Bitcoin Forum

looking at the high volatility of the alt season with Doge opening the floor gate for the alt season session. there are lot of risk involve  in the market ,  for example pay attention to the exchanges you which to trade your prefer crypto currencies , that been said , liquidity of the exchange should be a looked into , because this determine the rate at which your orders such as buy or sell  are executed , take for example you prefer to trade in an exchange that has low liquidity , if the price of BTC is at $38,000  and you wish to  sell  your holdings , due to low liquidity your asset might not be sold at that amount you want . so this should be what you need to be aware while applying risk management in this alt-season. supporting or contradicting opinions are welcome for discussion.

You are not wrong in all the facts you pointed out, especially the liquidity aspect, it is very important to choose an exchange with good liquidity otherwise your trade will be slow, if you place an order and nobody to buy in that order is a waste of time,
Also stick to exchange with good reputation, the one's with good customer service should incase you stumble on a problem that needs to be resolved, you can get quick assistance.

There is a limit order and market order for which the traders have the option to sell the price at the price wanted by the market or at the price that they desire to sell at. But why would a newbie prefer to trade into an exchange that has low liquidity? That's already a bad start if they choose those exchanges that don't have much volume for the altcoins that they are holding. It is a good preference to be with the exchange that has a huge volume and liquidity.

That's why people will always suggest you choose the exchange sites that have big liquidity when the market will be crashing and you can liquidate your money instantly without needed to wait even longer for your order to be executed. Liquidity means demand and volume. that being said if liquidity should be considered as the main consideration before people will try to pick or try to trade on crypto.

Novices should choose mainstream trading platforms, such as ZB.com, poloniex , kucoin etc  OTC security merchants. Trade with caution. After all, large exchange websites have higher security attributes, and everyone’s funds and transactions are relatively more secure.

I almost forgot the topic after reading the replies here. I thought this was some kind of exchange promotion  :D.  Anyway, newbies should pay attention to the news, forecast, project development, the community, and rumors when trading virtual currency.  This affects the overall movement of the market thus anyone who is knowledgeable about this stuff that much can avoid unnecessary losses in trading.

They should only trade if they understand the market fully, have active focus on fundamentals and technicals and are good at reading charts and patterns.
And at the same time i will suggest them to avoid margin and futures trading and stick with basic spot trading to reduce risks.

yes it is very precise. as we know that many traders use exchanges with large liquidity, say like the Binance Exchange. almost every day there is always a high demand and an increasing trading volume. and for the Dex platform, maybe we can say that Uniswap. but the cost there is quite expensive.

Believing that everything is eternal and that the price will go up forever is a concept of attention analysis that all beginners should have. To add  avoid suddenly entering bombs and dumps without any knowledge doing this the chance of losing everything is very big. So being humble and looking for evolution is always the way to make big profits.

The moment when the bull run hits the market is the most dangerous for newbies. They are all blinded by greed and the vision that they can earn a lot of money quickly makes them easy victims to scam. I think the most important thing is to always think carefully about all investment decisions and, above all, not to follow the suggestions of strangers from the Internet.

Do you mean all virtual currencies or specific to cryptocurrencies?

Well, whatever it is, it is clear that investing and trading in this kind of currency is risky. And we must know the risks that we may get when trading cryptocurrency. If we are ready for the risks, go on, but if we are not, leave it and move on to the commodity assets.
Most people are coming to trade this currency only for gaining profits, but they forget about the risks that they may experience.
Many both newbies and old players are also trading coins without any analysis, being FOMO, and also not paying attention to the details of the currency.
It is true that if trading, we must pay attention to the liquidity of the coin itself. Besides, trading volume and also market cap are also important.

Choosing the exchange is yeah, it is important because we can see how reputable exchanges will act and provide better than others. And if the coins doesn't have enough liquidity anymore, surely it will be dead coins and delisted form any exchanges

The best option is DON'T trade especially for newbies. You WILL get rekt unless you have nerves of steel. Invest in asset based cryptos like Wise Token (https://wisetoken.net/?w=0x86b12a976ba003dc03b7f8601faeeee4031f738e). Lock your money up for a specified amount of time then sit back and wait. This prevents you and everybody else from trading and getting rekt. Liquidity is huge which prevents wide swings in market. If not WISE then go with hex coin. It's bigger but more economically centralized.

for a beginner we must learn from support and resistance, on the other hand we also see market movements because each project is different in its ups and downs. After understanding the basics I think you will become a professional trade.

Newbies who are new to trading in cryptocurrency should trade in the top20 coins which are traded in high volume so that they can grab their profit immediately. This because they get very fast entry and exit points while trading and that will improve their confidence.

Platform can Do nothing for you but advise , like what the people in this thread are giving , because in the end of the day it is our decision in which coins to buy and sell .

Binance has so much feature to Help newbies to keep safe yet many are still falling into trap because of their attitudes .
And Must Know how to Use Stop Loss because that will really save us from losing too much , handling our funds is our obligation but choosing the right tool will be our savior.

This topic is very useful for newbies. Everyone can make mistakes at first, but you should read the comments here for the least mistakes.
You should definitely trade on big exchanges and avoid the fraudulent cryptocurrency exchanges around. I say welcome to new friends  :)

First of all don't use leverage trading. Trade only with your own capital. Otherwise you will loose all your money.

It's my number one advice for newbies.

I agree with you and also support your opinion as well, but however before venturing into crypto trading, a newbie must know how to trade, learn about it and so on, this will help to shape the person into trading the right way.
The second thing that a trader must look at before trading on any exchange is the liquidity, and this is why top exchanges like Binance keeps growing because they keep getting more traders which then contribute as well to the liquidity. Another thing to pay attention to is the advanced features of the exchange and how user-friendly it is; most top exchanges have many trading features which makes trading easy for users, at the same time others have mobile application, which goes a long way in making the exchange easily accessible. Lastly, security shouldn't be taken for granted, it is true no exchange is secure, but as a trader you should play your own part the best way you can.

Second advice is to create your own trading system. I mean that you should create some rules for yourself when to buy and when to sell and stick to that rules. You can test them on historical data.

Trading emotionally means reacting to fear and hope, which leads to losses.

The first thing they should do is learn about the market! A lot of new traders jumps into the trading market, invest thousands of dollars and loses everything. Eventually they end up frustrated and quits. This all could be avoided if the user at least tried to learn the basic. Basics can be learned by investing few dollars. Start trading small with those few dollars. You will make mistakes while gaining experience. Learn from those mistakes and try to avoid them. Get familiar with different situations and eventually you will be ready.
There are lots of threads over that provides/guides newbies to the trading world. You should probably read those. Might help you.

If you do not have knowledge, it is impossible to earn anywhere. To have a stable income, you need to understand how it all works. Otherwise, it will turn into a big lottery lucky - not lucky. When there is a goal and an opportunity to learn the basics of cryptocurrency, you can also think about income. After all, without knowledge, something can not be achieved.

I agree with you that it is hard for beginners to earn consitently in the alt coins market. But you need to invest some form of money to start actually building up your portfolio. Also, when losing money it will be a good lesson for the later stages of your investing career. In the human mind it is common that we remember losses much more strongly than winnings. Everybody will make mistakes, it's just important that we are going to learn from these mistakes and won't repeat them.

The most important thing I believe should be looked into is the market trend and it not here. Everyone, including the pros should take note of this in order not to make an hasty investment decisions which might lead to loss of the investment value to price fall.

In my opinion the most important thing to look after when starting to trade on your own is transaction fees. Don't over trade because you will lose money for every trade. And is also can be very entertaining to trade regularly. I would recommend to do your solid research and at least try to hold the coins for some time.

There are many good instructions on the Internet how and what to do that's why I still think the biggest problem is human greed and fear. Therefore, it is better, before doing something, to be aware of how everything can be up to a complete loss of money.

I think the first thing newbie have to learn is how not to lose money. Trading to earn from the first day will drag you into a big well. Trading is not as easy as it seems from the edge. Ever since the market has been increasing, everyone started talking about BTC, although a few months ago whoever you offered to invest in, would see you crazy. Because we do not want to learn anything, we just want more money.

Newbies must first understand that there are certain risks upon doing trading with virtual currencies and if you are not knowledgeable of what you are doing, you are throwing money instead of taking gains and profits with it. Newbies must take into attention of having prior knowledge on how does the market works and better be picky on the virtual currency he will choose because that will probably decide the future of his funds if he will attain gains or losses with it. Research about certain coins you wish to trade with to better know its behavior and how you are going to handle it because your main aim is to earn money through it and not the other way around. You must also consider the exchange platform you are going to do your transactions because that thing do also matter.

new people should understand about how the markets work, and have enough knowledge to choose the right coin before investing
they should understand how to manage the risk too, before they drop their money in this crypto world
thats mean newbie should learn a lot about cryptocurrency before earn

this is the important point. Newbies should be aware that trading and investing in cryptocurrencies is very risky. Unfortunately, many newbies who are interested in joining cryptocurrency because of Fomo, are provoked by people, without equipping themselves with the knowledge and basics of crypto, this is what makes them tend to lose.

I always warn my friends who are just joining crypto, most of them are interested because the price of bitcoin is soaring at this time. I told you that prices could drop at any time, so we have to study first and really understand the risks.

What a newbie should pay attention to when starting crypto trading is when selecting projects to buy, they must choose projects that have high
volume and the next must choose a popular and trusted trading place. Actually, if these two things are fulfilled, the newbie can trade safely.
For other problems such as the strategy to be used for trading, can be learned by reading the many articles and explanations on video which are
available in various online media.

learn about fundamental analysis and technical analysis
and thats need an enough time, because if people can combining the technical and fundamental analysis, for sure they can get a consistent profit

Newbies should learn the secrets and mechanism of trading step by step, otherwise, the trading capital will be burned sooner or later. Maybe newbie luck will be the case and the new trader will survive for a while but the final ending is obvious. For finding the exchange, checking the crypto comparison websites and learning from other pro traders can make him a better crypto trader. Everything is linked to patience, impatient traders pay the bills of patient traders.

Dont do leverage but if you have to then make sure you are ready for the turnout of events because I can go side ways and you will definitely have bad trade and panics so I will advice you do things carefully and if you loose be a bigboy and accept, move on and learn Trading can sometimes wear you out even the best have that feeling so watch carefully and be safe

Liquidity will always become the main consideration for some people to pick the major exchange site. So many small exchange sites can't provide the liquidity for their traders and then these traders are moving to the major exchange site. that's why this can be an advantage for the major exchange site too as the volume will be centralized as people will try to send their money into the major exchange site with high liquidity.
That will be the rules when a newbie wanna try to trade and the newbies must pick the legit platforms.

The crypto market is opened for all traders where a merchant can invest easily, but it's not at all because, when bitcoin is growing up with an amazing graph then on the other hand the attacking has a decrease graph! In the present moment the BTC is going to unexpected high rate and it's 32k+, It is the records in present statistics. So, I would love to get a rally with both sides.

There are several points newbies should pay attention to. Exchange liquidity is just one of them. If they choose a popular exchange it is sure there will be high liquidity. The issue is that if the exchange charges high comission and withdrawl fees and if kyc is a must. These two points are my main concerns in this case, because newbies may not want to give their personal details and no one wants to pay high fees to cashout their funds.
It's a common mistake for newbies to fall in traps like this, creating a lot of headache and waste of money.