HOW TO BE A SUCCESSFUL CRYPTO-TRADER
Cryptocurrency is a combination of two words crypto(digital encrypted) and currency (system of money).It is a digital currency created from code and it is an alternative to cash and credit card.it is monitored by a peer to peer internet protocol which can be sent electronically.Examples of cryptocurrency are:Bitcoin,Ethereum,XRP and so on.
A crypto trader is someone who makes profits from short term change in the market price of cryptocurrencies.The goal of a crypto trader is to buy when the prices are low and sell when they are higher.
Cryptocurrency uses a decentralized technology to let users make secure payment and store money without needs to use name or go through the bank.They run in a distributed public ledger called Blockchain which records all transactions updated and held by currency holders.The most common cryptocurrencies are Bitcoin, Ethereum,Ripple and litecoin.They are commonly used because of their rate in the market,A Bitcoin is close to $60,000 which is more than 22 million naira.Imagine someone having half of a Bitcoin in Nigeria, He/She is an automatic millionaire in the country.
ADVANTAGES OF CRYPTO CURRENCY
There are many advantages in cryptocurrency some of which include:
1)Easy and Confidential Transaction:This means that your transaction is made easy that there is no need to go to the bank and also it is between the buyer and the seller unlike bank where they are the third party.
2)Access to everyone: Everyone has access to cryptocurrency as long as you have the idea to trade .
- Decentralization:There is privacy with all your transaction,No one monitors what you are doing.
- Employment:Many individual who are unemployed today now have a source of income which has reduce the rate of stealing, kidnapping,poverty and other problems in the past.
DISADVANTAGES OF CRYPTO CURRENCY
All things that has advantages also tend to have disadvantages most times.Some of the disadvantages include:
1)It is not regulated:It has no regulation on some certain things and also not all countries has legalize its usage both in the country or the website.Thus has made it impractical for everyday use.
2)It is unsafe deal with, without understanding the details of crypto currency,which may lead to losing the account, forgetting the password if a user forget his password,it is impossible to recover lost data due the strict integration of the encrypted block chain.
To be successful in life there are many procedure to take likewise to be a successful trader,There are roles to be taken
1)To know the relationship between risk and reward :Taking risk is normal to successful people which has made them know their areas of deficiency.As a crypto trader,you can't expect the market price of the currency to be higher at all times when you want to sell and vice versa.You need to take risk because what comes after a successful risks is Reward.
2)Get a little experience first: Experience they say is the best teacher.In crypto-trading experience can bre gotten by asking questions,making research, watching video related to it, getting ideas from experienced Individuals and also follow those that has become successful by getting details about how they started
- Learn about market analysis:To earn money,it is crucial to make better decisions always.Traders have to learn how to use all tools or sources to make a proper analysis and they must understand the different orders, types and loss techniques.
4)Know the trading methods,styles and strategies:They are many methods,styles and strategies. One of the strategies to use while trading is HODL(buying coins and not touching for a few years) that is HODL for a long time store your top cryptocurrency for long terms gains other aspects like mining, fundamental,technical analysis etc.
5)Self control:remove your emotion from the process.expect to lose sometimes and have it in mind that you can't be 100% at all time.
6)Do not start what you cannot finish,only invest what you can afford lose,and be okay with the fact that all can be lose.
7)Always focus your mind on the end goal and how to achieve it.
- Find or create a group of like minded individual to share your research and investment with and also always do your own research by learn from successful traders and also professional in the trade market.
9)Become a master of reviewing: Having better understanding of the trader by distinguishing the genuine from the fake.
10)Diversify into as many quality alternative coins as you can so that you can experience market strategies and hold all the coins and accumulate at a cheap rate,you have lower your risks and win everytime there is a pump.
To be a successful individual in any field of study ,many risk are taken some of which might result to failure at first but later on become something profitable..
Cryptocurrency has been for a long time but it became well known because of the exchange rate as it is now,The richest man in the world,owner of Tesla,Elon Musk has said that His car(Tesla)can now be bought with Bitcoin.This has shown how profitable of cryptocurrency is evolving.In years to come, Countries that has not legalize the usage will have no choice but to do.
Becoming a successful crypto-trader is not as easy as it looks it needs determination,focus, correction to the error made other attributes.For one to be successful in this trade it requires a lot of patience because at times they might be a particular period where the price if the market will be lower than the amount bought but still as a trader you will have to be patience and wait till it gets higher.
In 1997, A man bought a pack of pizza for over 10,000 Bitcoin then had it been he has waited till this era we are now he might be among those who would have shared in it or possibly among the richest man in the world as at own because he would have made more than the money he had or should we say the man ate his future?
It's never too late to learn from our mistake because that is what makes us stronger , learn and trade cryptocurrency and become successful .