The growth of crypto and the increasing opportunities it presents to make profit, has made more and more people interested in getting into it. Today there are many ways to profit using crypto, but one of the most popular and in-demand methods is through trading. Crypto trading is an activity of buying and selling cryptocurrency through a platform or crypto exchange to profit from the difference in the value of buying and selling. There are many people who have benefited greatly from trading crypto. However, being a crypto trader is not something that can be done easily and without any preparation.
There are several preparations that must be done if you want to trade crypto, such as market research and risk management. You should also understand that crypto values tend to be very volatile, so there is a high risk if you trade without proper preparation. There are many factors and specific steps that you need to consider and go through in order to profit from trading. For this reason, it is important for traders, especially newbie, to understand the basics of crypto trading.
Crypto Trading Basics
As already explained, there are basics to keep in mind when you start trading crypto in order to make a profit. For example:
- Create Digital Wallet
To be able to start trading crypto, the first thing you have to do is to have a digital wallet, on the crypto platform of your choice. This wallet functions as a place to store your crypto assets, just like a physical wallet. There are many exchange platforms where you can create a wallet. It is very important for you to choose a platform that has been proven legal so that it is safe and reliable to avoid fraud or losses. One of the trusted crypto platforms is Tokenomy, which is officially regulated under the Labuan Financial Services and Security Act 2010 (LFSSA) which provides security licenses in the investment sector.
- Use stop-loss planning
One of the most important things in crypto trading is planning. In a good strategy plan, you should define your goals and reasons for trading crypto. This is important so that you do not make inappropriate decisions when market conditions do not match expectations. Stop-loss planning is a strategy where you have determined the lowest and highest prices in buying and selling crypto. This is to make a maximum limit of potential losses, so you will not lose more than you are prepared to.
- Setting limit orders in trading
Limit Order is a feature that sets a limit on the quantity of crypto that is traded in the order book at a certain price, while the Limit Price is a feature to set a limit on the price to buy and sell the desired crypto. Limit Price allows you to set the price you want. Both of these things make sure that the transaction will only run when the market price reaches a predetermined limit. From there, you can use the Limit Order feature to buy and sell at a price lower or higher than the current market price. As a result, you can save on the costs of the market maker or market taker.
- Doing research on crypto market trends
Doing research on crypto market trends is very important so that you can make the right decisions in trading. There are many ways to do this and it only requires the internet. Some of them are monitoring sites that discuss crypto, social media, and joining the crypto trader community to always get the latest updates from the crypto industry. Make sure that you choose a trusted platform and community to avoid hoax news.
- Learn psychology management in trading
After doing research and making planning through stop losses, along with determining limit orders, you also need to make sure that your emotions will not lead you to make the wrong decisions. Psychological management in trading is very important. Ttraders often get big losses because they make decisions based on momentary emotions, such as fear of loss or greed. Ttherefore, you need to learn to be disciplined to follow existing plans. If you follow momentary emotions, decision-making will be rushed and also not in accordance with the market research that you have done.
In trading, it’s a good idea to practice frequently using a demo account available on the exchange platform. This will help you to be more detailed in conducting market analysis and also understand the features that can be used in trading tomaximize your trading practice. On TokenomyX, you can practice on a demo account at any time using free virtual capital that can be topped up repeatedly. This demo account will help you learn to trade without using real money so you can practice trading without fear of losing.
Steps to Start Trading Crypto on Tokenomy
From the explanation above, you must have understood the basics of crypto trading and the things that need to be prepared before starting. If you are sure to start trading, then there are several things you can start doing. The Tokenomy platform is made to be easy for beginners to use so you don’t have to worry. To trade on Tokenomy, you first need to create and verify your account. After that, you will have a wallet and can immediately top up using several methods such as bank transfers and others. Once your account is ready, then you can start trading on the Tokenomy Advance Exchange. Here are some steps you have to do:
- Click “Exchange” on the sidebar menu and select “Advanced View”
- Click on the trading pair you want to enter on the trading page.
- The trading page will display the order book, candlestick chart, BTC/IDK/USDT pairing in detail, buy or sell limit box options, open orders, and trading history.
- Traders can also access the Market Depth Chart and Advanced Chart to help with trading analysis.