The digital currency market is growing at a very fast and so is the number of new investors coming into the industry. With most of the new traders being newbies, how well are they informed about the market? Well, this is a question that’s difficult to answer. What’s even worrying is that people have reached a point loaning to invest in ICOs and other crypto assets. That’s according to the recent research.
Cryptocurrency is here to stay, and whoever is calling a bubble, they will be in for a rude shock. Some said that the crash would take bitcoin prices down to zero but where is it now? Well, just ignore the pessimists. If you are one of the newbies loaning or selling personal stuff to buy crypto assets, then you’ve got to be very smart. So what should a newbie know before starting with crypto trading?
A lot of investors who are getting into cryptocurrency market are mostly relying on the media and more so from social media and people who are bragging about making millions in profits. But that is just a tip of an iceberg. There is a whole lot of things that you need to know about starting with crypto asset trading. First, apart from having the money with you, what else do you need? Do you know that you need a crypto wallet to store your crypto coins safe? Do you know the best crypto wallets? How about doing the actual trading or exchanges? These are questions that you need to ask yourself.
Choose the Token Carefully
Apart from the cryptocurrency explosion that we experienced, many other factors are driving the value of the coins. Do you care to ask yourself why one currency is dropping in value while the other is rising steadily? Why some are very cheap while others are a little bit expensive? Well, most of ICO tokens are determined by the value of blockchain project they are funding. Check the quality of the project and how it will impact to the industry. Avoid people who are selling whitepaper but go for a developed product?
Once you have identified a token that you want to invest, the next thing should be the currency exchange. Just like the name suggests, currency exchange is a platform that allows you to exchange to buy coins. Unfortunately, exchanges do not support all coins in the market. However, every coin has several exchanges that support it. Just make sure that it’s a reputable exchange. Some the best options to choose from include Kcoin, Liqui, poloniex, C-CEx, Kraken, Crytopiad, Bitfinex, Bittrex, and Binance amongst others.
It is essential for newbies to know that there is an option of using automatic trading bots. Otherwise, you will need to trade manually which can be extremely difficult and frustrating for newbies. However, you need to choose the right quality of trading bot such as Cryptocurrency Automatic Trader also referred to as CAT BOT. For newbies CAT bot is a software that can trade for you even while you are sleeping. With CAT Bot, you only need to set the parameters or the limits; it will deliver more than a human. Similarly, there are many other trading bots out there.