Knowing the basics of the crypto trading and how does cryptocurrency work is the fundamentals that a crypto investor must be thorough with. Before taking the initiative to trade, you must know the cryptocurrency well, i.e. you must follow the updates regarding not only the currency but the market too.
Cryptocurrency is one of the finest creation of the digitized world, which is growing its consumer base exponentially. As people are becoming aware of the technology behind cryptocurrency, the acceptance level is also surging upward.
Cryptocurrency trading for beginners- They must follow the market policies and valuations regularly to stay updated and informed.
Once you have a good idea about the industry and technology and how to trade cryptocurrency, then you can start building your own portfolio. Firstly, you need access to the marketplace from where you can buy cryptocurrencies. There are many exchange platforms from where you can choose, based on the cryptocurrency you want to buy.
If you are new in the crypto trading, possibly you have to buy with fiat currencies(like dollar, euros, rupees, etc) and if you want to buy another cryptocurrency with already owned currency(for eg, bitcoin to ethereum, ethereum to neo, etc)- there is a platform which can cater to all your crypto trading needs, which is CoinSwitch.co.
To find the best exchange with varied options which can give you a seamless trading experience at the most competitive rate, you can visit CoinSwitch.co.
CoinSwitch offers more than 300 cryptocurrency exchanges across the world. For the ones who have mastered the art of trading, having the knowledge of how to trade cryptocurrency, can find 45,000+ exchange pairs in this platform. CoinSwitch provides a detailed cryptocurrency trading guide.
It will save your time of going to a different exchange platform and compare. Isn’t it better when you get all the available major exchanges in the same platform to analyze the rates and then buy?
Isn’t it best to compare yourself and take the decisions with the interference of a third mind, because it is your money and you have the sole right to make investment decisions? Interference creates the dilemma.
If you are a beginner, you must start with one coin, which gives you confidence and scalability and idea on how to trade cryptocurrency. As I have stated earlier, you must follow the currency thoroughly before taking any decision.
At CoinSwitch, you can get all the updated details of the coin in our page(Value, Market cap, circulating and total supply) including the five-year price prediction. Based on the analysis, you can take a better and improved decision.
For example, if you want to buy Ethereum (ETH) for 1 BTC, you can get the exact amount of ETH that you would get after trading 1 BTC, in the CoinSwitch BTC to ETH instant converter.
Market capitalization is an important factor which you must consider before trading. So, there are 3 things:
-Large-cap (top 5 coins)
-Mid-cap – anything bigger than $200M
-Small-cap anything smaller than $200M
Don’t make the mistake of buying crypto because its cheap. Never do that! The actual dollar value per coin doesn’t matter in the grand scheme. It’s the market valuation that matters before you get an insight on how to trade cryptocurrencies, which is calculated by the number of coins or tokens multiplied by its current price.
CoinSwitch even enables you to understand how to trade cryptocurrency pairs- as in from ETH to BTC, BTC to ETH, XMR to ETH and 45,000 such pairs.
As mentioned above, never take the decision based on the cheap price, consider factors like market valuation, available coin supply, target market, and technology.
As CoinSwitch gives you the platform where you can compare amongst the largest exchange platforms, you don’t have to do the tiring work of going to every website and compare. You can get detailed instructions on how to trade cryptocurrencies.
The successful cryptocurrency trading principle is “buy low, sell high”, which means buy the currency when its not that expensive and obviously buy the ones that have the potential to grow. When it starts surging, you can sell at the most appropriate time.
You can not only check the price but also can find out what is the volume of BTC to ETH trading that has taken place in the past 24 hours, the highest conversion rate and the lowest conversion rate in 24 hours. This information will give you a fair amount of idea on how the crypto pair(BTC to ETH) is performing.
This step is a very important cryptocurrency trading strategy. Price and valuation determine your decision making to a great extent.CoinSwitch even provides cryptocurrency trading tutorials, so that even a newcomer can find it easy and convenient to go through the entire process.
Now, is the best stage, where you can choose the best rate from the list of CoinSwitch partners(which includes the largest cryptocurrency exchanges in the world). You know what's the best part- you don't have to give any of your personal details to carry out the trading process. And, CoinSwitch even doesn't add any additional cost, hence you get to trade seamlessly at the most competitive rate, using the most reliable platform.
After choosing the feasible rate, you have to put your respective wallet address(here, Ethereum), where the money will directly get transferred, once you trade. If you don't have a wallet, especially the beginners, you can create the wallet by clicking on "don't have wallet yet".
After this, you have to put your Bitcoin wallet address, from where the money gets deducted. Either copy and paste this address to your wallet or scan the QR code via your wallet app. Then, you can initiate the exchange and the transaction is done. After this, you can track the order until it gets transferred to the recipient wallet.
A wallet is similar to a bank account for your coins, where there will be no interference of third parties like banks. There are multiple ways to store cryptocurrencies like online or offline(paper wallet or hard wallet). Not only that, but you must also check whether it supports the device and the operating systems what you are using. This is the final stage on ‘how to trade cryptocurrencies’.
You can click here to know more about cryptocurrency wallets.
How to trade cryptocurrencies work almost exactly the same as how you trade fiat currencies. While profits are never guaranteed when investing, you can take steps to protect yourself from heavy losses by improving your understanding of how markets move.
There’s more to know that can be crammed into this guide, but the only real way to learn is by doing, which will make you an expert eventually.
Visit here to trade cryptocurrencies: CoinSwitch.co
CoinSwitch.co is the world’s largest cryptocurrency exchange aggregator which supports 300+ coins and over 45,000+ pairs. It provides an easier way of trading through global exchanges like KuCoin, IDEX, Changelly, Bittrex, Cryptopia, ChangeNow and Changer without creating an account on them. If you are interested in buying cryptos, do give it a try!