7 Things to Know to Become a Successful Crypto Trader

[mann1983]

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

[nelson4lov]

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.

[Text]

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.

[Apened]

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.

[MURONDI]

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.

[ajeef]

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.

[Jating]

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.

[avatar_kiyoshi]

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

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.

[acdc]

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.

[Darooghe]

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.

[Oilacris]

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.

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.

[Wexnident]

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.

[xZork]

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.

[palle11]

"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 ? 

[SummerBliss]

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.

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.

[Tipstar]

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.

[Coyster]

1) Build a diversified portfolio

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.

[Sanugarid]

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

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.

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.

[bitbunnny]

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.

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.

[nicolas1979]

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.