This post covers the following topics:
UNDERSTANDING WHAT CRYPTOCURRENCIES TRADING IS ALL ABOUT
WHAT YOU MUST CONSIDER BEFORE TRADING CRYPTOS
- Your financial status
- Your experience
- Your trading platform
- Your electronics device
Official documents
TYPES OF CRYPTO INVESTMENT
HOW YOU CAN LOOSE MONEY IN CRYPTO TRADING
POPULAR TRADING PLATFORMS YOU CAN TRADE CRYPTOCURRENCIES LOCALLY
UNDERSTANDING WHAT CRYPTOCURRENCIES TRADING IS ALL ABOUT
In case you are trying to start cryptocurrencies trading and make good money out of it. This post can be of immense help to you. There are many crypto currencies you can choose from when making decision to venture into the trade. Besides, you can still trade the whole cryptocurrencies if you have enough resources to do so.
Those who understands how the crypto business works earlier are the big names in the business today. Some of them have become fulltime crypto traders making a living by just trading the digital coins. Though digital currencies are a new concept in Nigeria, many young people understand how it works and most of such people with enough finance ventured into it.
Trading cryptos is a good venture but it requires full commitment and experience otherwise you may be at risk of losing your investment. Though the value of bitcoin and other digital currencies had been on increase over the years, the risk of losing your money due to poor calculations is possible. Experts in the business have some rules and strategies gathered as a result of trading experience.
Profits in crypto trading have no specific amount or range rather it is either you make it big or make it small.
WHAT YOU MUST CONSIDER BEFORE TRADING CRYPTOS
As a beginner, it is not advisable to jump into crypto trading without considering some vital requirements or tools associated with the business. To run a successful crypto currency business you must consider the following:
CRYPTOCURRENCIES TRADING
YOUR FINANCIAL STATUS
Your financial status has to do with how much you have and how much crypto you can afford. Crypto currencies are not cheap and some trading platforms will not allow you if you can not afford certain amount of cryptos in your account while majority of the trading can allow you to trade with low capital but the disadvantage is high compare to the trader with high capital.
To become a successful and high-profit-making crypto trader, you need to trade with big capital. Consider this as normal physical business you do because capital plays huge role in profit-making in any business.
YOUR EXPERIENCE
Just like in every trade, experience is a vital key when it comes to crypto trading. You need wealth of experience to enable you gather enough all you need to shield your capital against potential loss. You can learn from those already in the business by enrolling in short-time trading courses rather than investing your money into something you know only little about it.
If you need to take the risk and insist on enrolling into the investment with little experience, then it is also advisable to start with low capital in fact, start with something les than N50,000 until you are able to understand how the trading works even if you have up to a million Naira to invest into the business.
YOUR TRADING PLATFORM
The trading platform you choose will impact greatly to your success in the trading profession. For instance, some trading platforms (websites) has low popularity, poor website user-friendly, poor security coding, and low number of users. These negative aspects of such platform mean you may not easily be noticed by the potential buyers of your cryptos and you may also have enough link to the potential sellers of cheap cryptos within the platform.
However, experienced traders use because of the above negative influence in some platform as reasons to signup with multiple trading platforms using the same credentials and wallets. What this implies is that, such trader can be trading in fie different websites using only one wallet of his crypto account. Though it will require some advance applications supports, constant online presence and lots more, the benefits however outweigh the stress.
YOUR ELECTRONICS DEVICE
As an online trader, you are required to be up-to-date with current happenings in the trading world. You are supposed to be ahead of your clients in knowing prices, inflations and deflations across different continents, and lots more.
Based on the above reasons, you need sophisticated electronics devices that can access the internet easily such as laptops, smartphones, tablets, and gadgets. These tools should be very handy to you to view trade trends, analysis, and changes. These observations enable you to make quick decision in your next trade to avoid losing money.
So as a beginner, consider having a quality smartphone or/and laptop to give you easy access to the internet.
OFFICIAL DOCUMENTS
Do you know that as an online trader, you need official documents like your national ID card, Voters Card, International Passport, driving license or any other government-issued document? Any of these documents will be required from you when activating trading and buying account in almost all the crypto trading platforms.
Some platform can request more than one document from you as a trader to be able to activate your account for trading and making of transactions while some will only require one document issued by the government and is still valid before allowing you to trade on their platform. Though the process is stressful, it is for your own security and the security of others by ensuring you are not giving fake identity thereby putting others at risk of making transactions with you.
TYPES OF CRYPTO INVESTMENT
There are many types of crypto investment ranging from daily trading of crypto currencies such as Litecoin, Ethereum, bitcoins, and many others to Binary options, Long-term Crypto investment, and lots more.
The type you choose determines your level of experience. Majority are into daily trading of bitcoin because it is easier to learn and understand than other methods.
HOW YOU CAN LOOSE MONEY IN CRYPTO TRADING
Yes, this is the most vital part. Properly the part you have been waiting to hear. If you ask me whether you can possibly loose your money in crypto trading, the answer should be capital ‘YES’. You can loose money while trading online not just the Cryptocurrencies even FOREX traders also loose money.
As I told you earlier that you have to liken the online trading to the physical-real-world-trading. An inexperienced trader in the physical-real-world-trading will always lose money the same applies to online trading.
Here Are Ways You Can Loose Money While Trading Cryptocurrencies:
- If you are impatient and always in a hurry to buy and sell: This habit is common in new traders who are inexperienced before venturing into it. Such trader buys crypto at will and sell at will provided little profit is made from it without considering the current price when the selling what is already in stock.
- If your trading account is poorly secured: Sometimes a trading platform may be vulnerable to security threats but in most cases, the security lapses could be coming from the owner of the account. Most of the trading platforms have two-factor authentication setup that the trader needs to activate for security reasons. Some traders have got their trading account hacked and all the cryptocurrencies in their wallet got stolen by the hacker due to their own carelessness.
- If you are using unpopular platforms: using trading platform with loss number of users will be delaying how often you trade. Remember that the more often you buy and sell with profit, the more money you will be making. Therefore, you may be losing money by not seeing who to buy from you.
- If you are trading without knowledge of trends interpretations: trading trends reveals instant changes across the globe in each online trade. The more you can read and interpret it, the better you can adjust prices or predict what could happen in the next few hours, days, or month. The data is vital to your decision-making as a trader.
SAMPLE OF TRADE TRENDS AND CHARTS
POPULAR TRADING PLATFORMS YOU CAN TRADE CRYPTOCURRENCIES LOCALLY
Though I would love to list some popular trading platforms here, but this post is not intended to promote any trading platform. Therefore, I may dig-deep into this topic to make a compiled list of popular trading platforms based on concrete criteria such as their google ranking, visitors, and lots more.
