CRYPTO TRADING TIPS – EARN LIKE A PRO-CRYPTO TRADER 2019
Cryptocurrency trading or crypto trading can be highly profitable if you play your cards well. In this article, I will discuss all the necessary facts associated with trading.
On top of this, what all the resources, tools, and tips required before getting into cryptocurrency trading as a pro-crypto trader? Cryptocurrency volatility is a traders dream.
If the market movement pattern analyzed correctly, then huge profit can be made in a short span of time.
But make no mistake volatility doesn’t mean profit is guaranteed, where there is high volatility, there’s high risk.
The human mind, which excels at pattern recognition, struggles with random outcomes. Hence even expert, Forex or crypto traders find it difficult to recognize the Cryptocurrency market pattern.
BENEFITS OF CRYPTO TRADING
Crypto trading has major benefits over trading Forex, stocks, and commodities. So below listed points explains why crypto trading is far simpler than forex trading
1.BITCOIN & ALTCOIN (GLOBAL CURRENCY) –
Bitcoin and altcoins are a global currency. Any central government does not control it. So it doesn’t depend on any given country economy or policies. Bitcoin currency is not a fiat currency.
Cryptocurrencies can be sent from one user to another without any involvement of the third party like banks. Cryptocurrencies can’t be printed, unlike regular money.
When central bank print lots of money, inflation goes up which makes the currency value going down.
Since there is a finite number of Bitcoins ( 21 millions of them) and the same hold true for other Cryptocurrencies. So supply-side can’t be increased which makes cryptocurrency trading less prone to inflation.
2.CRYPTO TRADING IS AVAILABLE ROUND THE CLOCK 24/7 –
Cryptocurrencies can be traded non-stop 24 hours 7 days a week. Unlike forex, stock, and commodities which only operate during business hours and closed on weekends. Cryptocurrency trading remains active round the clock.
3.CRYPTOCURRENCY IS VOLATILE
Cryptocurrencies volatility can results in a high return on investment (ROI) in a short span of time. Hence, a crypto trade can yield high profit within a few hours.
Cryptocurrencies also the cheapest asset to trade as there are minimal fees on cryptocurrency trading platforms compare to traditional exchanges for forex trading.
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Cryptocurrency deposits and withdrawals are also quick, and documentation is not as hectic as in traditional forex trades. You just need to have any cryptocurrency in your trading account wallet, and you can start trading.
4.LEVERAGE AT CRYPTO TRADING PLATFORMS
Leverage trading means you can start the crypto trade way more than your capital investment. Top cryptocurrency trading platforms like Bitmex offer leverage of 1:10. For example, every 10 $ you invest, you will have the possibility of trading cryptocurrency worth 100$ at Bitmex.
Likewise, other crypto trading platforms like e-toro or Whaleclub, every 10$ let you trade crypto worth 250$. While forex trading platforms generally do not offer such leverages.
The first major step in the path to crypto trade is to find a pure crypto trading platform
When it comes to investing the money everybody wants the secure, user-friendly and renowned altcoin trading platforms Just as the number of altcoins is increasing in the market so are the trading platforms.
Hence finding the right crypto trading platform is not a piece of cake. The problem is that not every cryptocurrency trading platform is legit and can be trusted.
If any Crypto trading platform run away with your coins or shut down, then there is no way you can get your Cryptocurrency back.
There are some basic criteria which make a cryptocurrency trading platform suitable for crypto trade
1.Regulation & Security –
Crypto trading exchange should be regulated by concerned authority then only it can be trustworthy. Crypto traders also want the security of the platforms to be top of the line.
- Fees
Fess generally express a percentage of the transaction amount and an average cap of around 0.30%. Most cryptocurrency exchanges offer a volume-based fee structure means if you buy or sell a large volume of altcoins you have to pay smaller fees.
Some exchanges use ‘maker-taker’ fee model. Because every transaction costs fee so one has to find platforms which best fitted for a profitable trade.
- The number of altcoins –
Higher the number of altcoins and fiat currency available to trade, higher the legitimacy of cryptocurrency exchange
- Trading volume –
Trading volume is also a major factor in the verge of finding a right crypto trading platform.
The high trading volume provides you an insight into that cryptocurrency trading exchange, that people are willing to spend their money on that trading platform.
This justifies the reliability and good business practices of that network.
Accordingly, there are few trusted cryptocurrency trading platforms which are best suited for the crypto trading
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WAYS OF CRYPTOCURRENCY TRADING
Generally, there are two types of crypto trading approach.
LONG-TERM CRYPTOCURRENCY TRADING –
The first is long-term crypto trading which is known as ‘buy and hold.’ In this method crypto trader study price trends of an asset over an extended period and hope that asset price will increase in the future.
This approach is based on an assumption. Long-term crypto trade is proving profitable as you can see the boost in the Bitcoin price recently (overall annual growth of Bitcoin is about 4000% in the year 2017) and so does the price of popular cryptocurrencies like Ripple coin, Ethereum coin, Litecoin crypto, and more.
As more and more people are adopting cryptocurrencies thereby creating more demand. Which will eventually lead to an increase in the Cryptocurrency price?
SHORT TERM CRYPTO TRADING
The second is short-term trading where a trader buys the coin and hold it for a short period before selling them.
Short-term traders rely on real-time data feeds and liquid markets to enable rapid entry to and exit from trades.
There are three to four approaches for short-term cryptocurrency trading.
The first is day trading. In this method, transactions are completed within a day. A cryptocurrency trader buys a cryptocurrency and sells in a short span of time. No transaction is held overnight.
The second approach is swing trading. A cryptocurrency trader uses this method when an asset is most volatile. This method uses technical trading signals to look for the turning point in short-term trends.
Traders make the profit on the daily swing of the price of BTC whether upward or downward. Swing trading can prove to be very profitable in a short span of time if a crypto trader learns to read the technical indicators.
The third approach is scalping. Here cryptocurrency traders attempt to profit from minute to minute moves, often capitalizing imbalances in order-book to make a heap of minor gains. Traders tend to read charts of 5 minutes or less to make the profit using scalping.
BELOW ARE THE MUST FOLLOW TIPS FOR A CRYPTO TRADER TO START A CRYPTO TRADE
REFERENCING THE PREDICTION MARKET BEFORE STARTING A CRYPTO TRADE
Kocurrency prediction market predicts the price of cryptocurrencies based on the trading pattern of most successful crypto traders in trading cryptocurrency.
It provides an insight into the method used by leading players in the market. Thus before start crypto trade always refer to KoCurrency prediction market.
STAY UP TO DATE WITH TRENDING CRYPTOCURRENCY NEWS
Buy the rumor, sell the news. If you want to make a consistent profit by cryptocurrency trading then it is very important to follow the recent Crypto-market news. Sometimes it allows crypto traders to predict up’s and downs of the Cryptocurrency market.
For example, if a big country ban Cryptocurrency or a reputed crypto trading platform got hacked. It may make the price go down.
And if established business integrated with Bitcoin or friendly regulation announced may make the price rise.
FUNDAMENTAL ANALYTICS OF CRYPTO TRADING ASSET...continue reading 15 crypto trading tips to earn like a pro
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