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How to Trade Bitcoin for Beginner (Part 1)

cryptocurrency VS conventional currency

Recently, cryptocurrency especially Bitcoin has been receiving a lot of attention again. It’s price has been reaching almost 50,000 dollar and experts predicted that it might surpass 100,000 by next year. But if you’re a beginner, here are some things you need to do and not to do to avoid loss.

Nine bitcoin trading tips for beginner

1. Beginner, let’s avoid a single-hitting deal.

The fee is much higher and the yield is low. In addition a beginner who is just starting to invest in cryptocurrency, is likely to lose money because unlike stocks, they do not understand market trends in the volatile cryptocurrency market.

2. Let’s continue to study.

If you continue to study many technology analysis methods (such as moving averages, MACDs, RSIs, etc.) such as how to start Bitcoin for beginner, you will be able to make a big profit in the future.

3. Let’s not invest with borrowed money.

No matter how long you have studied, theory and practice can be very different. Until you get used to it through experience, I hope you can trade with extra funds when you can afford it rather than with borrowed money. That way, you can make rational transactions and make decisions on breakups and profits through thorough analysis and strategy.

4. Let’s keep track of the information that affects virtual currency.

1) Major changes in national policies
A few months ago, changes in national policy, such as the introduction of the real-name system of cryptocurrency in the U.S. hearing, had a huge impact on cryptocurrency prices. Keep an eye out for these major policy changes.

2) Cryptocurrency-related incidents
Events such as hacking, scams, etc. are also major factors that greatly affect price fluctuations. In addition, market capitalization such as Bitcoin and Ethereum, and virtual currencies with higher transaction prices have a relatively higher ripple effect.

3) Market price manipulation
Due to the nature of the virtual currency market that is not yet perfect, there may be a force that intentionally over exaggerates or leaks misinformation to make profits. You should be interested in continuous study and news so that you can determine the authenticity of these information and make the right judgment.

 

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