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The growing capitalization of leading cryptocurrencies is drawing an ever wider audience into trading. As soon as BTC crossed the $ 67,500 mark, tens of thousands of traders, from beginners to pros, reached out to crypto exchanges in the hope of hitting the jackpot. And if more experienced users were able to navigate in time and not lose money on the fall of bitcoin, many novice traders went into a deep minus.
However, the lack of knowledge or experience today should no longer become a barrier for beginners. How to make money trading cryptocurrencies if you are not strong in charts and waves, and you associate Japanese candles only with exotic decor? Let’s take a look at a few strategies that can quickly lead aspiring crypto traders to success.
News trading
Unlike technical analysis, which requires a deep dive into the topic, trading based on news is available to everyone. The trader monitors cryptocurrency market news on a daily basis, highlighting the key messages from the most authoritative sources. For example, the announcement of plans to transfer the Ethereum blockchain to PoS protocol. Such news has a serious impact on the market, so the trader buys ETH as soon as possible and expects the value to rise. When the price of the coin peaks, the user sells their assets, making money on the difference.
News trading is suitable for beginners, as it does not require specific knowledge or professional tools. On the other hand, this strategy is quite risky – unlike the stock market, cryptocurrency exchanges operate around the clock, so you have to keep track of the agenda all the time. The democratization of the crypto market also means that social networks should be included in the news section of the day, for example – just remember the explosive effect of Elon Musk’s hooligan tweets, or the “meme trading” that emerged on Reddit and the #Stonks movement, which gave a violent shake-up to American hedge funds. In addition, today, even in the largest media, misinformation and fake news are increasingly leaking out, which lead to very expensive mistakes for traders.
Copy trading
Copy trading is one of the few ways to start making stable money on cryptocurrencies in a matter of weeks, with a minimum of effort. There are many copy trading services on the market today, including the Tiger.Trade Copy mobile application, which help to quickly immerse themselves in the industry, and also protect newcomers from ruin due to inexperience or misunderstanding of the market.
To join the circle successful traders, Tiger.Trade users just need to connect their account on Binance and set up new API keys. Then all that remains is to select and start copying verified traders, allocating to each the desired share of their budget. All interaction between Tiger.Trade and Binance takes place via the API, in read-only mode, so the user’s deposit always remains on the exchange account. Subscribers decide for themselves what share of funds to allocate for copying trader’s transactions. The new Tiger.Trade application, the beta of which will appear in the App Store and Google Play by the end of the year, is fully Russified. The company has a round-the-clock support service that will promptly resolve possible problems.
The app is completely free, so subscribers only pay directly to copy traders. For internal calculations, the Tiger in-app token is launched in the application. The first users who left an application on the project’s website, Tiger.Trade promises to accrue bonus tokens for 3 months of free copying of traders.
Earnings on FOMO
FOMO stands for “Fear of missing out” – obsessive fear of missing something interesting or important. Sometimes it is also called the loss of profit syndrome, and in 2021 this approach has become very popular in crypto trading.
Slightly more experienced traders can benefit most from this strategy, but this method still does not require deep expertise and specific skills. And it will be useful for “dummies” to learn about FOMO, so as not to be among the fearful users, on which more experienced market participants make money.
Traders using this strategy buy new altcoins or DAO-tokens of promising low-level projects, often before the official launch. As soon as a startup announces that assets will be available in limited quantities or announces a deadline for sales, panic arises in the market; inexperienced traders and investors try to get hold of as many coins as possible. It is at this point that prudent traders sell their assets at an inflated price.
If a sharp jump in price is associated with any negative events (introduction of regulatory bans, a hacker attack on a large exchange, a critical error in the protocol), traders can also use the FOMO effect to their advantage, acting proactively and opening short positions – while inexperienced consumers are dumping their assets in panic.
Conclusions:
Today, everyone, from pros to beginners, can make money trading cryptocurrencies. If you do not yet have the necessary knowledge and experience, the simplest methods will help you to understand the basics of the crypto market, such as regular monitoring of the news or copy trading – by automatically copying deals of experienced traders, even beginners can quickly start making profits and master the basics of the crypto market without risking losing their investments due to blunder or panic.
Disclaimer
All information contained on our website is published in good faith and objectivity, and for informational purposes only. The reader is solely responsible for any actions he takes based on the information received on our website.
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