Cool Tips On How To Make Six Figures From Trading Cryptocurrency; No 2 Would Shock You
Almost everyone these days have different views on what the cryptocurrency market may hold for them.
While some belief it’s strictly for making money, that isn’t majorly the case as many traders suffer horrible losses from trades, and after that blame villagers for their ordeals.
One must know that the crypto industry is quite tactical, thus requires adequate systematical planning and composure.
Truth be told, there are quite a handful of methods you can make legitimate money with cryptocurrencies other than the obvious way of trading.
We, therefore, decided to explore some of the proven ways of how to make money with cryptocurrency; we gathered quite a few, but be assured that you’ll find them very impressive.
Without wilding away your time, Here are 3 ways to make money with trading cryptocurrency today.
Way#1. Buy and HODL
This is the most common way of earning money from cryptocurrencies. Most investors buy coins such as Bitcoin, Litecoin, Ethereum, Ripple, and more and wait until their value rise.
Once their market prices rise, they sell at a profit.This investing strategy requires one to identify more stable and volatile assets that can shift in value rapidly, and hodl.
Way #2. Stake Cryptos
This is another method of earning money from cryptocurrencies; it offers a double earning potential through price appreciation and dividend payout from selected coins for staking (or proof-of-stake) their digital assets. Staking involves putting a coin against another in your crypto wallet, thus allowing that particular coin to generate meaningful profit for you.
Way#3. Day to Day Trading
Over 80% of cryptocurrency investors believe that the only effective way (if not the only way) to earn money in this space is through day trading.
But what most of them don’t know is that day trading is more than just holding an asset until its value rises; it takes a lot to be a day trader, but most importantly, you need to have the proper fundamental and technical skills.
Fundamental analysis involves evaluating cryptos/stocks by attempting to measure their intrinsic value. Fundamental analysts study everything from the overall economy and industry conditions to the financial strength and management of individual companies. Earnings, expenses, assets, and liabilities all come under scrutiny by fundamental analysts.
Technical Analysis on the other hand differs from fundamental analysis.
It entails the ability of the trader to identify opportunities by looking at statistical trends, such as movements in a stock’s price and volume.
The core assumption is that all known fundamentals are factored into price, thus there is no need to pay close attention to them.
Technical analysts do not attempt to measure a security’s intrinsic value. Instead, they use stock charts to identify patterns and trends that suggest what a stock will do in the future.