Crypto markets can offer significant opportunities, but they also come with considerable risk. Prices can move quickly, projects can fail, technologies can become outdated, and entire market sectors can fall out of favor. Diversification is one way investors try to manage these uncertainties.

When researching a cryptocurrency, price is often one of the first numbers people notice. But the price of a single coin or token tells only a small part of the story. To understand how a crypto asset is structured, it is also important to look at its token supply.

Crypto markets rarely move in one direction for long. Prices rise, optimism grows, momentum eventually fades, and periods of falling prices and uncertainty follow. These broad phases are commonly known as bull markets and bear markets.