Topic: Cryptocurrency trading for beginners. (Read 888 times)

For beginners cryptocurrency is a complex system of earnings which requires special attention. As a novice, it was difficult for me to start trading coz of high risks, therefore I started with quite small amounts of money

All professional traders must have started as a beginner. In my experience crypto currency trading is not vastly different from any other trading as we can use all the technical tools in crypto currency trading also. It means we do not need to study any new things just for the reason of entering in crypto currency trading. But, due to high volatility of crypto currency trading we need to be more careful and this must be a very big differences from other trading like stock trading. Sometimes you cannot be relaxed while trading in cryptos as you must need to take decisions based on the volatility of market situations. Being careful will help any beginners to be successful in cryptocurrency trading.

Instead of getting struggle with crypto currency trading, the best to approach for anyone to make profits from crypto market must be going for long term holding rather than looking for trading it. When you opt for holding, you may just get rid of all the big hassles of crypto trading.

Like impact of news into crypto markets, there are a lot of other factors which are behaving very unique to crypto currency trading. I believe this is the reason why crypto trading is not suitable for all the people and especially beginners in crypto trading must need lots of practice before risking their capital.  Still, I agree there are a lot of people who are making big profits from crypto trading but definitely not in their beginning days itself.

Beginners of crypto trading must start with small capital until they are gaining enough experience on volatility of crypto markets. Making decisions based on the fluctuations of market is more important in crypto trading as per many professional traders' view.

But I believe fundamental analysis is also more important event for cryptocurrency trading. A fundamental analysis is a study on why a coin was introduced and what are the basic concepts and solutions it will be dealing for. So, fundamental analysis on cryptocurrency is not different from other types of trade markets.

Like any other markets, news are always giving more impact into the price levels and trend of the market. But there were situations where bitcoin markets simply ignored many news. For long term trading or holding, I believe that there will be no need to worry about any kind of news.

I believe that fundamental analysis is more instrumental in changing crypto price trends and this is different from other types of trade such as stocks. You must be smart to see all news related to crypto because it is important to create price changes and if you understand well then your profit will easily reach

By the way, Velvet.Exchange is quite a good option for trading various digital financial assets, and not just a crypt.

Friends, I welcome you, I'm very glad that the previous article was useful for many https://bitcointalksearch.org/topic/m.29236037, so I decide to write a little more about trading and investments.

Trading for a beginner is a dangerous thing, so everyone should decide for themselves: not to be a beginner, or not to be a trader. Why is that?
Here are a few facts:
 1. Cryptocurrency market is highly volatile, the rates change constantly and it is almost impossible to predict the price movement up or down.
 2. Cryptocurrency market is practically not subject to fundamental analysis. Basically, this is a market relationships, or the manipulation of the market by large players.
 3. Cryptocurrency market does not have a transparent information background, no one can be 100% sure of it. Very often it happens: there seems to be believable news, but in fact it was just a market manipulation, for someone's re-purchasing or information was just incorrect.

If the newcomer wants to succeed in trading, he should study in detail 6 tools for analysis:
1. Basics of technical analysis
2. Computer analysis
3. Use of tools for trading
4. Basics of fundamental analysis and analysis of market movements in the past.
5. News
6. Cryptocurrency technologies (whether there is in general a sense in this or that technology, whether it is useful to a society, whether carries something new or it is the next fork of what that of coins).

To become a professional trader you will have to learn a lot, practice a lot, plunge deeply into the market, conduct a certain number of transactions, survive ups and downs, as well as incur certain losses.

It is this approach will allow eventually succeed and become a successful trader. Learning and knowing a certain tool shifts the scale in your favor: if initially your chances of predicting price movement are estimated at 50/50, many mistakenly think that knowing all the subtleties of trading their chances will approach 90/10, unfortunately this is not so.
Good indicators are 55/45, at best they will be 65/35, because one transaction is not indicative, it will be necessary to open many transactions and only at the distance in the theory of large numbers the results will approach the mathematical expectation. You will start to guess more often and less often make mistakes, this is the best way to succeed in trading on the crypto exchange market and this is no longer the path of a beginner. You will have to cease to be a beginner and become a professional. Or you can choose another way – not to be a trader. Do not try to predict the movement of a course, but simply buy something that has fundamental reasons for growth, buy something that is inextricably linked with cryptoeconomics. It is known, it grows, grows very violently for a long time, even when local corrections occur, even when markets or individual market sectors collapse locally. Thus, changing the approach to a more fundamental one: portfolio or index, you very often can get rid of those problems that are in trading.

Historically, in a variety of markets: foreign exchange, commodities, securities markets and other proven -traders tend not to overtake the market itself. So, for example, if you invested in all American stocks by not a lot, you would get a better result than you looked for the asset that you want to invest in now, anticipating its price movement in the short/medium term.


Nevertheless, many people try their luck in trading, because it is precisely in times when the cryptocurrency itself does not give such a rapid growth and trading comes to the fore as a market neutral strategy, a strategy that can bring you profit, even when the whole market is in the flat or in the red. After all, trading allows you to earn on the fall and stagnation of the market, not just on its growth.

So I decide to sort out all 6 tools a little, so that the beginner had the opportunity to combine trading with investment.

Finally found a useful thread that I read and gain some knowledge

Trading is not a hard thing but as you said it is quite risky,any one can lose their capital at any time so starting with minimum capital to learn about trading can be a good option.And also they need to decide why they are trading and it is suitable only when they do it as job,short term trading is not better to do now.