💡 TIPS – Cryptocurrency is an asset that is currently on the rise. This can not be separated from the increasing popularity of bitcoin whose price is skyrocketing to IDR 700 million per token. Inevitably, many people are starting to explore the crypto trading world and are looking for ways to trade cryptocurrencies.
Actually, there are many references to learning how to trade crypto that you can use for your capital to jump into the crypto world. However, this time I will give a few basic crypto trading tips that you need to know before entering the crypto world.
How about trading crypto and what do you need to consider? Here are the basic ways you can do when trading crypto.
- Determine the type of crypto you will make an asset
The very first step you have to do to trade cryptocurrencies is to determine the type of crypto that you will use as an asset in the trading process later.
Of course, the process of determining this type of crypto should not be casual, why is that? Currently, there are several altcoins that are created just for scam or scam purposes.
Altcoins are used for scams or fraud usually only last for two years. When the target funds they get have been collected, the fraudsters will leave the tokens they have created and take the traders’ funds away.
Therefore, it is very important for you to know the background of each crypto that you will use. You can read articles from foreign financial news portals or testimonials from experts.
In addition, you can also check the survival of the crypto whether there is something strange or not.
- Decide which Crypto Exchange You will Use
After you determine what type of crypto you will use, you must then look for the crypto exchange that you will use when trading later. At this step, you also need to be equally careful when determining the type of crypto you will invest in.
You can prepare several considerations to choose which crypto exchange you will use.
Some things you can consider, including the minimum withdrawal amount, minimum initial balance, withdrawal administration fees, and also the amount of crypto provided.
There are many exchanges that you currently access, both nationally and internationally. You just have to choose which one suits your budget and financial planning when trading later.
Don’t let you just choose an exchange and end up in a loss. In addition, you also need to find out about the legality and track record of the exchange, whether there have been problems or not.
If you choose an exchange that has had problems with legality and law, you might actually suffer a loss because your money is a problematic fund on the exchange.
- Crypto Trading Preparation
Crypto trading will certainly not be able to take place if you don’t have money to carry out trading activities. You have to prepare money before jumping in and deposit your money to the exchange you have chosen.
The most important thing you need to remember is that the money you use for crypto trading is money that you have already prepared to invest. Do not let you lure big profits and then do not plan your finances to carry out trading activities.
In addition, make sure you don’t get sloppy by depositing all your funds in one hype crypto. You can diversify by varying your crypto portfolio.
Then, you also have to prepare a plan if you want to increase the quantity of the amount of crypto that you will use as an asset in the trading process.
Not only that, you are also strongly discouraged from being greedy in making trading decisions. If indeed the market conditions are in your favor, as much as possible hold yourself back so as not to spend money just like that.
Vice versa, you also shouldn’t drop immediately when market conditions are deteriorating. Calculate carefully and look for opportunities that exist from the deteriorating market conditions.
- Trading Crypto
The final and most important step is crypto trading. Of course this step is actually not the last of the entire trading cycle in general actually.
In addition, you must monitor market conditions and the condition of the assets you have. Moreover, if you want to become a professional trader who depends his life on crypto trading activities.
Of course, during the trading process you have to keep updating your knowledge about crypto. You also have to keep abreast of news about blockchain and crypto technology around the world.
The decisions of big companies and world figures about crypto can usually affect the market. You also have to keep up with regulatory developments in one country and another regarding crypto so you can keep up with the latest developments.
Don’t forget to also evaluate if your portfolio is cheap or collapses. Perform various strategies to make your portfolio last and slick.
Well, that was a glimpse of how to trade cryptocurrencies that you can do from now on. Don’t be afraid to try cryptocurrency trading. As long as you have thorough preparation and knowledge, you can trade well in the crypto market later.