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7 Things to Know to Become a Successful Crypto Trader


The growth in the Blockchain and cryptocurrency space shows their future potentiality to rise over the other payment technologies. Investing in crypto isn’t that difficult, but then it isn’t that easy either. In order to be a successful trader it is important to have a strategy and follow it till you see the results and repeat if required. After conducting a thorough research we have compiled the top 7 facts to know to succeed in crypto trading.

1) Build a diversified portfolio
Beginners put all their eggs in one basket while a professional would know what to do exactly. The smarter approach is to build a diversified portfolio based on market cap, tech and team behind the project. This decreases the risk of incurring losses.

2) Review your portfolio and trading strategy every 60 days
It is easy to chart your progress and see which way your portfolio is moving. As traders follow their strategy, it is advisable to keep an eye on Bitcoin price and its market capitalization. As Bitcoin’s price increases, its market capitalization increases and this leads to a fall in altcoin prices. This means it's time to hold or exchange for Bitcoin.

3) Don’t participate in lending programs with inadequate information
While there are lucrative lending programs in the market offering as much as 8% interest pa on lending your cryptocurrencies, it is recommended that you conduct a thorough research and then invest in such projects.

4) Do not loan funds for investing in crypto
Avoid trading in cryptocurrencies with borrowed funds. It is a popular advice in the crypto industry that you invest only what you are prepared to lose. This means taking loans from sharks or banks is not advisable as you are risking your borrowed capital in a volatile market with no guaranteed returns.

5) Losses are a part of the process
Traders and investors trading in crypto including the novice traders need to know like in any business ROI in crypto trading doesn’t come easy. It's important to remember that losing helps your learn, make changes in the strategy and improve your chances for better results. There is never enough research for finding the right strategy, you should keep working at it and try working on new strategies regularly to cope up in every market condition

Continue reading full article on:https://www.digitalticks.com/blogs/7-Things-to-Know-to-Become-a-Successful-Crypto-Trader.html

You've done well. The tips are on point although I feel #3 and #4 are a little bit out of the context of a trader. It's much more about an investor. Stuffs like lending or loans shouldn't be included. A trader should be more concerned about the market rather than platforms that offers monetary services. Aside from that, other tips are quite helpful especially for beginners. Kudos.

It seems that you just only copied and pasted it here. You should include your additional thoughts or say something about the article cause It only looks like plagiarism though. This thread may get deleted, it doesn't contribute anything aside from sharing some contents of the article and its source link.

To be honest you will not only know 7 things because knowing is not enough for us, we need to experience it by our ownselves. Trust me a wprd is a way far from experience even we could say that we know their mistakes we are just a human and we can't avoid failure but the things that you stated is a big step for the others to know what they need to do and to know more about before jumping into a trade.

I don't really care about articles like that, I want to know if you have become a successful trader, how many people are good at making nonsense, but in reality they are not like what they say, speak from the results of your own experience so you can provide concrete evidence.

Becoming a successful traders are more than just reminding those theories but we also need a trader instinc and really strong analysis and prediction. I think the really smart person is not enough to success in trading but the successful trader needs big luck and strong analysis.

Pretty obvious that the OP just wanted to bring traffic so that website, and I'm not going to be surprise if that is his own blog, Lol.

Anyways, thanks for sharing though, I would say that it is well written and different from the other post that I have seen so far. Regarding diversification though, for me the real meaning is that don't put everything in crypto, you should have a portfolio that contains stock or even precious metals and real state.

This part is what makes traders mentality down and in this part our emotions are tested, whether to continue trading until become an experts or stop when it faces lose.
This process is very important to support the continuation of our careers as traders.

Thanks for sharing anyway.

I agree with article 4, do not over invest what you are willing to lose. It is best for people to invest a small amount of capital in the cryptocurrency market, if you lose money then it will not affect your life.
I can add one thing that is always in control of your emotions, every emotion in any direction affects your investment decisions. If you cannot control your emotions, it is best not to be a trader.

I think the most important thing is, learn to control your emotions. It's human nature to get excited when things go up and get depressed when they go down. If you do this you will buy high and sell low. You need to train yourself to get greedy when everybody else is fearful and fearful when everybody else is greedy. Also, collect as much information as you can. success in trading and any business comes from being contrarian and right; managing your emotions helps you be contrarian, but you still need to be right.

I do consider this to be one of the most important thing not only on trading but on all investment means.Dont ever take a loan just to invest because you cant have an assurance that you would able to repay to that someone who do gave you a loan to the agreed due date.Why? you cant be sure on when you would able to make money yet we know cryptocurrencies are way too volatile.

lots of factors should really be learned up and consider specially on dealing with emotion yet this one do majorly affects you when you are playing with moving prices.

Number 3 doesn't really seem needed as a crypto trader? It isn't actually to become successful but rather to avoid being scammed instead. Number   4 is a must for every trader, like hell. Trading borrowed funds is the worst thing you could actually do in this line of work. As for number 2, It might actually be better to review your strategies every 10 - 30 days instead of 60. Changes in the market occur almost daily, and leaving 2 months to it may cause quite a bit of loss for you.
But if you're just going to become a long time HODLer of BTC, basic information regarding it is all you'd need. Just leave your btc in a wallet and you'd actually be done with it lmao.

In my opinion these 7 things are not enough to be a successful trader.
A trader needs knowledge and always learn, always learning can help traders capture information as quickly as possible and make timely decisions.
Besides, traders also need confidence to be able to stand firm with their decisions. They need to control their emotions in order to avoid fomo, most of those who are fomo are new and they are not sure about their investment decisions.

"4) Do not loan funds for investing in crypto"

I think what I understand about this isn't the way you explained. I think this to me literally means don't over stake or make an order that is too risky for your account or that you can't beat the loss if it goes against your profit plan.

Although, taking loan for trading has been advised against but people also borrow money to invest in some businesses. Are we saying then that crypto trading isn't reliable for profit ?  ;D

Okay let's keep the concept of loan funds aside. What do you think about margin trading? They too are form of loan funds and I have seen a lot of people taking up leverage even the good traders. Do you think that is bad for a trader too? Because as far as I know many people don't have enough capital to buy enough quantities to make a living out of trading so it would really make sense if they actually took some leverage or margin for trading but they have to follow a strict stop loss so that they don't just blow up their everything.

And automate your trading according to your strategy. You don't necessarily needs a trading bot but should place enough order to execute your strategy for not to miss a profit while you sleep. The crypto market never sleeps so should your strategy.

This particular tip could lead newbies to making a wrong choice, diversifying your portfolio could be a good idea only if its being diversified amongst good and working projects, but now it's very difficult to get any good project or any valuable altcoin, only very few in the market are actually fulfilling the roles they were meant to.

The best choice for newbies is to invest in bitcoin, and if they want to diversify, they should only go for altcoins that are good and have been in the crypto market for a while now and are doing very well. Diversifying your funds amongst useless shitcoins doesn't reduce risk of losses, it does the actual opposite as it increases it.

Do you mean FOUNDATION of the experiences that we need to face as a crypto trader? That's what every people should have, foundations about something for them to aim higher and build higher.

As you experience losses, that's the time you will think more of what will you do next in order to prevent those losses next time. As you use your critically thinking skills in crypto trading, you'll keep yourself away from losses which is good.

It means you're learning from something that makes you a better trader. Losses are part of the process that you should adopt and make your own way to overcome it.

I don't believe in automated  trading, without human touch it can't be the same. This is maybe something that could be used occasionaly but it shouldn't be constant practice.
A good trader needs skills and experience and that comes with time, so patience is crucial as well learning on own mistakes.

I know you got the point but it's look you also promote your blog, very good strategy. Become successful trader is not easy, need time hard work and fund at the same time. Give you one advice for all trader, you should enjoy the profit, meaning this time many people can get big profit but forget their happiness, don't do that.

I think you can review your portfolio and trading strategy every 30 days because if you decide to use 60 days, then I guess that is too long. Many coins can move in less than 60 days, but if we are in the long term in a bear market, yes, 60 days will be useful to review your portfolio.

If you want to make money from lend, I think you can do that in the recommended exchanges because you can find this feature in some exchanges, so you can get additional cash from the lending that you give to the traders.

Be careful when you analyze any coin because the losses will be there, and you need to minimize the chance to get lost money.

A lot of people must read this one and stay focus with it, i not say some newbies, but a lot of people out there that think they are professional after get a profit from trading. Even real trader wouldn't think about to use people's money to make investment in his trading activity because it is full of risk. But sometime i still see people really confident to make people invest money in him and then promise for a profit. A lot of them end with lose all people's money and they forced to refund their investor's money.

That's right, most of those who dare to borrow capital to invest in crypto majority of beginners because they are only tempted by profits without requiring longer experience and deeper observation about investing in crypto.
they know the risks they face but are blinded by greed, and if their expectations are not what they want, it will be their burden because they have to return the capital they borrowed and I totally agree with number 4.

The real drawback is that after I do something to learn everything is okay however the matter starts once really place them to figure. ought to observe tons here to trade then you'll be able to expect one thing smart must settle for the gains and losses and nothing sensible can happen you can't simply trade open for profit.

It would have been better if you, OP, added your very own advice, not just copied everything from the website.

And about borrowing funds, unfortunately I've seen quite of few cases that newbie traders borrowed money from others. And they believed that they could pay their loans after some trading. If only it's that simple. They thought that with trading (with a side note they have the knowledge of trading) they could doubled their funds in no time. Sadly it's not that easy.

And the other advices seems pretty common for traders to know beforehand.

Irrespective of all this yet when the bear market comes, it affects all the altcoins so what was the need of diversifying in the first place if your investment capital isn't protected from this. Diversifying in cryptocurrency was only favourable when the market is experiencing positive return as the chances of profiting more increases although in the period were market price is declining it because a negative and wrong decision to make.

You're fall better diversifying to other assets outside cryptocurrency since they're not related and your investment capital will be protected from a downward movement in the market.

For me the best thing in order for us to become a better crypto trader is by journalizing our trades. I keep recording all of my trades history and it consists of when I buy and sell, what price did I buy, what price did I sell, how many coins that I bought, how much money did I allocate in the trade and of course if I win or If I lose. I always reviewing all of my trades for me to know what is wrong and for me to avoid the mistakes that I can do it again.

Im 50/50 on #4 because if we think about it, if a store like Walmart will make an expansion and put up a store in another country, most likely they will not pull out money from their own pockets, it will be via loan from banks. Banks trust them with a loan because of the back ground. I know a guy who maxed out his credit card limit just to buy this token that he believes will make it big in the next coming years.

#4 is actually relevant if you read the whole point. Don't use money obtained from loans for trading. It's not talking about lending or anything.

Yes true, easier said than done. These points are the basics principle that people with a little experience in trading will find it meh, nothing new. But it can be valuable for many newbies out there who are looking to try trading for the first time.

This type of post seems to be seen another thread, whatever the case is, this is really helpful to any newcomer in order to trade in this cryptocurrency platform, I don't think it's too complicated for anyone, I think it's just a matter of study and proper knowledge, I believe when a person enters into this system then he must study properly about the crypto trading, I think if someone could control on emotion then it's enough to get better in this cryptocurrency trading, I like your first suggestion which is diversified portfolio, I think it could be a good method to create a good impact on this system.

Yeah you're right, similiar posts are every where but it's not bad though. Newbies could be able to read them and found them easily and learn what they haven't did in a trades. It might be hard to implement all the theories at first. But with the experienced of winning and lossing trades, i'm sure everyone could be a good traders if they always learn from their mistakes.

Indeed, because it will serve as guide to them whenever they are making decisions and actions. It will help them to be wiser and a better trader despite of having difficulties in the past, having enough understanding about trading will also give them some idea on the things that they need to do in order to be successful since trading is never easy and it will always be speculative. We will face some problems that will challenge us whether to continue or not. Trading needs effort and time, in order to survive and be successful we should know when to take the risk or not. Losing is part of it and it usually happens to many of us particularly to newcomers because some of them are still confused when it comes to trading, this kind of information can give them some knowledge and a better understanding to become a successful trader. We have to accept that sometimes our decisions will not turn out great but it shouldn't be a reason why we have to stop because we can simply acquire it and use it to build us as trader.

When you have a lot off money said Losses are a part of the process is not worry but how come if some one borrow their money from his friend or bank and got scam with loss by investing with bitcoin and altcoin, still you can said Losses are a part of the process and how come to get back his profit and return his money borrowing.

Not 1 or 2, but it keep happens to people. Trading and make investment must use our own money. Actually you are right, people know the risk is always hide behind trading, but they are too greedy because aim for bigger profit no matter where money that they use come from.

I agree with you very well After trading these posts benefited Also I think in order to be a successful crypto trader there are 7 things you need to do to observe and research different places to trade. If you do not get frustrated that there are both profit and loss trades try again from where you went wrong so you can become a successful businessman.

Always use your own money that you will invest in cryptocurrency. Loans can stress you out because what if you loss all your money and then you still have loan to pay. What will you do??? Mental breakdown will become the effect because you don't have enough money to pay the loan.

Always use your own money so that the profit is also all yours. You will not have to pay the loan because the money you invested is the effect of your hardwork.

There is no more new to the dish of the OP. It was tackled and stated here in forum over and over again though there are points that he/she did unique. But the thought still out there.
But hey, thanks for sharing OP. We know already how to be a successful trader. We just need capital to start. Maybe it is convincing if we have money to be rolled and follow every tip and techniques that forum users posted.

All seven things are interesting but I don't really think that diversifying your portfolio is necessary. Have you ever checked the price chart of most coins this year? Altcoins have been falling, though some have been making progress, but it's only a few of them like Chainlink. But, most other altcoins we thought were good ended up as decreasing in price like Zec, BCH, XRP and a lot of them.

Bitcoin was profitable this year, so assuming you invested only in Bitcoin, you're still going to profit a lot from it. Imagine buying at the rate of $3000 or $4000 before April this year and the price went up to ~$13,500, that's a lot of profit, about three to four times. So, diversification is not really necessary within crypto.

You may go for diversifying your portfolio along with some other investments like gold or real estates and in some countries bank deposits are good investments for consistent returns for earning a living for elder people but when comes to cryptos, only bitcoin investments will be more than enough for all age people.

Everything are very well said. One that strikes me the most is the topic about loaning funds to but crypto. I guess it really depends but somehow getting a loan to have something uncertain to make profit with is very risky. Even how small the amount, it is still risking of the value. I'm not against loan but as much as possible I say do not make it as an option.

I review portfolios every week, crypto movement is very fast and requires a different strategy according to the latest conditions. Then portfolio diversification is also an important activity for all traders. Some friends suggested getting a profit from the Poloniex lending program, but I wasn't very interested. The latter is very important, losses can never be avoided, need self-control to always ensure that you can still trade without having to make excessive new deposits, always maintain the existing capital to make a profit first.

I disagree with this point, most coins are just copies of bitcoin with a few changes, they do not really offer any diversification, if you really want to diversify your capital then you need to invest in markets others than this one, the market of precious metals, real estate or stocks are good ways to actually diversify your portfolio, look at the market now, bitcoin is going down and altcoins are going down even faster so there is not really any protection taking place.

i think that is really a dangerous act to take loans for the sake of investment in crypto because nobody know the up and down in the market, and that become terrible when the money of loan come down in crypto. I know a person who took a big loan for crypto investment but unfortunately he lost more than half of that money and then he was unable to return the money to owner. So i suggest to trade with your own money.

I dont believe the 60 days tag, it might not necessarily be 60 days if the plan was to take profit. In the past 2 years it had not been easy with taking profit from bitcoin. The idea for bag-holders is just around 2x-3x of investment, this could be difficult to sell if higher because of the volume and exchange listed. It is always difficult to stay away from internet when the market is doing fine and most of your tokens are kept in wallets not exchanges.

I would argue that not only should you avoid risking funds (using those funds) that you can't afford to lose, you also shouldn't be risking funds that you might need in the next year or two just in case an unexpected event happens and you need some source of money to fund that event, because you never know when something urgent could happen.

I would also add that if you're reading guides on how to become successful at trading, you're also likely new to trading and you shouldn't be risking large amounts of money in the first place even if you're perfectly fine with losing it. Most new traders do not make money but rather lose money while learning the ropes, and expect yourself to be no different.

Very true what has been mentioned in the opening post, that by complying with it can make us a successful crypto trader. Especially points
number 4 and 5, namely do not loan funds for investing and losses are a part of the process. Because so many traders using a bank loan
money into trading capital, this is very dangerous in my opinion. If we suffer losses we will have difficulties pay the loan installments. And
many traders also consider that there is a trading strategy without losses, even though we are trading will definitely experience a loss. So we
must be able to use strategies so that the profits we generate are greater than our losses.

Just look at the title of this topic, guys. OP is talking about how to be a successful crypto trader, not a stock trader or anything else. Moreover, there are many coins that are not affected by Bitcoin. Even, there are always a few coins against the wave. The market is a series of surprises, do not assert when you can not understand it.

I will just take number 4 to quote with.
This is really important.
Use your own money. If you don't have it then don't start at all.
Have a different savings for it. Do not let it be mixed with your budget for bills and other stuffs for your own necessities.
Just allocate a number for trading and also for investing.
That way, if you lose it then you should stop. Save once again then use that only.

I think this is not really necessary, no one decides to engage on the exchange if they don't have any money. And nobody thinks about becoming a trader if they have no economic ability (money). Basically, only people with money think about investing in other things, maybe someone will think of margin mechanism on exchanges, but to be able, they need initial capital.

I doubt that, there were still some few people who wanted to become successful by becoming a crypto trader, they started with just limited amount of money, they are those people who were not contented with their life anymore and they wanted to change something, and I've known a lot of people who has nothing and now has everything.

In my opinion the most important thing to become a good trader is to remember this quote 'never invest more than you cannot afford to lose'. Remember this, all the time. Another important point is to have a reliable trading platform, in the cryptocurrency market you can find a lot of scams! Use only well-known and safe exchanges, for example Kraken or CoinDeal. As far as I know, the second one even has a Swiss VQF which is pretty impressive and it is a kind of a proov that it's a safe place to buy.

In cryptocurrency trading, we have a different style and different story of how we start trading. Also, for me, one of the most important in cryptocurrency trading is an investment. Make sure you know all the things you needed before you enter into the crypto world it has a lot of path, technique, and skills to be gain before to be a successful trader.  If you still doubt some trials support the beginners in trading, grab this opportunity to learn a lot of things by those free pieces of training.  Learning is the most powerful thing that you must have that always keeps updated what is happening in the market, so you will know when is the right time to buy and sell your coins.

Losses are part of the process.
Yes, learn how to swallow the truth. It does happen.
Not every sweet words of those who create videos in Youtube are real.

New traders tend to look at their winnings only and when they lose they go mad and blame anyone even if it is them who decided the last click to buy or sell.  ;D

This is a great reminder to me and a timely tip. Since then I started trading, I seldom review my portfolio. I think more than a year now since bearish time, I did not review my holdings. I just sold whenever I need funds, I think I should start reviewing now and every 2 months.

It seems like someone is following a pump and dump groups? :P
If I were them I wouldn't rely such video tutorials to make a move in the market if I really want to get that profit. It is normal to know when to sell and when to buy. Don't just click buy/sell button if you don't know you are losing already. That should be a trader should have to look at.

^ It is different for me the trading portfolio and the holding portfolio, they should be separated accordingly especially if you are holding for the long term period. In trading, I review my portfolio every day and in the long term portfolio, I did not review this even just a couple of months. When the market is dumped I will not review my holding portfolio because I know which buying point I started with. Nevertheless, this thread is very well said and a lot of newly come in trading will be guided.

Great work. I will like to write a little more about point 4 & 5
Point 4:Starting any business or investment with Loan is not always adviceable to be safer from the hazard of the risk of failure. Boosting investment with Loan is still okay.
Point 5:Every business person should prepare against/for loss
You may only try to minimize the risk of losing much by business strategies. Loss is part of business experience.

You have a very good tips that can help to the newbies investors and traders. Not only for newbies but also from all of us here in crypto world that do trading. I agree that having loan for business is not adviceable because you will be dealing with very risky activity. I think you forget something, which is avoid too much greed.

Awesome areas you highlighted here. Will personally be putting this tips to use

I traded a lot, lost some and won some. But then i learned to control myself. it's all a psych game. No retest no entry! patience is a fucking key. April this year i saved up money from my job and deposited it into my trading account. stuck to my same rules and it was the best risk I've taken! I only work 20 hours a week now and by the new year i went quit completely. I figure if i can make 500 USD a week trading I can live frugal and continue to build my capital.

Relevant information shared,Further lot of things traders must know to become successful trader. Education is priority so spend more time to learn Technical analysis and Indicators. Know the indicators which directly or indirectly affect the market because it affect to the trade.

Knowing overbought and oversold helps to take right decision of buying and selling,Must know t overcome the emotions dont let emotions to ruin your trade just calm and relax.If lost a trade just learn and move one to recover your amount.

Bad advice is bad advice no matter how you slice it, to begin with if you can make profits in this market then you can make profits in any market so I do not see the need to limit ourselves to the market of cryptocurrencies, also he is describing diversification as a way to protect your investment, but there is no diversification to be had in this market, when bitcoin goes up altcoins go up and when bitcoin goes down altcoins go down so that is not real diversification at all and you need other markets for that.

Your number 4 point is very important if one want to be successful in trading crypto currency. This is because when you loan money you will always be under pressure particularly when the market is moving against your direction and that will make you take desperate trading decision that will end you loosing your money.

 :) :) :)

Hello,
Thank you for this very useful post, I really saw myself in this and I'll try to implement all your advice. I also read some interesting mistakes not to do while trading cryptocurrencies on this useful site (https://www.digitalbusiness.fr), I think it is complementary of what you say. I hope it will also help someone  ;)

Even if read 1 year or more i think i'm the worst trader on the world. Always i lose and can't profit from trading, only from holding.

I do not consider  diversified portfolio invest in bitcoin and altcoins, for me to diversify portfolio would be:

1 - invest in bitcoin

2- Investing in gold

3 - invest in properties in real world


it hurts a lot to lose, but as you said, losing is part of the whole process

I would prefer on this way rather than going all in with Crypto. Diversifying including those traditional physical or known investments is more ideal
rather than putting or going all in here on crypto space.Im not saying this hadn't the potential but its still risky for you to consider on putting large sums.
Diversifying is good but on things which are more worthy to spend on.

Success cant be achieved if we dont experience losses yet i hardly agree that its always been part of the process.Even how much we do hate it but losing is inevitable.

Learn to minimize the risk of losing capital by using stop loss functions and avoid trading with bots if you don't have extensive knowledge about how it works.

And avoid trading shitcoins for long term.

Be in control of your emotion: many have been dealt with because of their inability to have full control over their emotions during trade. Traders with such actions usually and up in lost, and they will tag their loose on market volatility. Emotions shouldn't be allow to come into play during trade because of it effect on traders.