The animation above clearly shows Moralis Money's main offering, Token Explorer, greatly raising your chances of crypto success. We will provide you a brief lesson on how to start using this outstanding tool toward the conclusion of this post! To understand how to be a good crypto trader, though, we advise beginning with the fundamentals. We shall so first outline the principles of successful crypto trading. This section will enable you to see the whole picture and identify some of the most crucial elements you need first to grasp.
We will next go over the three primary challenges that most traders face in trying to be successful in crypto trading. One of the secrets of crypto success is, after all, conquering these challenges.
You will also discover why concentrating on altcoins is the ideal approach to profit from cryptocurrency. Where else, after all, might you locate assets that, over a few months, average 50x - 70x increase?
How therefore should one become a good cryptocurrency trader? Basically, utilize Moralis Money to identify the finest cryptocurrency prospects!
Success 101 in Crypto Trading: Starting
Many facets of learning to be a good crypto trader are not different from those guiding success in conventional markets. Therefore, if one wants to start trading and be successful in finding crypto trading opportunities, one should take into account the following factors:
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Your physical power
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Your capacity for people reading
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Knowing your self and your feelings
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Apply your knowledge of yourself and your feelings to comprehend others.
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Knowing when to act and when not to press forward
The Market Mind Games book by Denise Shull presents the aforementioned elements as the fundamental strategy. The book presents the game plan to offer traders the edge in discovering success and examines the most recent findings in psychology and brain functioning. One of the main lessons of the book is that it is impossible to ignore our emotions hence we should never try to do so. Rather, we should control our emotions and see them as valuable information.
The above-outlines elements convert into the following broad-minded strategy you should apply for your cryptocurrency success:
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Get adequate sleep, eat well and healthily, and work out to ensure your body is in best shape.
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Understanding the game's rules will help you Choose and learn to apply the crypto trading tools and strategies you intend to utilize.
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Use Context's Role: Make sure you always know what before, how it was seen, and what the broad justification for it was.
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Remember also that accurate prediction of the future view of the other trader makes you profitable in trading. Live to trade another day is the first rule of trading as well. Otherwise said, never ever risk everything!
Therefore, one of the most crucial components of becoming a good trader is ongoing self-development meant to attain self-mastery.
How to Trade Successfully with Bitcoins
Given the three previously indicated phases, you entirely control the first one. The same applies to your emotions and using them as a background to guide wise selections; keep in mind that self-evaluation is absolutely vital! But employing the best trading tools makes all the difference, even with regard to learning the laws of the game and assisting you in using the context of the accessible crypto market data.
Moreover, it is rather crucial to apply instruments providing real-time analysis. Furthermore unlike in conventional markets, the crypto space provides unchangeable on-chain data. Therefore, a "how to be a successful crypto trader" path depends critically on leveraging real-time, on-chain data.
Success With Cryptocurrencies Begins With Knowledge And Research
In many other respects, crypto is also unique from conventional markets. It lets consumers, for instance, be totally in charge of their assets.
Learning the foundations of blockchain technology and DeFi—the route we advise—is thus also vital. At Moralis Academy, you may pick all the knowledge you need about this emerging disruptive sector.
If you wish to use a self-custodial strategy, knowing what blockchain networks, ERC-20 tokens, and Web3 wallets are is really important.
Research and education are therefore a perfect place to start. If you are new to trading—not only crypto trading—this is also where you should study technical analysis (TA) and fundamental analysis (FA). You want to be able to read the charts, identify trends, and understand the essence of the asset you are trading, after all.
Crucial Element of Your Path of Crypto-Trading
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Remember that you have to create your cash reserve if you are confident trading any asset, including cryptocurrencies. You thus need some money to start with.
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You should ideally be able to afford to lose at least a few hundred dollars. Your confidence will be more if you start with a greater stack; yet, let your pride not define you. That said, you will be able to pick lower-risk bets and still pocket good gains starting with a larger stack.
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We then advise you to start trading crypto-coins. Create confidence and hone your abilities via paper trading or sample accounts. These "test runs" will also assist you in choosing the trading approach most fit for you. As you are starting, nevertheless, we advise you to keep your trading mid-term—that is, swing trading. Train yourself, though, to be ready when the state of the market shifts.
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Your talents will then allow you to investigate more complex possibilities. Here is where day trading—e.g., scalp trade scalping—and leverage trading—come in.
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You will always want to examine price charts and take real-time, on-chain data under whatever type of technique and trading style you choose. Those realizations help you choose which assets to trade and when to do so.
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You want to figure your entrance point, risk-to---reward ratio, and aim for every transaction. Apply risk management as well; stop loss (SL) or notifications alerting you to sell or purchase at a specific level. Whether you choose to employ CEX platforms, like Bybit, or DEX swaps, like Moralis Money's rapid crypto exchange function, your options will differ. You may read also this: ERC-404 Brings Fungible Tokens and NFTs Together
Three Crucially Important Issues
Knowing the three most often occurring crypto profit thieves will help you to succeed in crypto trading. After all, you have to first be informed of your opponent if you wish to beat him:
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The erratic character of the crypto markets increases FOMO, or fear of missing out, in crypto investing. Big price swings occur quickly, hence if you are not utilizing the correct instruments, it is quite simple to overlook price changes. This has always been a major problem; now, due to Moralis Money, you may escape crypto FOMO and discover success in cryptocurrencies!
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Scams: Many wicked players find their attraction in the whole crypto scene and particularly in profit-chasing features. After all, early users of new technology are not unusual for unintentionally bad actors. Although this sector is rife with all kinds of frauds, rug pulls and crypto pump-and-dump schemes are the ones most likely to destroy many traders.
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Lack of Time: To find the finest prospects in the crypto market, one must pay continuous awareness. Besides, the crypto markets run around-the-clock. For typical people with regular employment, therefore, it is practically hard to commit the necessary time to find and seize crypto possibilities.
Why should one be aware of these obstacles? Once more, awareness of the crypto-profit thief is one of the first things one should do to stop it! Knowing helps you to self-evaluate your areas of need for development. Overcoming these obstacles will help you to develop your strategy for effective crypto trading. You can conquer all mentioned using Moralis Money!
See our three crypto trading advice post to explore FOMO, frauds, and lack of time more.
Emphasize altcoins if you want success with cryptocurrencies
For those driven to be successful crypto traders, there are several legitimate routes. One may, for example, concentrate just on trading Bitcoin. But the days when you could spend a few hundred or thousand dollars on Bitcoin and get life-changing gains without resorting to leverage trading are lost. Still, that easy approach is quite feasible if you concentrate on cryptocurrencies.
After all, during a bull market the average cryptocurrency often rises in value by 50x - 70x. Moreover, there are alts that do much better; 1,000x rallies are not very rare. More importantly, there are tokens that run 10x, 100x, and even 1,000x even outside the bull run.
Altcoins are therefore the single finest asset class available for rapid riches using cryptocurrency. You still have to exercise appropriate care and follow correct risk management guidelines, of course. Furthermore, although that usually happens, you shouldn't anticipate to quadruple your money over night. Altcoins do, however, have life-changing possibilities without a doubt.