Cryptocurrency trading is a great opportunity, thanks to crypto volatility. My favourite platform for trading is Binance and I explained here why.
Trading can become a strategy to integrate the Accumulation Strategy: besides some passive incomes and other static crypto purchase, trading can actively integrate your portfolio.
When I started trading I understood that not the whole portfolio could be setup for trading and that the reason why I suggest you to watch my tutorial on how I manage my cryptocurrency possession.
As you will understand, fist step is choosing allocation: how much money I decide to allocate on my trading portfolio? What is my target: accumulate Bitcoin or accumulate Dollars (or other fiat currency)?
Binance is a great way for both trading since it has incorporated Binance Jersey from some months on.
I like trading, for the accumulation of Bitcoin, since I truly believe that the mid term will give me proofs that I am right.
At first, I choose the markets of volatile coins and also, strong projects because I want to reduce the possibility of project collapse at the minimum.
Secondly, I must check the trend from the last weeks of Bitcoin. Are we expecting a move or we are still in a ranging zone? Strong Bitcoin movements usually lead altcoins to a drop, because the liquidity is attracted from the Bitcoin markets against fiat currencies.
What is then the trend of the altcoin against Bitcoin? Can we expect a raise? Do we see increasing minimums? Is the volume increasing? If the pattern is raising and we do not see too many contrary signals, than a long position may be evaluated.
Is there any upcoming news for the coin? A mainnet announcement, a fork, a consensus change, other? You can find these information on many different cryptocurrency calendars.
What is the size that the market can be fulfil? In this case I neve go beyond 1% of the market, meaning that if the 24h volume on Binance is 100BTC I never exceed 1 BTC per operation.
Of course the market I am now talking of is the Spot Market since Futures may be really scaring and dangerous.
I am evaluating to go deep enough with trading, from the basics to some tools really useful to create your own setup.
If I see comments and interests about, I will start producing videos on it.
Let me know in the comments what you may be interested in.
