The bitcoin is not just one of the most popular forms of cryptocurrency, but it is quickly becoming synonymous with the term. There are a variety of currencies that have been inspired by the bitcoin collectively known as altcoins. These improvisations of bitcoins consider themselves to be a better and more polished version of the bitcoin. There are more than 700 different types of cryptocurrencies, while the world is still stuck on the bitcoin and its different variants. While the best time to invest in cryptocurrency is the most debated topic, here are three types that can help you get a better idea of cryptocurrency.

• Litecoin
  The Litecoin was one of the cryptocurrencies that was associated closely with the bitcoin and was also known as the sliver to bitcoin’s gold. This cryptocurrency was launched in 2011 by an MIT graduate and former Google engineer. The Litecoin might have serious similarities to the bitcoin but it has a faster block generation rate, which offers a quicker confirmation of the transaction. It is based on an open source global payment network and is not under the control of any central authority. Furthermore, it uses “scrypt” as a proof of work that allows decoding with the help of a consumer grade CPU.
• Ripple (XRP)
  Ripple offers instant as well as low-cost international payments. It works in real-time and provides a global settlement network. Ripple currency was release in 2012 and now has a market capitalization value of $1.26 billion. Ripple’s method of conformation, the consensus ledger, does not require mining. This is a feature that does not relate to the features of a bitcoin and altcoins. This feature is ideal as it reduces the network latency and does not require the use of computer power. This type of cryptocurrency believes that ‘distributing value is a powerful way to incentivize behaviors.’ Hence, they are planning to primarily distribute XRPs.
• Dash
  Dash was originally known as a dark coin as it is probably one of the most secretive versions of the bitcoin. The noticeable feature of this cryptocurrency is that it works on a decentralized master code that allows it make a transaction that is almost untraceable. It was launched at one of the best times to invest in cryptocurrency 2014. Thus, it gained popularity at an extremely high pace. This cryptocurrency was developed by Evan Duffield and uses the common process of mining. It can be mined with the help of a CPU or a GPU. In 2015, this cryptocurrency got its new name, Dash, which actually means digital cash.

There was a huge rush of capital investment in cryptocurrency in 2017, and a slightly similar pattern of investment is expected in this year as well. A recent study has shown that more than 25% people in the 18-to-34 age group claimed to invest in cryptocurrency over the government bonds and stocks. Another noticeable observation of this study is that more than 40% millennials are aware of the bitcoin as compared to 15% of the seniors (above 65). This indicates that there will be a rise in the investment and that this is probably the best time to invest in cryptocurrency. Read along to find some tips on investing in cryptocurrency.

• Be aware of the bots
  Cryptocurrency is very close to financial markets, trading, shares, and bonds. Therefore, you must be aware of the savvy players not taking help of bots to artificially inflate prices of their coin and tamper the markets. Trading bots are known to significantly hamper the investment and market prices, in 2017 an alternative for Ethereum by China went for around $34 to $3.74 within a couple of seconds and then went back to its original price at the same pace. The trading bots are the ones that cause an artificial drop in the price, and many investors gain from it.
• Understand your risk tolerance
  The first step, even before knowing the best time to invest in cryptocurrency, is to set a stop-loss level that helps you avoid bankruptcy. A stop-loss level is a level of loss that automatically closes your trade. The pro-tip is to build the potential of your coin with this stop-loss level in mind. Make a group of your coins and bifurcate them according to their volatility. The least volatile coins must be allocated a higher percentage, while the coins that are more stable must be allocated a lower percentage. However, you must note that among the stable ones, the one with a higher potential for returns must have a major chunk of the allocated percentage.
• Don’t miss out or overtrade
  This is one of the biggest fears of people in trading, no matter their years of experience in the field. Most traders indulge in either overtrading or have a fear of missing out. You must know the best time to invest in cryptocurrency as well as the right amount. The most common phenomenon is the urge of investing in a coin that is booming. Most investors not only invest in this but they invest a massive amount. Do not sell your coins if you see a small hike in the price, this is overtrading. The key is to be patient and wait for the best time to invest in cryptocurrency as well as sell it.