Before you start investing in digital tokens, do as much research as possible...
In early Asian trading on September 21, 2021, bitcoin fell roughly 8% to $40,237, its lowest level since the beginning of August.
In early Asian trading on September 21, 2021, bitcoin fell roughly 8% to $40,237, its lowest level since the beginning of August.
After Ethereum's price surpassed $3,000 in May, Vitalik Buterin, the co-founder, became the world's youngest crypto billionaire.
Tether, commonly known as USTD, is a stablecoin because it was created with the goal of always being worth $1. Unsplash
After hitting a market worth of $77 billion in May of this year, Cardano is gaining traction among cryptocurrency investors.
Binance Coin is one of the world's most popular cryptocurrencies.
Ripple, a technological corporation based in the United States, established the XRP cryptocurrency in 2012. According to Coinbase, it is currently trading at around $0.94.
In August, Solana, a programmable blockchain cryptocurrency, reached a new high of $80.12.
The USD Coin is a stablecoin with a global circulation value of $27 billion coins.
Polkadot is a multi-blockchain cryptocurrency with a market valuation of around $28.8 billion.
JANUARY 29TH, KATWIJK, THE NETHERLANDS: On January 29, 2021 in Katwijk, Netherlands, a visual representation of digital cryptocurrency Dogecoin is exhibited in this photo illustration.
Dogecoin was created in 2013 as a meme joke and now trades for around $0.21 with a market capitalization of around $27.6 billion.
I sat on my bed in the summer of 2018 and held a piece of paper with the date, my name, and signature next to my face so that I could take a picture with my webcam.
This was all part of the process of signing up to acquire bitcoin at the time, which also included a woman phoning me on video to verify that I was the person in the photo and that the information on my passport was correct.
Only then was I permitted to open an account, make a deposit, and purchase Bitcoin. I could then move it to another exchange and use it to buy alt-coins using the Bitcoin I had earned on this site.
Alternative coins are as diverse as they are numerous. Some of them may have caught your attention because they have great teams working on real-world challenges with the goal of making it to the big leagues.
Others, like Dogecoin and Shiba Inu, were created as jokes or get-rich-quick schemes, and exist solely to make money when their value rises. These are not the coins you want to be holding when the music stops.
We've gone a long way since such extensive and intrusive vetting was the norm.
These days, all you need is an Emirates ID number to get started on sites like FTX.com, and you can start depositing money directly from your debit card, albeit there are significant costs associated with this technique.
My cryptocurrency adventure has taken me through a number of stages, some of which I shall outline here.
Winter in the crypto world.
We entered what the industry refers to as the "crypto winter" shortly after purchasing Bitcoin at a price of around $6,400. This was the point at which all currency, including Bitcoin, plummeted and remained there for months. The price was half, and it remained unchanged until the spring of the following year.
The jokes about how Bitcoin will "fall to zero" and that it and all other cryptocurrencies were worthless rolled on incessantly. Hasan Minaj, an American comedian and political analyst, used the insult "Bitcoin is at $3,000!" to humiliate viewers who had invested.
Needless to say, I hung on for dear life, or HODL, as the crypto community calls it. Selling at the time would have resulted in a loss, but I believed there was a lot more to gain by sticking with it.
Bitcoin was a trailblazer for me. It was the first digital currency gangster. Even if it turned out to be a disaster, it would have been the first, which has merit. It felt like I was in possession of gold, and there was a finite quantity.
Fortunately, I am not an emotional investor, and I was able to get through the crypto winter relatively unscathed.
Dumps and moons.
Since then, Bitcoin has "mooned," or increased in value, as well as "dumped," or dropped in value due to a huge sell-off. Neither of these are major concerns. Rallies are exhilarating and a good opportunity to profit if you want to.
During market corrections, when we have struck resistance and are heading back down to determine where the level of support is, there is a lot of concern. The whales, or the big players with deep pockets, will often buy in at this price. Whales enjoy a bargain and have the financial means — as well as the constitution — to bet big in anticipation of a rally.
You may use a variety of graphs and charts to try to figure out where Bitcoin stands right now on a scale ranging from dirt cheap to significant bubble.
These graphs are, of course, an exercise in mathematical modeling by investors who specialize in that field, and they do not guarantee solid financial advice.
That support price is being tested as I write this. There is a lot of worry in the market right now, which our favorite crypto-hating investor likes to call "greedy time." I'm pleased to see the support price increasing higher each time we test it at this stage.
Bitcoin scalping is the practice of trading bitcoins for a
I looked exploring different ways to make money with cryptocurrencies not long ago. It fluctuated significantly more than any other asset, and that volatility enticed investors.
Scalping is a strategy in which you enter a modest leveraged transaction and exit when the price moves a percentage point or two in your favor. You next set your stop-loss (the price at which you'll sell to offset your loss) to avoid getting liquidated if the price swings too far in the opposite way.
When you borrow money to make more money, you're using leverage, which is quite hazardous. It should only be used by seasoned investors.
Is it too late to make a Bitcoin investment?
When Bitcoin was $900, this family sold all they owned to invest in it.
Meet the people who have given up their day jobs to trade cryptocurrency.
Scalping transactions can take anywhere from a few minutes to many hours, with the goal of getting in and out as rapidly as possible.
I'll warn you right now that scalping is really difficult. The majority of folks do not make any money in their first year. Various indicators and triggers, such as a short-term moving average line crossing above a long-term moving average line, are used in various types of technical analysis. These signs can help you make your next trade selection.
Professionals recommend keeping a trading notebook to track not just the indicators you utilized and how successful they were, but also your emotional and mental state at the moment. When it comes to trading, it is commonly argued that emotions have no place.
I realized this was not the path for me after viewing hours of YouTube videos and playing with weeks of paper trading, where I placed trades but did not use real money. Scalping demands a significant amount of time and attention, which I lacked due to a full-time work and a two-year-old child.
Trading bots allow investors to buy and sell cryptocurrencies while sleeping.
Bots for trading.
As a result, we've arrived at the most recent stop on my cryptocurrency journey.
I was frustrated that I had missed the finest rallies while sleeping, so I scoured my phone for other ways to profit from the market's turbulence.
That's when I first learned about trading bots. It's cool to imagine them as tiny robots doing your bidding, but they're actually software that places trades for you based on the settings you specify. It then sells once it has increased by the number of percentage points you choose.
This software is easily accessible in 2022, and you don't need to know how to write to use it; all you need is a concept of what you want the bots to perform.
I utilize 3Commas, a subscription service that I attach to an exchange, and that's about as complicated as it gets. It's a little more difficult to figure out what to tell your bots to do.
A variety of things must be specified in parameters, including which alt-coin to trade. It's crucial to pick a coin with a lot of volume and low volatility. It's also a bad idea to buy at the end of a rally, because the price will shortly start to decrease.
Trading bots' strength is safety orders, which are additional trades on the same coin executed if the price decreases. As a result, your average buy-in price will be lower, and you will not need to go as high to attain your take profit %.
Before you can launch your bot, you'll need to fill in a few more parameters, such as whether you want to take your profit in dollars or the coin you're trading.
There is some jargon to learn, such as "TP'ing," which refers to taking profit, and "holding a red bag," which refers to filling all of your safety orders and simply waiting for the price to rebound enough to hit your TP price.
If you're feeling overwhelmed, the good news is that you're not alone. Thousands of other people have been in your shoes, and a few savvy users are pointing newcomers in the right direction.
I finished a YouTube series and joined the Discord channel that was related with it. There was a wealth of material presented in an easy-to-understand manner.
One of the advantages of the cryptocurrency industry is that it is open 24 hours a day, seven days a week, and my bots are no exception. Even if each one only earns 10c per trade, with enough of them running 365 days a year, it could add up to a tidy little side income.
So, while I HODL my Bitcoin, patiently/optimistically waiting for the day when the price reaches seven figures, I'm getting a rush of endorphins with every "transaction completed" push notification that appears on my phone.
Of course, my bitcoin journey and tale are not intended to be financial advice; you should conduct your own research and only invest money you can afford to lose. Cryptocurrency is a volatile market, as we've discussed many times before.
Trading bots, on the other hand, thrive on such volatility.
When employing cryptocurrency trading bots, here are ten helpful hints:
1. Only put money into the market that you can afford to lose.
2. Learn about cryptocurrencies and how the market works in general.
3. Do as much research as you can; there are a plethora of articles and videos with useful information available online.
4. Remember that nothing you read or see on the internet constitutes financial advice.
5. Begin small. With just one or two bots, you can learn a lot. It's better to make a few little mistakes than dozens of them.
6. Start with paper trading if you wish to go bigger (not real money)
7. Join a group of people. There are people out there who have been where you are now and are prepared to assist you.
8. Take precautions to minimize your danger. It's easy to have more bots than your budget allows.
9. Fees should be avoided. Certain techniques can be used to reduce them.
10. Always keep security and privacy in mind, and use two-factor authentication and strong passwords whenever possible.
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Images Credited to Google Image search.
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