Investing in crypto should be a rational well researched decision especially when picking the crypto your going to put your hard earned money into.
unfortunately the opposite prevails in most cases.
I feel this is primarily due to the lack of understanding of how the market actually works and this creates very poor judgment especially when investors are choosing to invest over the long term, which I feel is best suited to the majority of the crypto faternity.
Having stated the formentioned this does not mean profits can't be made by short term investing, it takes an exceptional understanding of the market and great ability to read charts and indicators.
An example of what would be considered an irrational investment is what is seen numerous times within the crypto market daily, people buy tokens with zero utility, no whitepaper setting out a stable plan, no website with any information about the token or project and a non existent social media, and no roadmap.
Every day I ask myself why are people buying these tokens, my opinion is that most people are desperate for money and hold on to every hope believing this will make their dreams come true and make them rich, time and time again the very opposite happens, in most cases due to unscrupulous developers who pull every cent from the liquidity making themselves richer and not the hard working investors.
A more sensible option would be to reasearch a project that has a well written whitepaper well thought-out road map a website wich is proffesional and gives potential investors a wealth of knowledge that gives a clear understanding of what the founders are planning to do and what their project is about including the utility of the token which is vital for longevity and market success.
An investment does not always have to be made at ICO stage a good indicator is once the ICO is complete whether the founders and developers delivered on the whitepaper and roadmap, of course not everything can be completed as forecast no one has a crystal ball , but good communication and announcements on social media are again positive indicators that the founders have good intentions for a project and let's use a well known phrase good things come to those who wait and Rome was not built in a day.
Choose wisely a token that gives you hundreds of thousands or even millions of tokens for relatively small investments is not going to give you the thousands of X gains needed to make you a millionaire no one today gets anything for nothing, of course getting into a project in the early stages is a massive benefit so long as the statements in the sensible options segment are met.