- 1 What is Cryptocurrency Trading?
- 2 What is a Cryptocurrency Trading Bot?
- 3 Immediate Edge and How It Can Help You Gain More Profit In Crypto Trading
- 4 Final Verdict
What is Cryptocurrency Trading?
Cryptocurrency trading is a new market that has been becoming popular as utmost cryptocurrencies like Bitcoin and Litecoin have penetrated through the mainstream. Major cryptocurrencies also called “cryptos” use Blockchain Technology. The main difference between cryptos and fiat currencies is that cryptos are decentralized assets. Meaning they are not regulated or owned by any country or central bank and also not managed by any authority. Though cryptocurrency is not credited as a legal tender in a number of countries around the globe, its potential to modify financial landscape has created opportunities for trading and investment. Trading cryptocurrencies cannot be compared to conventional trade markets like Forex because they are comparatively new assets and they cannot be affected by some of the other forces as other more orthodox markets. Cryptocurrencies exchange works exactly the same as conventional stock exchange, but instead of trading fiat currencies like dollars and euro, traders purchase and trade cryptocurrencies like Litecoin and Bitcoin. The true concept is, you exchange one crypto coin for another kind so you can take advantage from the fluctuation of the prices just like how the stock trade and foreign exchange happen in the real world.
Advantages of Trading with Cryptocurrency
Cryptocurrencies trade while also being similar to real world stock exchange, has a number of its own advantages.
- Less Fees
For each exchange, the trading platform that you used will charge you by a small percentage amount as fee for the service they provided. This is bound to happen. The difference between cryptocurrency trades and fiat currency trade is in the size of the fee. Because the fees for transferring cryptocurrencies (normally using digital wallet transactions) are less than bank transfer and credit card fees, cryptocurrency market trading fees are also much inexpensive than forex trading fees.
- Highly Volatile Market
Traders greatly benefit from the large upward strides of the cryptocurrency prices. Cryptocurrencies most of the time experience noticeable price movements. Even though the huge price movements also occur downwards thus increases the risk of loss. But all in all you can exploit and make large profits from the always fluctuating value in cryptocurrency trading market.
- Nonstop Trading
Trade stocks only occur during business hours and you can only trade in forex on weekdays. On the other hand, cryptocurrencies trades has no breaks or holidays. You can trade anytime and anywhere depending on the trade.
Types of Cryptocurrency Trading
The following is a detailed description of different trading approaches done in cryptocurrency trading.
The general idea of scalping is about making trades as quickly as possible. The goal is to gain steady profits, even if the gains with just a small amount. You might want to trade every several minutes. The idea is to be able for you to go long and. However, you can scalp by spot buying and selling crypto. For example, you bought a Bitcoin at $500, then sell it at $505, then buy again at $502, and then sell it again at $505. In this case you might wanna place a stop at example for $498. Or you might want to scale out of your position if the trade is against you. This however requires continuous focus. But if you are doing well at it, you can gain quick profit. You got to have excellent risk management and sometimes might have to depend on luck or skill, but on theory you can gain steadily, albeit small but these gains can sum up in time.
- Swing Trading
The concept of swing trading is to target trades of a very huge range. You might want to slowly open a position that you find to be at the bottom, then you proceed to maintain that position all the way to what you think is the top, steadily scaling out in position to ensure your profits. Clearly this is just the opposite of shorting. Swing trading is normally done over a long period of days and weeks. Meaning that you will be earning a position and watch it go up and down in value. If you posses excellent technical analysis skills then this type of trading is a match up for you. For example analyzing patterns and detecting potential support and resistance levels.
- Position Trading
Position trading is basically a broad version of swing trading. With position trading your aim is to build and take long positions at low or short positions at high then proceed to stick to that position for long periods of time, sometimes taking up even in years. This is the most basic type of trading, but the one that also needs a lot of discipline. Position trading is the same as investing, in the sense that it is long term. But this is not just investing because the true goal is to sustain a longer term trade based on extensive trends. In crypto trading you would need to hold through the ever changing ups and downs of the market, good news or bad news, and always keep direct yourself to your goal.
- Day Trading
Day trading is basically like scalping, but rather than make the trades within several course of minutes you make the deals over the day. You still have to scale in and out of positions and also have to use stop losses. But with this type of trading you are likely to gain a little more profit on each deal than a scalper could.
- Range Trading
Cryptocurrency will always establish a range they were trading in. Normally this range will be a combination, either an accumulation, big traders gaining more profit for the next leg up, dissemination and selling coins when their value is still high before other players let the market fall down. A range trader only trades the ranges then sets a stop. It doesn’t really matter if they are trading a range on its peak or trading it a the lowest point. Range traders simply buy at the bottom of the range then sells the top of it or sometimes scales to the top. This is still classified as day trading but the idea is to trade the range instead. To not buy during an uptrend then buy after a downtrend.
- Intra-day Trading
This is also a type of day trading, but this style of trading allows for you to hold positions in more than a single day. There really are traders who do this and no rules exist that says that this won’t work. In crypto trading the market is always open, so the trending day is endless. Using trading software you can automate positions and with this there is no reason for you to suspend a short term position just because normal business hours are done.
What Makes Cryptocurrency Trading Profitable
- Free Market
First of all the cryptocurrency market is totally free. Majority of popular exchanges are done with few or not at all regulated. But this also means that malicious parties can conduct dishonesty and other fraud activities like wash trading and spoofing. Its market is very manipulative. Currency used in trades are not insured mostly. Meaning, hoax your money can be taken away anytime with fraud transactions. This is one of the biggest risks in cryptocurrency trading when you don’t analyze it completely. So before you invest your hard earned money in a trade especially if you plan on doing swing trading, you might wanna thoroughly research first on the deal, before investing your money to it.
Although, its market may come with some big risk on your own investment in the market, it is also true that it gives you high gain when it comes to profit. Crypto trading is directed by investors for other investors. If ever the trade market crumbled, then everything will play out of itself.
- High Asset Liquidity
Liquidity is the degree of how easily a crypto is converted to cash, without affecting the price in the market. It is important because it assures better pricing, easy transaction and technical analysis can be done accurately. Cryptocurrency market is judged to be liquid. The reason is that the transactions are all over across a number of exchanges. It means that small trades can still have high impact on market values. This is also the reason for this market ‘is high volatility. However, when you trade cryptocurrency you can get improved liquidity because the source prices from multiple platforms on your behalf. Meaning that your exchanges are likely to be done easily and cheaply.
- Easy Trade
Buying and selling in stock trades can take up many days because of a lack of technology. Deals are managed and settled by centralized bodies such as Depository Trust and Clearing Corporation. Settlements done by third party system really take long. This is one of the main reasons that the cryptocurrency trading platforms was developed, to omit this third parties in some financial transactions.
Many number of firms that act as third party in stock trades would practice naked shorting ( illegal practice of short selling shares ) before sending it to the trader again. However, cryptocurrencies‘ Blockchain technology hastens deals in just a few minutes. There is no need for third party in crypto currency trades. This can lead to opportunities for arbitrage where the investors buy from a trade as quickly as can be then sell it immediately on other exchange to gain huge earnings in just a short amount of time.
- Volatile Market
Even though crypto trading market was just recently established, it has been significantly volatile due to a lot of short-term interests. One example is, between October 2017 and October 2018, Bitcoin’s price skyrocketed up to $19,378 and drop down to $5851. Some cryptos have been more stable, but more recent innovations are more likely to garner interest.
Cryptocurrency trading’s volatility is one of the things that makes it so thrilling. Quick movements of prices can give a number of opportunities for traders to go long and short. But this can also mean an increase in risk. If you plan on exploring the crypto trading market always make sure that enough assessment and research. Also try making your own risk management plan.
- Trade All You Want
Crypto trading market is available the whole day and all week. Due to the absence of a centralized body of the market it is not affected by normal business hours. Crypto trading transactions are done by individuals between individuals everywhere around the world. There may be some downtime due to market adjustments and updates.
What is a Cryptocurrency Trading Bot?
If you are still a newbie in crypto trading, you might ask what a trading bot is. In simple terms, it is trading software that is made from a number of self regulating algorithms that can very much do the job of a professional crypto trader. These Algorithms are practically has better accuracy than humans, the reason is that they can do predictions coming from huge data and engage in trades in a small amount of time. Additionally, they omits human intuition from exchanges by corresponding to given trading strategies consistently. These strategies are used at just about anything, trading, building custom indexing strategies and advanced arbitrage along different exchanges. Each trading bot normally execute a trading strategy which is based on algorithms that are designed by the software developer.
Recently, automated cryptocurrency trading softwares has been becoming a trend with digital currency traders. This kind of software provides an easy approach in online trading transactions by eliminating complete human intervention. These kinds of software also includes market analysis and automatically does opening and closing of trades on various trading platforms..
A lot of trades on the US Stock Exchange are done by automated trading platforms. As mentioned before automated trading platforms are very much efficient for investors that don’t have the time to always check the market. Furthermore, they can also be very useful for omitting emotional responses to some exchanges as the software will automatically buy or sell orders once the previously inputted conditions for the trade are met. Automated trading bots have been present for some time, however they are currently garnering popularity when it comes to the cryptocurrency market. One major reason for this is due to the well known fact that the cryptocurrency market is very volatile and risky. An investment can be valued very high from the start and can quickly lower in value in the next few hours. These trading bots can work nonstop all day and can assure that the trader will always be in control of the status of their investment. In addition to this, a cryptocurrency trading software is able to conduct trades accurately, efficiently and very much faster than a trader can be able to do so.
A cryptocurrency trading bot can decide trades for the investor based from some data such as the price fluctuation of the market, conducting a reaction based on a pre designated set of conditions.Meaning to say, these bots will consider some criteria such as market volume, time, prices and current orders but they can still be altered to more composite. The complexity of those tasks can vary from automated single exchange strategy on a sole trading pair to intelligently creating trade routes between a number of different assets for a more diversified portfolio. Some bot also allows users to apply a complete portfolio management plan, sparing users massive amounts of time.
Due to cryptocurrencies’ rapid increase in popularity these days, it has also allowed a large increase in the development of a number of cryptocurrency trading softwares. Some of these software are free and open source while others can be purchased by users from companies in exchange for charges. Typically, conventional trading bots are very costly and also not immediately accessible for the common trader. However, the cryptocurrency market is considering to buck financial trends, with cryptocurrency trades allowing users to directly access their market, which makes trading through bots much hassle free and more cheap.
Immediate Edge and How It Can Help You Gain More Profit In Crypto Trading
Immediate Edge Bot is a smart and innovative software that uses powerful algorithms and artificial intelligence technology to keep track of any potential winning trades in digital currency markets. Some tests showed that Immediate Edge’s trades are very much accurate and most of the trades that it made are to be profitable. Powerful trading softwares such as Immediate Edge system utilizes state of the art technology AI, blockchain, Neuro-linguistic programming and meta language. These types of technology not only guarantee accuracy in trading but also allows the AI to learn and improve itself. In addition, it allows the software to perform analysis swiftly and accurately for both the technical and fundamental aspects. For example, the Immediate Edge app can quickly analyze tons of trading systems and set correlating transactions. When it comes with fundamental analysis, the Immediate Edge software affirms that it can study news in just microseconds of their occurrence then take action immediately a second just prior to the markets.
The Immediate Edge software was designed with a high level algorithm that analyse different trades and capitalize variations in prices. The software is also developed to autonomously engage or cancel an exchange as soon as the opportunity arises. All of this is done autonomously. Another advantage of using Immediate Edge system is it will still not engage in trade without given the task to even though it can do an analysis of the market for the user. Meaning the user is able to personalize the bot to exchange based on the user’s own preference in trades. You can also decide how much amount you want to invest in each trade, the type of cryptocurrency to be traded, the risk degree and the strategies to be used.
Immediate Edge App and its Features
Immediate Edge is known to be one of the most successful bots in crypto trading software. This software claims to have a success rate of 90%. But these are just some of the things that makes this software remarkable.
- Able to Yield Consistent Profits
Immediate Edge claims to yield 100 percent profit a day. Meaning that your trade with an initial investment of $250 can gain up to $200 in profits in a single day. Many Immediate Edge reviews result shows this software is able to yield an average of $100 daily.
This basically means that the higher you invest with Immediate Edge, the higher the potential gain. But I suggest for you to start at the minimum $250 amount . Then later increase your investment you’re your trades are already yielding profits. Based on some feedback it can potentially earn a whopping %500K in a year.
- Easy to Use
The Immediate Edge software is fully autonomous. This trading bot is recommended for people who are new to trading. Trades in Immediate Edge system is done through simple clicks. Once you press the live button you can leave it as is. You don’t need to entirely focus on it just to check your trades. It does it all automatically.
Live trading can take up to full business hours. Meaning that you still have to switch it on and off manually when a trading session ends. But it comes with a manual that teaches you how to do live trades and the set up.
- Quick Withdrawals
With Immediate Edge, cashing out your money is fast and simple. It only takes up to 2 days for your funds to be sent to your bank accounts. Immediate Edge withdrawals are also free. This trading software charges its commissions on its users generated profits. Immediate Edge system also allows you to withdraw all your money including the initial investment. Other trading bots do not allow this however.
- 24/7 Customer Service
Immediate Edge software provides its user with a 24/7 customer service. You can contact their customer service through a plenty of ways including phone, email, and Facebook. You can also visit their website.
Majority of other Immediate Edge reviews claims it to be legit. Having a success rate of 90% on trade winning, this trading bot is more likely to yield you profit. But still it is not risk free. Manual trades done with not enough knowledge and assessment can potentially cause a loss of money. We suggest for you to avoid trades that you cannot afford to lose.