Does trading fees really matter ? - page 6.

Kelvinid

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Quote from: PuertoLibre on October 13, 2019, 06:53:42 AM

Quote from: pawanjain on October 10, 2019, 12:00:19 PM

Most of the exchanges have a minimal trading fees of about 0.25%
I see many people discussing trading fees here and there and that how high the trading fees is.
Does 0.25% really make a huge difference if you are earning at least more than 2% ?

The minimal trading fees can lead to the low-profit percentages for the day traders with high daily trading volume. Average traders don't even feel the gap of trading fees on the account statement but high-level day traders can lose up to $10k with a 0.25% trading fee. Some exchanges have a negative trading fee and this type of fee structure brings crypto traders for making more BTC with same trading style IMO.

In some cases, fees are considerable but having a 0.25% trading fee isn't acceptable in many traders. I think all traders are much looking for trading exchanges that could offer them low fees. If we think about how it affects our profitability, it is really big and this is to measure the possible profits we may get in the long run.

Karmakid

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Quote from: crossabdd on October 13, 2019, 03:22:49 AM

Quote from: pawanjain on October 10, 2019, 12:00:19 PM

Most of the exchanges have a minimal trading fees of about 0.25%
I see many people discussing trading fees here and there and that how high the trading fees is.
Does 0.25% really make a huge difference if you are earning at least more than 2% ?

it might look small if you trade using small capital, but it might be different for brands that have detailed calculations with large capital. for example is 10-20BTC in trading, then 0.25% is fee. if the price of Bitcoin is 8000 $ then $ 80K - 200 $ and in my opinion this is big for fee. but if we make 2% of $ 80K. it shouldn't matter.

That is why you need to make sure that you are making a good amount of profit percentage before you trade your coin. The fees on the exchanges are fixed and it is always up to us if we can manage to make at least 10-20% profit for each trade so we don't have to worry about the fee that we needed to pay.

PuertoLibre

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Quote from: pawanjain on October 10, 2019, 12:00:19 PM

Most of the exchanges have a minimal trading fees of about 0.25%
I see many people discussing trading fees here and there and that how high the trading fees is.
Does 0.25% really make a huge difference if you are earning at least more than 2% ?

The minimal trading fees can lead to the low-profit percentages for the day traders with high daily trading volume. Average traders don't even feel the gap of trading fees on the account statement but high-level day traders can lose up to $10k with a 0.25% trading fee. Some exchanges have a negative trading fee and this type of fee structure brings crypto traders for making more BTC with same trading style IMO.

cryptoknightt

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I think trading costs are very important because with the trading costs, you value the team that works behind the exchange and where the exchange can use trading costs by developing its platform to be the best exchange place.

Fredomago

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Quote from: crossabdd on October 13, 2019, 03:22:49 AM

Quote from: pawanjain on October 10, 2019, 12:00:19 PM

Most of the exchanges have a minimal trading fees of about 0.25%
I see many people discussing trading fees here and there and that how high the trading fees is.
Does 0.25% really make a huge difference if you are earning at least more than 2% ?

it might look small if you trade using small capital, but it might be different for brands that have detailed calculations with large capital. for example is 10-20BTC in trading, then 0.25% is fee. if the price of Bitcoin is 8000 $ then $ 80K - 200 $ and in my opinion this is big for fee. but if we make 2% of $ 80K. it shouldn't matter.

Logically right. If you do earn such amount per trade, then it won't bother you that much. What's important is the actual outcome of your trading activities. Fees are part of the system and the exchange who's hosting your trading business.

If you have a good knowledge with how everything has been executed around this venue of investment, you'll be able to see if what you're doing is beneficial to you.

crossabdd

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Quote from: pawanjain on October 10, 2019, 12:00:19 PM

Most of the exchanges have a minimal trading fees of about 0.25%
I see many people discussing trading fees here and there and that how high the trading fees is.
Does 0.25% really make a huge difference if you are earning at least more than 2% ?

it might look small if you trade using small capital, but it might be different for brands that have detailed calculations with large capital. for example is 10-20BTC in trading, then 0.25% is fee. if the price of Bitcoin is 8000 $ then $ 80K - 200 $ and in my opinion this is big for fee. but if we make 2% of $ 80K. it shouldn't matter.

qwertyup23

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Quote from: pawanjain on October 10, 2019, 12:00:19 PM

Most of the exchanges have a minimal trading fees of about 0.25%
I see many people discussing trading fees here and there and that how high the trading fees is.
Does 0.25% really make a huge difference if you are earning at least more than 2% ?

Trading fees would matter especially if you do it on a consistent/daily basis. The values may be relatively small but it accrues exponentially once you do trading as your main line of income. That is why most traders need to look for an exchange that has low fees. Remember that anything that deducts your income matters in the long-run.

Quote from: Rufsilf on October 12, 2019, 07:32:55 AM

That is really a big factor to see when you are in trading. We're not in trading to makes gains just to pay for the fees but for us to save more.
Traders will never take used trading exchanges that have high fees but they are more considerate with those who can give them free or of a small amount.
Many reputable exchanges save those cause they remain at low which it helps to keep their traders stick to them.

I agree. There are others that seldom trade and just HOLD their resources. In the contrary, day-traders suffer the burden of paying these fees due to their nature of trading daily.

trumpman

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Quote from: pawanjain on October 10, 2019, 12:00:19 PM

Most of the exchanges have a minimal trading fees of about 0.25%
I see many people discussing trading fees here and there and that how high the trading fees is.
Does 0.25% really make a huge difference if you are earning at least more than 2% ?

well, if you trade only once in a while and only when you have a big % in profits, no it doesn't make a difference. But for a day trader shooting for small profits, those 0.25% quickly add up and can make quite a difference between making a profit or loss!

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Quote from: pawanjain on October 10, 2019, 12:00:19 PM

Most of the exchanges have a minimal trading fees of about 0.25%
I see many people discussing trading fees here and there and that how high the trading fees is.
Does 0.25% really make a huge difference if you are earning at least more than 2% ?

It's really great for those who hold lots of money and trade in bulk. so that's why exchanges are always offering fee reduction policies to attract more traders to their exchanges.
There are even exchanges that do not use fees for trading, which will be a great advantage in competing with large exchanges.

iMark

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Quote from: pawanjain on October 10, 2019, 12:00:19 PM

Most of the exchanges have a minimal trading fees of about 0.25%
I see many people discussing trading fees here and there and that how high the trading fees is.
Does 0.25% really make a huge difference if you are earning at least more than 2% ?

You already have the answer dude, the answer is simple not all traders have a strategy to get a profit with a large margin, some traders even only target a profit of around 2%-5%, and if the fee for each transaction in exchange of almost 1% of course it greatly reduces the profit he gets right? sometimes some exchanges provide relief fee such as 0% on some altcoin markets, and fortunately local exchanges in my country give 0% fee also for altcoin trading, of course it's a great relief for me.

KnightElite

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Quote from: pawanjain on October 10, 2019, 12:00:19 PM

Most of the exchanges have a minimal trading fees of about 0.25%
I see many people discussing trading fees here and there and that how high the trading fees is.
Does 0.25% really make a huge difference if you are earning at least more than 2% ?

For me 2% fee is a big amount of money. I use exchanges that have lower commission or fees for me to maximize my profit. .25% fee and 2% have a huge difference so trading fee is a matter.

NathanJB

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Quote from: pawanjain on October 10, 2019, 12:00:19 PM

Most of the exchanges have a minimal trading fees of about 0.25%
I see many people discussing trading fees here and there and that how high the trading fees is.
Does 0.25% really make a huge difference if you are earning at least more than 2% ?

0.25% is big deal if you are a full time trader. It only takes 4 trades and you are already giving away 1% to the platform you are using. Make it 8 and you are already 2% off. And how many trades will a trader do in a full day? It is not few. Not to mention that a trader does not always win. There are times when they lose more than they win.

rodel caling

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Quote from: pawanjain on October 10, 2019, 12:00:19 PM

Most of the exchanges have a minimal trading fees of about 0.25%
I see many people discussing trading fees here and there and that how high the trading fees is.
Does 0.25% really make a huge difference if you are earning at least more than 2% ?

There's no choice for that mate exchange is all about business tha need also to get profits of the owner or developers. If you looking for the low fees in your trading job I suggest try poloniex low fee and secured I am not promoting poloniex and I have nothing connection I only give a choice for your problem what are you looking for.

nasipadang

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Quote from: pawanjain on October 10, 2019, 12:00:19 PM

Most of the exchanges have a minimal trading fees of about 0.25%
I see many people discussing trading fees here and there and that how high the trading fees is.
Does 0.25% really make a huge difference if you are earning at least more than 2% ?

It's big enough if 2% here has a high value, if you trade in large quantities such as 10 bitcoin then in dollars what fees should be spent. Even though we still benefit, it's just a matter of thinking about the size of the fee in the market.

Golstrim

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Yes, 0.25% is really too much if you trade with 20 x leverage and have frequent deals. With 1000$ deposit you can pay 500$ comission to exchange monthly.
I am not joking, it is my calculations and my comission is too huge

uray

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Quote from: Inkdatar on October 12, 2019, 12:58:58 AM

It really does matter in my point of view, for those who have a small capital when doing a day trading. The same I always choose the exchange costing lower fee since when I do trading my capital is just enough.

The problem with trading with small amount of money is that you cannot end up in a profit even if you sell the coins at a minimal profit because there is trading fees which might not be a big deal but the withdrawal fees is still big in majority of the exchanges and they will input the minimal transaction fees and all the exchanges have varied fees structure and i usually avoid exchanges with higher withdrawal fees if i am doing arbitrary.

nydiacaskey01

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If you are trading with a capital of $1,000 USD, 0.25% of that $2.5 USD
Sounds small right?
But if you are a day trader and daily your capital is $1,000 USD, thats how much in 1 week? Then check how would that be in 1 month.It may sound small but if you are in need of money, there will come. a time that you will think of the 0.25% and how much would that be after making 1,000 trades.

Rufsilf

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That is really a big factor to see when you are in trading. We're not in trading to makes gains just to pay for the fees but for us to save more.
Traders will never take used trading exchanges that have high fees but they are more considerate with those who can give them free or of a small amount.
Many reputable exchanges save those cause they remain at low which it helps to keep their traders stick to them.

bitcoin31

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0.25 percent for every trade you made is still low because for me when Im selling my coim I'll make sure that my minimum profit is 10 percent so I think it is still okay to that kind of percentage in trading. But for the others maybe that is huge because they earnings is very smll so the effect for them is very big but for the traders who have a huge income I don't think they can feel it.

BitHodler

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Quote from: Reid on October 12, 2019, 05:22:12 AM

.25 percent multiplied 8 times will be 2% again which is what you make.

That's not how fee calculations work. No matter how many positions you open or close, the overall fee you pay remains 0.25%---the only thing that changes is the amount the more volume you generate.

Easy example.

0.25% fee over $1 trade = $0.0025
0.25% fee over one hundred $1 trades = $0.25

You see that the fee remains 0.25% no matter what.

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