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Author Topic: How is trading cryptocurrency different from stocks and forex trading?  (Read 1350 times)
healthureum (OP)
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February 20, 2018, 11:29:08 AM
 #1

How is trading cryptocurrency different from stocks and forex trading? Read on to know more.

Source: Forbes

https://www.forbes.com/sites/quora/2018/02/16/how-is-trading-cryptocurrency-different-from-stocks-and-forex-trading/#7f38a3124594
mudasarali43
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April 22, 2018, 10:06:44 PM
 #2

Stock Exchange is good market too I Think no doubt of Stock market but also the difference in stock market and crypto is  latest technology is required and like to invest in latest technology but one thing is good in crypto market that is bitcoin because bitcoin future and demand is growing better and better that is why I prefer to great future of crypto Market,
Kokondao
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April 23, 2018, 12:31:07 AM
 #3

It is very different between crypto trading and forex stocks, crypto trading runs for 24 hours without knowing working hours and running continuously and while forex runs during working hours, and crypto does not use margin like forex.
fokinlipat
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April 23, 2018, 05:10:59 AM
 #4

When you sell your bitcoins, you need not give any additional tax but in case of of stocks, you have to give taxes based on when you withdraw the maturity. Also, investing in stocks can have a lot of costly fees. If you opt for no-load mutual funds, you don't have to pay any fees. You don't have to worry about trading fees that can be very steep when buying and selling stocks.

Note that these rules may vary from one country to another and this answer is based on current regulations in my country.
Anita1873
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April 23, 2018, 05:25:37 AM
 #5

Difference between trading of forex and cryptocurrency is that forex is controlled by the countries because every country has its own interests and they can make changes in their currency as per their requirement and can create negative or positive effect but crypto currencies don't have any control and it cannot be influenced by any decision due to decentralised.

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Herbert2020
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April 23, 2018, 05:46:06 AM
 #6

the biggest difference is that when you trade altcoins you are trading thin air in a bubble. it can burst at any time and it is extremely manipulated. there is no way you can predict the altcoin market in long term and it is pretty hard to predict it in short term also. pump and dump may happen everywhere but it is the only thing happening among altcoins.

Weak hands have been complaining about missing out ever since bitcoin was $1 and never buy the dip.
Whales are those who keep buying the dip.
loicuagio1979
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April 23, 2018, 05:47:51 AM
 #7

It is very different between crypto trading and forex stocks, crypto trading runs for 24 hours without knowing working hours and running continuously and while forex runs during working hours, and crypto does not use margin like forex.

Dear mate,
I know some crypto exchanges allowing traders to use margin account and traders can select different leverages depending on their trading status.
https://www.bitfinex.com/features
https://www.huobi.com/
https://www.bitmex.com/
https://whaleclub.co/

I do think that there are more than 10 crypto exchanges allowing users to trade with margin account

Best regards
loicuagio1979
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April 23, 2018, 06:02:14 AM
 #8

the biggest difference is that when you trade altcoins you are trading thin air in a bubble. it can burst at any time and it is extremely manipulated. there is no way you can predict the altcoin market in long term and it is pretty hard to predict it in short term also. pump and dump may happen everywhere but it is the only thing happening among altcoins.

Dear mate,
I don't agree with your opinion depending on 2 main reasons:
1. Which altcoins do you trade and do you deeply understand the ones you are holding?
2. Pumping or dumping, long-term or short-term, bubble or bottom etc.. is a different story and we have to face with them daily or even in some seconds. This is mainly the story of financial market which has happened for decades. Nothing's new here

As for me, I bought some altcoins, such as: NEO, EOS, WAVES, LTC and some tokens also. I have still holding them without any problems as you said

Best regards
raddish
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April 23, 2018, 06:17:32 AM
 #9

How is trading cryptocurrency different from stocks and forex trading? Read on to know more.

Source: Forbes

https://www.forbes.com/sites/quora/2018/02/16/how-is-trading-cryptocurrency-different-from-stocks-and-forex-trading/#7f38a3124594

I find the difference in them is that normal investing instrument is using real cash for buying and selling of that asset you are holding and not like crypto which you need to change to either eth or btc  and even doing an additional step using eth or bts to buy various type of altcoins which i think is the main difference between them. Normal invesment is more to centralize and crypto is decntralise.
gobingo
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April 23, 2018, 06:23:31 AM
 #10

I also really feel the difference between crypto, stock and forex trading, because crypto trading time can be done anytime without any time limit and while stock and forex must be done in working hours.
natalagerman95
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April 23, 2018, 06:28:09 AM
 #11

1. Insider trading and pumping and dumping schemes
Developers of coins.
Owners of mining pools.
Large investors.
2. Lack of insurance
Crypto-currencies are not even considered legal securities, so SIPC insurance is not applicable here.
3. Not supported by profit, assets, or business model
4. Constant risk of losing everything
5. Unreasonable price movement and lack of warrant protection
but despite all this, it is gaining rapid turnover on the stock exchanges and causes strong interest for investors with a view to getting rich !!!
gordeevaverona
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April 23, 2018, 06:43:07 AM
 #12

I do not understand this very much, but I know the essence of stock trading and bitcoin, I can say that the differences are minimal, everything happens in the same way
VitKoyn
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April 23, 2018, 10:23:41 AM
 #13

There's not much difference when it comes to trading but the biggest difference between both of them, is in stock market you are investing in the company (but not really owning a part of the company), while in cryptocurrency you are investing in the technology or the cryptocurrency itself. Another difference is the cryptocurrency market is more volatile than stock market so there is a chance that you will gain huge profit by trading cryptocurrency but it is also riskier and higher chance that you will lose a lot of money in just a short period of time than stocks. I don't know much about forex because I haven't tried it yet.
selezneve
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April 23, 2018, 03:05:30 PM
 #14

In case of crypto, there are less options to choose and thus it is easy. With stocks, you need to research more. Now understand that nobody can successfuly predict the stock market 100% every time, but a financial professional can at least make possibly better picks than you.

If you've finally realized that you need to be investing your money, and you don't know how to invest or what to invest in, start with mutual funds. Watch your money grow, and if you ever feel confident enough you can buy your own stock picks. Until then, don't waste precious time, start investing right away!
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April 23, 2018, 03:40:40 PM
 #15

I do see that regulation and overall maturity as the biggest factor here. When it comes to crypto, there is no regulation and upper limits and on the top of that, it is highly volatile market due to lack of maturity whereas stocks and Forex trading has evolved over the time in last few decades and thus they have a comparatively high advantage and maturity. It would not be a wise comparison in my opinion for fair results at this point. I believe that we would see a better picture in the coming years.
check_it_out
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April 23, 2018, 05:06:54 PM
 #16

Stock Trading is about investing your money to a certain company

Forex trading is about investing your money to a certain currency

Crypto trading is about investing your money to a ceratin blockchain technology


Based on the level on risk,
Crypto and forex the highest risk level, along with the highest possible return
Stock trading is the savest one.
Sahyadri
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April 23, 2018, 05:10:56 PM
 #17

Interesting read. I am still waiting for the day when people actually start using Bitcoin more as a currency instead of using it as an asset or a stock. People need to know that this coin can have other uses too and is not just a piece of paper. Most of the other trading is regulated by some regulating authority while cryptos aren't so people get breathtaking returns and are hence attracted to the market.
Timok Abiodun
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April 24, 2018, 12:12:16 PM
 #18

Bitcoin and other cryptocurrencies have been touted as the future of money. While that may or may not eventually be the case, the traditional global financial system remains the benchmark of value and stability when it comes to commerce.
however, The forex is by far the largest marketplace in the world. Participants from around the globe engage the forex remotely on a daily basis, ensuring liquidity and relative pricing stability. Rapidly advancing internet technologies have promoted robust growth of the forex for the last 20 years.
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April 24, 2018, 12:14:56 PM
 #19

BTC are traded on a much smaller scale and represent only a portion of the total cryptocurrency marketplace. With a limited supply predetermined to be a maximum of 21 million4), BTC is a miniscule market in comparison to the trillions included by the forex.

In terms of value, BTC has proven desirable to investors. For the year of 2017, BTC rose to more than US$4,000 apiece, with a total market cap valued at over US$70 billion.5) Daily BTC market turnover regularly exceeds US$1 billion.6)
In comparison, the least traded major currency on the forex, the Swiss franc, has an average daily turnover of US$243 billion.7)
Simply put, the relative size and value of the BTC market is microscopic in comparison to the forex.


www.fxcm.com/insights
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April 24, 2018, 12:23:32 PM
 #20

How is trading cryptocurrency different from stocks and forex trading? Read on to know more.

Source: Forbes

https://www.forbes.com/sites/quora/2018/02/16/how-is-trading-cryptocurrency-different-from-stocks-and-forex-trading/#7f38a3124594
In actual in the cryptocurrency we are not restricted to many type software the taxation system and also awe are not restricted to to Fiat value system , here in cryptourrency we are like totally independent tondo anything and also here we can do in any bulk amount .
But in case of the stock market we are not able to make much because at one side lotsof limitations and another side fluctuations are not much better according to as we expect in altcoins market .
So a type of more and more opportunity is there in the field of cryptourrency than in stock market , otherwise many people are preferring to use stock and crypto. Equally .
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