So, by now you must be well-aware that cryptocurrency is kicking ass and has not become a highly valuable asset in the global world. Crypto has changed the perspective of people who trade in forex and invest in stocks.
Bitcoin was the first crypto coin and today you have over 2000 coins in the coin market cap which people use to trade.
Why should you care about cryptocurrency trading?
At present, cryptocurrency trading offers an amazingly high potential return. In the year 2010, Bitcoin was 8 cents and today its price is $7000. This sudden rise of the coin has diverted the attention of people to enter cryptocurrency trading rapidly.
How can you start with trading?
First and foremost, it is very important to ensure that you only invest the amount of money which you can afford to lose. Trading cryptocurrencies has a high amount of risk involved.
A simple piece of advice is that you should go through the top ten coins and look at the trend and then buy them at a particular price and predict to reach a particular price and then hold them for some time.
To start with, just buy any preferred crypto on a regulated exchange and then hold the coin for some time. You can buy Bitcoin, Ethereum, Litecoin, Tron, Ripple Dash, Iota, Neo, Monero and so many more from the list.
It is important to understand that you don’t have to buy a complete coin. You can buy the amount of coin according to the investment you want to make. So, your profits will change according to the amount of coin you have purchase in the right proportion.
If you want to enter the world of cryptocurrency, then a simple piece of advice for beginners is to just split your investment across different coins and trade according to their trend, price pattern and your strategy. It is also important to do technical analysis and fundamental analysis before you begin trading in a particular crypto coin.
Also make sure that you don’t trade in any coin which lacks volume. You should trade in popular coins as high volume demands high movement and better profit returns.
Is crypto trading risky?
Well, the answer is yes! The crypto market is in its infancy and it highly volatile. So, people should put in some of their buck to hedge their bets in this market. You also have chances to lose your money, but you shouldn’t freak out because of it.
If you join the brokers like RoyalCBank, follow the rules and have a proper strategy plan for your trade, then you will definitely never encounter any loss.
Which coins should you trade in?
Well, it is important to choose your coins with great care and caution. Go through their past and find out what is going to happen to them in the near and far future?
Find out how much risk you want to take on a particular coin and then spread your risk wisely. Always choose the famous coins for your trade to avoid making losses.