviously, we cannot suggest you to mine Ether yourself for the same reasons. 

Even though mining is going to be a lot less profitable than it used to be, the buy-and-hold strategy appeals to all kinds of investors.

Why invest in Ethereum? How can you be sure that its price won’t plummet? There is a simple answer to that: too many applications already run on Ethereum, so it can never lose a disproportionate share of its price. The value of the apps developed on Ethereum will support the price.

Ethereum recently reached a highest ETH to BTC price ratio, which proves its importance.

How do you invest in Ethereum then?

The easiest way is to download a Trustee wallet on the AppStore or Google Play. In less than a minute, after the wallet is set up, you buy some Ether with fiat money. Couldn’t be any easier! Or, hey, how about some Doge, Bitcoin, or altcoins?

A solid argument for Trustee’s security is that it’s open-source. Any of major online exchanges is vulnerable to an elaborate hacker attack: it happened historically more than once.

Nonetheless, it is a healthy practice to keep the funds in different accounts, including cold storage, if possible.

How to buy Ethereum stock

It is not possible to invest directly in Ethereum.

You can still buy Ether, which is basically an act of investment, if you look for the ways how to buy Ethereum stock. The good news is that it can be done in a couple of clicks right from your Trustee wallet app. Exchange it for another crypto or make a purchase with your credit card wherever you are.

You might have come across propositions to engage in Ethereum Trusts and Funds. Such a course of action is ill-advised because these funds are tied to the price of Ether one way or another. On top of that, they impose various restrictions and introduce significant fees to minimize their losses. Unless you cannot figure out the intricacies of their user agreement and come to a conclusion that their conditions fit you perfectly, of course. We don’t see anything attractive in these organizations for an average user.

There’s another direction to look in: instead of directly buying Ethereum how to invest in companies that benefit from the growth of Ethereum ecosystem: HIVE blockchain, for example (they mine Ether). Also, look for technologies that revolve around Ethereum: Uniswap is but one example.

Buying advanced GPUs and joining a pool to mine Ether is no longer the golden answer to the ‘How to invest in Ethereum?’ query because Ethereum 2.0 moves to proof-of-stake consensus.

How do I invest in Ethereum… with Ethereum?

When your Ethereum investment finally pays off, another question will arise: How to invest Ethereum earnings in promising new coins? There are plenty of options for you to choose from. A while ago we wrote about the great dynamics of Polkadot, Tron, Chainlink, Enjin, and others. Polygon, Solana, or Ripple could make a great addition to your portfolio, too.

Young altcoins have a tendency to bring x20 or even x100 in a very short time. Selling them on the price peak to invest back into Ether (to stabilize the whole portfolio and reap profits) is a passable way to outlast the bearish market.

Why invest in Ethereum

We have covered the basic topics concerning crypto trade, the ways how to invest in Ethereum and the reasoning behind it; we also considered a possibility to buy Ethereum. Instead of looking for ways how to invest in Ethereum stock, pay attention to tokens and companies that are closely related to Ethereum.

That would be it for today! Profit, have fun, and good luck!

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