|How to make money by Flipping NFTs?: Much like the stock and the cryptocurrency markets, the NFT markets also go through ups and downs aka Bullish and Bearish Trends.|
NFTs were launched back in October 2015. It was demonstrated in Ethereum’s 1st developer conference, which was held 3 months after the Ethereum Blockchain went live. At the beginning of 2021, the NFT marketplace was valued at $11.3 Billion but is growing at a Compounding Annual Growth Rate of 33.7%, but those calculations were way off because the popularity of NFTs grew substantially and the market is now worth $44 Billion and would reach $450 Billion by the end of 2030 if it continues with a 33.7% CAGR.
What are Flipping NFTs?
Flipping NFTs loosely means that you purchase the token at a very low price, but sell them very high.
How to make money by flipping NFTs?
Flipping NFTs is as simple as it gets, but the right moment to sell and buy is very important and that is all it takes for you to make or lose money.
Here’s how you can make money
Buy an NFT at the right time
Much like the stock and the cryptocurrency markets, the NFT markets also go through ups and downs aka Bullish and Bearish Trends.
One needs to DYOR ‘Do Your Own Research’ at the time of investing and ensure that when they make an investment, either; the market is bound to rise/ is at its lowest, or that particular NFT is.
Pick the NFT Project
Once again ‘Do Your Own Research’ and find the best suited NFT project that meets the requirements.
The requirements are; (A) Circulating Tokens: Unlimited Tokens gives poor return, (B)
Floor Price: The minimum amount you need to purchase the token, helps you figure out the ones within your budget, (C) Benefits: Some NFTs can get you discounts or vouchers to shop, these benefits provide additional credibility to the token. (D) Seller: The implicit rule for beginners is to always stay away from NFTs sold by anonymous sellers, you may invest in them once you have proficient in the NFT Marketplace, but until then it is best to stay away.
Choose Undervalued or Rare Token from the Project
Once again, your D.Y.O.R. skills will be put to the test. However, to assist it is best that you go through the list of trending NFTs and figure out the projects that they belong to. By doing that you will be able to narrow down the list of NFTs. (Beginners)
Now, if you’re a pro who has spent many hours going through tokens, you’d be able to judge the once who has a great chance at making you rich.
Choose Target Price
Once you’ve purchased the token, the less tricky part is to set the right price in your mind to sell. You will have to keep the transaction fees in mind when setting your selling price.
Like any competitive market, the difference of $0.01 can also be the push you need to sell your token.
Sell or FLIP the Token
If you’ve followed the previous step with maximum DYOR, there are high chances that you’d end up selling your token in the next 3 days with a boatload of cash.
As a safety measure, it is best to keep your NFTs in a secure wallet.
Note: Crowdwisdom360 collates Predictions and data from all over the net and has no in-house view on the likely trends in the Stocks or Crypto Coins. Please consult a registered investment advisor to guide you on your financial decisions.