In a world governed by technology, the digital currency of crypto is growing more than ever. High schoolers have been riding the high of this new asset, investing in crypto the same as one would invest in a stock or physical asset with the goal to return a profit. The crypto market is extremely volatile, creating a sense of uncertainty that keeps people interested.

According to Forbes, cryptocurrency is an encrypted currency that is not tracked by a central authority that manages the distribution and value such as the U.S. Dollar. It can be used for everyday transactions as well as investments.

Raphael Hay Tene, a senior at Portsmouth High School, shares his experience investing in crypto. “I first invested in Ethereum (ETH) when the value was approximately $3,500 U.S. Dollars per share, however, that price is now valued at $1,700,” he says. This cost him to lose approximately 48% of his initial investment.

He attributes this loss to a lack of proper education about cryptocurrency; however, he claims that being comfortable with taking risks is a crucial part of the learning curve.

Hay Tene continued his research and found ApeCoin, an investment that looked promising. “I took out the money I had invested in ETH and put it into ApeCoin, buying in at eight dollars a share.” He was in awe as the price of ApeCoin skyrocketed to $30 per share, putting him at a 4x profit; he encouraged his father, Omar Tene, to invest with him.

“ApeCoin is the new Bitcoin,” Hay Tene said, comparing his new investment to a different crypto that flourished in the past. It was the next morning that he learned his second lesson. 

When Hay Tene checked his phone, he was not happy with the results. His investment that had quadrupled his money had quickly taken a turn for the worse. “I felt devastated because I got my dad to invest in the currency. When I looked at the price, my stomach sank,” he said.

It can be a quagmire to determine the proper time to pull an investment, as one does not want to miss out on the chance of profiting further or risk that their investment becomes valueless.

“When you see Bitcoin rise $8,000 in a week it’s definitely tempting, but you have to take it moderately”, says Andrew Mather, head of the Math Department at Portsmouth High School. Mather has experience investing in cryptocurrencies such as Dogecoin and ETH, netting a profit of over $1,100.

Mather believes only “play money” should be invested, meaning only to invest what you can afford to lose. He understands the potential of cryptocurrencies and thinks it’s admirable that teenagers have taken the initiative to try and understand this new wave; however, he does not think they should invest large sums of money they cannot afford to put at risk.

Teenagers investing in cryptocurrency has become a trend in recent years, attracted by the possibility of high profits. However, this market is highly volatile and requires knowledge, research, and caution before investing. While the potential for high returns may be tempting, it’s essential for young investors to understand the risks involved and make informed investment decisions.