I want to share this also for the beginners to understand what is trading in more simplest term.
Crypto-Trading is the act of buying and selling cryptocurrencies through an exchange (trading platform). The term “crypto” is the prefix for the word cryptography; which is the structure of techniques that secret writing, especially code and cipher systems that is sometimes used to decentralize systems for security purposes. The term “trading” is the act of buying, selling, or exchanging something of value. The crypto-markets are much more volatile than other markets. Platforms are normally provided by exchanges and are available to anyone who wishes to invest and profit from the market.
Topic: Trading Dynamics (Read 172 times)
Yes there are lots of cryptos available to trade on but having many of them as option to trade can be stressful and confusing. It is better to focus on few and master their patterns of movement so that you can understand their waves and price action. With mastering of the price action, you can interpret the movement and waves.
Trading require a lot of skill and patience.
Trading is just a means of taking money from the impatient and giving it to the patient as a seasoned trader once said.
Trading is just a means of taking money from the impatient and giving it to the patient as a seasoned trader once said.
This are very helpful tips, for noobs and also experts alike.
Cryptocurrency has possibilities and risks, and traders should always invest what they can afford to lose.
Cryptocurrency has possibilities and risks, and traders should always invest what they can afford to lose.
Trading has been an existing concept as individuals have traded shares, bonds, shares for profits.
Cryptocurrency which was created in 2009 (bitcoin being the first)offered an alternative for traders and investors, it's volatility and rapid fluctuations made trading with little capital possible, opposed to forex tading, were you need a large capital to get huge returns from little pip growth. (you could also leverage on your broker, but this increses the risk, and the chances of losing you profits quickly)
When venturing into cryptocurrency trading, always consider the dynamics;
- It is a decentralized protocol, with little to no regulations, this increses the risk as it is not supported by any financial or banking sector and the value is subsceptible to manipulations.
- It is restricted in some countries and seemed illegal. This restrictions limits it's circulation in those states, https://cryptocurrencyfacts.com/2018/02/10/some-us-banks-block-buying-crypto-with-credit-cards-and-more/
- It is a 24/7 market, meaning the market never closes, even during weekends.
- You'd need a wallet and an exchange, I would suggest using https://cryptocurrencyfacts.com/exchanges/coinbase/ or https://www.gdax.com/.
You could also buy on other. With this you can buy/sell and store your assets.
As a a newbie to trading you might want to consider a few tips;
- Start small, always start with a small capital and practise without the pressure of huge losses.
I would also suggest you practise with a demo account before live.
- Consider the risks, the volatility in cryptocurrency offers a the possibilities of huge gains and also the risk of losses.
Always take a holistic approach.
It's also advisable to use more than one exchange, (check out this list of exchanges https://themerkle.com/top-5-altcoin-exchanges/ )
This would allow you to practise arbitrage trading, which is basically utilizing the fact that currencies have different values on different exchanges (due to difference in trading volume).
And always stick to what you know, there are a lot of digital currencies, checking out every new one can be stressful and confusing.
I'd advise you go for the top currencies in coinmarketcap.com as it reduces the risk. But always keep an eye out for potential.
Happy trading
Cryptocurrency which was created in 2009 (bitcoin being the first)offered an alternative for traders and investors, it's volatility and rapid fluctuations made trading with little capital possible, opposed to forex tading, were you need a large capital to get huge returns from little pip growth. (you could also leverage on your broker, but this increses the risk, and the chances of losing you profits quickly)
When venturing into cryptocurrency trading, always consider the dynamics;
- It is a decentralized protocol, with little to no regulations, this increses the risk as it is not supported by any financial or banking sector and the value is subsceptible to manipulations.
- It is restricted in some countries and seemed illegal. This restrictions limits it's circulation in those states, https://cryptocurrencyfacts.com/2018/02/10/some-us-banks-block-buying-crypto-with-credit-cards-and-more/
- It is a 24/7 market, meaning the market never closes, even during weekends.
- You'd need a wallet and an exchange, I would suggest using https://cryptocurrencyfacts.com/exchanges/coinbase/ or https://www.gdax.com/.
You could also buy on other. With this you can buy/sell and store your assets.
As a a newbie to trading you might want to consider a few tips;
- Start small, always start with a small capital and practise without the pressure of huge losses.
I would also suggest you practise with a demo account before live.
- Consider the risks, the volatility in cryptocurrency offers a the possibilities of huge gains and also the risk of losses.
Always take a holistic approach.
It's also advisable to use more than one exchange, (check out this list of exchanges https://themerkle.com/top-5-altcoin-exchanges/ )
This would allow you to practise arbitrage trading, which is basically utilizing the fact that currencies have different values on different exchanges (due to difference in trading volume).
And always stick to what you know, there are a lot of digital currencies, checking out every new one can be stressful and confusing.
I'd advise you go for the top currencies in coinmarketcap.com as it reduces the risk. But always keep an eye out for potential.
Happy trading
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