5 Things you should know about trading cryptocurrency in 2018 

cryptocurrencies trading

Almost a decade has already passed since the first cryptocurrency, Bitcoin, was introduced by Satoshi Nakamoto. This new form of a digital asset has remained out of the mainstream until 2013 when Bitcoin became actively traded across a number of cryptocurrency exchanges worldwide. It was during the last quarter of 2017 when cryptocurrencies have reached the peak, with over 1400 different coins and tokens amounting to more than 800 billion dollars of market capitalization.

With the emergence of cryptocurrency exchanges, the development of simplified platforms that are user-friendly, and the variety of coins and tokens that are available in the market, trading cryptocurrencies has never been this interesting for many people. In fact, many big players in the stock market and foreign exchange are now exploring new opportunities in trading cryptocurrencies. Keep up with the latest trends and read more about the five things that you need to know about trading cryptocurrencies in 2018.

Cryptocurrencies are still highly volatile.

Since the bear market started during the latter part of January this year, the rate at which the prices of cryptocurrencies go up and down has taken a noticeable drop. Although there has been a considerable decrease in volatility, cryptocurrencies have become more attractive to new traders and investors who want to avoid wild price swings. Cryptocurrencies are still more volatile than gold and people can still gain good profits if they practice proper trading skills and diversify their portfolio. Visit altcointrading now if you are looking for real-time alerts to get you the best returns on your trades.

If 2017 is the year for holders, 2018 is the year for traders.

The previous year has been a great one for strong holders with Bitcoin getting a 20x jump in value from January to December, and some altcoins even doing better than that. This year is different though. Bitcoin has already registered a triple bottom at around $6000 and each bounce resulted in at least 10% to almost 100% gains. It is definitely a good opportunity to capitalize on swing trading this year.

Invest only in coins and tokens with great potential.

With hundreds of coins and tokens that are now available on different exchanges, it becomes more difficult for newcomers to know which one is a good pick or not. If you are a safe player, you can invest in some stable coins with good technology and purpose among the Top 20 list. There are also a few underpriced gems that you can buy. Just make sure to do your own research before trading and investing.

Decentralized exchanges are becoming a popular choice.

Decentralized exchanges, also referred to as DEx, are now becoming a new favorite among cryptocurrency enthusiasts. Since these types of exchanges do not involve authorities and middlemen, you can directly trade on a peer-to-peer basis. In a DEx, there is no server downtime, no hacks, no need for KYC for privacy purposes, and there is no need for you to deposit funds before initiating a trade. To put in simple, you are in full control of your assets.

Expect an increase in both regulation and acceptance.

Several governments are now working towards the regulation of cryptocurrencies and related activities such as trading. When a proper approach is used, regulation will also open up a new window for greater acceptance of cryptocurrencies in the future. CheapAir, Microsoft, NewEgg, and Overstock are just some of the big companies that have already made their own small steps towards the mass adoption of Bitcoin in the near future.

 

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