Posted on : August 01, 2018
With so much hype that has been present on all things related to cryptocurrency, it is necessary to make sure that you are always up to date with the latest methods and stay one step ahead in the competitive trading world.
Cryptocurrency, unlike traditional systems of trade is highly volatile. Within a span of a few days, the fluctuations are staggering. Although there are many budding traders who will take the risk and dive head first into the uncharted waters of crypto trading, it makes more sense to understand what cryptocurrency is all about and what could be the best methods to handle and grow your cryptocurrency profits. Listed below are a few concepts that need to be kept in mind which serves as a handy cryptocurrency trading & investing starter guide.
The fundamentals: What is Cryptocurrency and how does it work?
Cryptocurrencies are distributed digital currencies stored within digital wallets. This form of exchange is fast, secure and direct. Cryptocurrencies are the result of a decentralized method of exchanging units of currency to and fro.
Exchange of cryptocurrency is possible by obtaining the keys (public and private) between two digital wallets. By doing so, it makes for a seamless transaction of currency while maintaining maximum security. Understanding this starts your adventure using the ultimate guide to cryptocurrency exchange.
Which crypto currency to invest in?
As of now, there are more than 1,600 different types of cryptocurrencies in circulation, all with their advantages and limitations. These cryptocurrencies are divided into three tiers that highlights the risks VS rewards scenario.
The first tier, known as Tier 1 is the big league coins, i.e. the cryptocurrencies that have stood their ground far longer in the market. These coins are relatively stable and it is often used by beginners as an cryptocurrency exchange guide for advanced trading in the long run.
A Tier 1 cryptocurrency is more expensive but a much safer game to play. The cryptocurrencies that fall under this category are Bitcoin (BTC), Litecoin (LTC) and Ethereum (ETH). Using this as the base platform, you can dive on the next tiers.
Tier 2 cryptocurrencies are more volatile that Tier 1 but they are cheaper to buy. Being more fickle, their fluctuation can vary a lot more and the risks as well as the rewards are higher. Some coins that fall in the tier 2 category are Dash (DASH), Ripple (XRP) and NEO (NEO) among several others.
Tier 3 cryptocurrencies are the newly emerging coins releasing into the market. They are highly volatile but are very cheap. Since there is no much information about them at the time, it is very challenging to figure if the market shifts for or against the given coin. Therefore, utmost care must be taken while trying to handle this type of cryptocurrency. Handling the three tiers is a more advanced cryptocurrency exchange to buy and sell but it is a great stepping stone to develop yourself.
How much to invest in
Knowing where to spend is the best advice given under the experts guide to smart crypto exchange. Depending on how much you can spend and as well as how much you are willing to risk, the market is all up for grabs. This depends on how cryptocurrency fluctuates within the frame. Some of the things that could affect the fluctuation of the cryptocurrency are:
This depends on how active the cryptocurrency is and if it is releasing updates to the system and as well as how it would be beneficial for the market in general.
This depends on the number of coins available, ease of exchange and as well as how tradable the currency is.
With more media attention around the cryptocurrency, there will be more people who are interested in the coin. A positive review will surely attract more investors to the coin.
Some coins can host other cryptocurrencies on the own platform. This level of synergy provides a mutual benefit to the coins in the system.
The government provides a keen role in deciding the flow of cryptocurrency. Therefore they serve as the guide to top cryptocurrency exchanges and how they are handled.
Where to start trading
Keeping all these points in mind, you need a platform that showcases your cryptocurrency exchange guide for advanced trading. A great place to start is using Digital Ticks Exchange. Their simple to use user interface, as well as their ability to trade in multiple cryptocurrencies make it a very powerful exchange. This platform is perfect for those who like to trade in high frequencies. Using a single portfolio view, this is highly convenient to use and implement.
With Digital Ticks Exchange to be launched around 15th of August, 2018, this platform will provide the necessary tools for you to become a crypto trading expert in no time.
There is so much to discover and understand about cryptocurrency. With new concepts emerging every day, it is important to find a great platform to develop your skills in order to take advantage of the trading system.
Each of the platforms have something unique, choose the one which offers you with easy trading options to start with. Digital ticks Exchange is one such platform which has made it easy for beginners to get started with crypto trading. The age of digital trade is only at the tip of the iceberg. So find the best way to develop your skills in the crypto world.