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Benefits of Crypto Trading

Paulsy

Well-known member
The concept of crypto-trading has largely gained popularity over the past few years thanks to its many advantages. Market capitalization and valuations have been heavily influenced by speculation about the future potential of this new trading practice. Below are some of the benefits of cryptocurrency trading, along with the reasons it has become increasingly popular.

1. Availability of Wide Selection

Coincident with the progress of the cryptocurrency market, the possibilities for profit-making have also become more widespread in crypto trading. Traders can speculate on whether the price of a crypto asset will rise or fall and make money when it goes their way. The Cryptocurrency trading market offers a huge amount of choices for investors. While Bitcoin and Ethereum are among the top coins, the market has hundreds of other cryptocurrencies which are generating a high trading volume.

However, it is important to know the difference between owning the asset and trading the currency pairs. Trading crypto can be achieved through CFDs, spread betting, scalping, position trading, range trading, swing trading, and intraday trading. AximTrade offers crypto traders of all levels a comprehensive crypto trading experience by providing them with access to trade 36 cryptocurrencies ranging from Bitcoin, Ethereum, Binance Coin, Dogecoin and nearly every other top cryptocurrency.

2. The volatility of the Crypto Market

The volatility of the crypto market is one of the main reasons why both retail and institutional investors are interested in them. A great example of this is Bitcoin, which has grown 170% in a year, from being worth $9,000 to around $20,000. Furthermore, the price rose exponentially in 2021, and at one point it reached over $40,000, and at another point, it reached over $60,000 in just a few months.

Crypto markets are also volatile because they are still in development, so various events can affect their position. Rapid intraday price fluctuations can offer traders a range of potential opportunities, but they may also be associated with higher risk. You should do your homework before exploring the cryptocurrency market and devise a risk management strategy if you decide to do so.

3. The Ability to Trade 24/7

As opposed to forex, stocks, and commodities, which are traded 24/5, the cryptocurrency market is usually open 24/7 since there is no centralized governance of the market. The market is, however, sometimes closed for infrastructural upgrades, which happens very rarely. Crypto trading is a tremendous opportunity, especially for part-time traders with full-time jobs, as it allows them to trade in their spare time.

4. Improved liquidity of the Crypto Market

Cryptocurrency liquidity refers to how easily and quickly a cryptocurrency can be converted into cash, without impacting the market price. Liquidity is important since it results in better pricing, faster transaction times, and more accurate technical analysis. As a result, you can easily minimize risk and generate profits quickly. In contrast, trading in the illiquid market places traders in situations that are hard to exit.

5. Possibility of going Long or Short

By buying a cryptocurrency, you are purchasing the asset upfront with the hope that its value will increase. However, if you trade cryptocurrency, you can profit from markets that are falling in value and those that are rising. We call this going short.

Going long means you purchase a value at a certain price and sell it at a higher rate as its value increases. Profit is the difference between the cost of your purchase and the cost of selling it. Going short means borrowing the crypto and selling it on the open market first, then buying back those units at a lower price. The difference between the two prices is what you profit from. Trading cryptocurrency gives you the opportunity to do both.

6. Ability to trade with Leverage

Leverage is the use of a deposit, also called margin, that allows you to increase your exposure to a particular asset. To put it simply, you only deposit a fraction of the trade value and your broker loans you the remainder.

CFD trading and spread betting are leveraged products in cryptocurrency. You can, therefore, open a position on 'margin' – that is, a deposit that is only a percentage of the trade's value. With a small amount of capital, you could gain great exposure to the crypto market. However, leveraged trading can also magnify any losses, including losses that may exceed your initial deposit. Make sure you have a comprehensive risk management strategy in place, including the appropriate stops and limits.

7. It is easy to Open a Trading Account

Purchasing a cryptocurrency requires you to use an exchange, which requires you to create an exchange account and store the cryptocurrency in your digital wallet. This can be a complicated and time-consuming process.

But when it comes to cryptocurrency trading with AximTrade, our simple online application process and instant online verification will enable you to open a trading account in less than five minutes.

In contrast to traditional methods, cryptocurrency trading methods operate differently, and as a result, they require careful consideration. The cryptocurrency market is considered volatile and often defies the logic of traditional trading. So, it is advisable to conduct extensive research before trading cryptocurrency and develop a risk management plan that is in line with your trading goals.
 

WalletInvestor

Well-known member
Nice summary, the crypto market indeed has a lot of benefits. The risks are generally very high, though, so that's something we need to be mindful of.
 

schmutz

Active member
Thanks for the quick introduction! Crypto is an amazing opportunity, but it has high volatility. One should trade in crypto only after acquiring complete knowledge of the market.
 

louisegoodman

Well-known member
Cryptocurrency is considered as the future of digital currency. Since crypto trading is open 24/7, you can create a lot more opportunities for yourself to make money.
 
There are several advantages to investing in the crypto market. However, the dangers are normally extremely significant, therefore we must be cautious. Cryptocurrency is considered the future of digital currency. You may generate a lot more possibilities for yourself to make money because crypto trading is available 24 hours a day, seven days a week.
 

Statoscope

Active member
Crypto trading refers to trading cryptocurrencies. Cryptocurrencies are similar to fiat currencies, except that they are decentralised. This means that a middle man, such as a bank, is not required in order to process transactions. The transactions are processed by a peer-to-peer network. This means that no regulatory body is required to oversee the operations. The currencies are also not owned or controlled by any government or institution.
 
Cryptocurrency is regarded as the digital currency of the future.
Because crypto trading is available 24 hours a day, you have a lot more opportunities to make money.
 

skiascope

Active member
I’m also planning to change my wallet. What is the fee structure at capital wallet? And, is it safe?
Capital wallet is a multisig wallet, so it’s pretty safe. You can also enable 2-FA in your wallet for additional security if you want. Regarding fee structure, then you’ll be charged 0.5% trading and conversion fee, which is on a per-trade basis.
 

diabolique

Active member
Capital wallet is a multisig wallet, so it’s pretty safe. You can also enable 2-FA in your wallet for additional security if you want. Regarding fee structure, then you’ll be charged 0.5% trading and conversion fee, which is on a per-trade basis.

How many cryptocurrencies do they offer?
 

AllanLisa

New member
Professional crypto trading specialists collect all the necessary information about channels. Next, they only give the status “approved” to the trusted providers. Among such crypto signal providers are ICOspeaks and others (https://icospeaks.com/the-best-crypto-telegram-groups-and-channels). Choose among the reliable crypto signals that will help you become a pro trader and earn a stable income. As you could already understand, pump and dump signals can’t provide you with a positive trading experience. Don’t be attracted by the groups that will offer you fast and easy money here and now. Now, you know that not all pump and dump signals aren’t so trustworthy. They attract newcomers who don’t have enough knowledge about how trading crypto signals work.
 
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PriceNTime

Active member
The 24/7 is good and bad tbh. Allows me to make money all week but equally there is no break. Have to get that work/life balance right
 

Ponsmo

Member
This is well summarised, I must say! In the near future, crypto could take over. This will be quite the educational cost for newbies here.
 

Homostone

Active member
Crypto trading is good for someone who knows how to play the volatility. I'm also trading a couple of crypto CFDs (btcusd and ethusd) with fxview. Scalping works best for me and I exit as soon as my trades hit the target profit. Crypto trading tends to be riskier, so one has to choose the trading style based on their risk tolerance.
 

finance girk

Active member
Cryptocurrency is considered the future of digital currency. You may generate a lot more possibilities for yourself because crypto trading is available 24 hours a day, seven days a week. There are several advantages to investing in the crypto market. However, the dangers are normally extremely significant, therefore we must be cautious. Best Free Forex Signals Online
 
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