Need a beginners guide to cryptocurrency trading in 2018?
As one of 2018’s best money making opportunities, cryptocurrency is rapidly becoming one of the hottest investments right now. However, it’s not that easy to get started and there’s a few things you really need to know before you invest anything.
So here’s my beginners guide to cryptocurrency trading in 2018…
1. How To Get Started Trading Cryptocurrency.
Before you can even begin trading cryptocurrency, you need a crypto wallet.
I’d highly recommend checking out Coinbase.
It’s incredibly easy to use compared to most exchanges so it’s perfect for beginners.
Even the main cryptocurrency exchanges like Binance are a little tecchy and difficult for newbies to use – so there’s a long way to go before altcoins turn mainstream.
You can see the difference between both platforms below.
2. Why Is Cryptocurrency Trading So Profitable?
You’re probably wondering how trading cryptocurrency makes money right?
Well, you now know that cryptocurrency is all about supply and demand.
So when a cryptocurrency is on the market, people have the chance to invest in it. And the more demand there is, the more the price is driven up.
But with cryptocurrencies, these markets aren’t just going up 10-20% per year like the stock market. In fact, some of them are growing by a mind-blowing 100% per day!
3. Tips For Trading Cryptocurrency.
Right now, cryptocurrency is a bull market.
I mean take a look at the screenshot below – sometimes the market is so inflated that it’s actually harder to lose money once you know what you’re doing.
But things can quickly change, so be careful!
It might seem easy to make money with cryptocurrency trading – but don’t let that fool you.
Trading cryptocurrency is an extremely temperamental market. Prices swing all the time – and some of the fluctuations are crazy. You can be up $100 in 1 minute and down $300 the next.
So here’s a few tips that should save you money in 2018 and beyond:
- Don’t get greedy – You can’t go broke taking profits, so if you’re up 5-10%, I’d recommend taking the money out.
- Avoid ‘emotional trading’ – With big gains, cryptocurrency trading is very seductive. Don’t let your emotions get ahead of you – just stick to making logical trades rather than relying on your gut instinct.
- Stay away from FOMO. Fomo is the fear of missing out. Don’t chase trades out of FOMO! Whilst one cryptocurrency might be rising like crazy, it can easily drop too. FOMO can quickly make you careless.
- DYOR. Whilst this beginners guide to cryptocurrency trading in 2018 gives you some starting points, you should always do your own research. Never invest in a cryptocurrency you don’t believe in. Check out their website, their team, their marketing capabilities and their technology.
- Start Small. Crypto markets move so rapidly that it’s easy to get caught out. So I’d recommend just investing a small amount at first – enough to get comfortable with the market’s prices and bidding platforms.
- Set A Target. Discipline pays off – especially when it comes to cryptocurrency trading. Set buy and sell targets – e.g. you could plan to sell out when you hit 10% profit. This will stop you getting greedy and pay off in the long run!
Because it’s going to be a freakin’ jungle out there in the 2018 crypto market!
Be cautious. Take your time. And don’t worry about the ‘fear of missing out’.
Big price drops and dramatic market corrections are part of the norm with cryptocurrency trading – it takes a while to get used to!
4. Beginner Trading Strategies For Cryptocurrency.
So when it comes to trading cryptocurrency, you have a lot of choice. But I’d recommend focusing on picking one and sticking to it.
For beginners, I’d recommend the HODL strategy – because it’s just so damn easy.
All you need to do is buy, hold and wait for the cryptocurrency to rise in value.
This does take a little bit of confidence in your decisions and your investments – otherwise you’re going to struggle to hold your portfolio if the market dips.
However, it’s also completely passive (you literally don’t have to touch any of your investments) and it’s proven to work time and time again.
5. How To Pick A Winning Investment.
However, you need to know how to pick between a strong altcoin and one that will disappear within a couple of years.
So how do you do that?
Here’s a few key factors to look at:
- Do you think the cryptocurrency will be profitable in 5 years time?
- Does their technology and team look stronger than their competitors?
- Is their technology innovative?
- Are they planning to release new updates that could progress their success as a company?
- Do you have confidence in their leadership and development team?
These are just some of the ways you can decide which cryptocurrency to invest in.
6. Useful Resources For Trading Cryptocurrency.
Need more info about trading cryptocurrency?
Whilst this beginners guide to cryptocurrency trading 2018 teaches you the basics, there’s a whole lot more to learn!
…And the more you learn, the more likely you are to be successful trading cryptocurrency in 2018.
So check out these useful links below:
Coinbase is easily the most popular website for buying Bitcoin online. Coinbase only stores 4 cryptocurrencies so far – Bitcoin, Ethereum, Bitcoin Cash and Litecoin.
Once you’ve signed up to Coinbase, you can transfer your Bitcoin to Binance. Binance gives you loads more cryptocurrency trading options to choose from but you need Bitcoin to trade on here. So that’s why you have to sign up with Coinbase first.
The Top 5 Best Cryptocurrencies To Invest In 2018. Now that you’ve read my beginners guide to cryptocurrency trading, you’re probably looking to invest right? These are my top 5 cryptocurrency picks for 2018!
I have picked up loads of useful advice from this Facebook group. Definitely one of the better FB groups – it has a great community of traders too.
Want to reduce your investment risks? Would you like to maximise your cryptocurrency profits? This guide will teach you 7 of my top cryptocurrency trading strategies for 2018.
Take advantage of the inflated crypto market prices right now! This guide teaches you how to profit from the 2018 cryptocurrency bubble.
Advice is great but nothing beats the ability to analyse trades and understand how they work. This powerful course teaches you exactly how to make daily profits from cryptocurrency in 2018 and beyond!