Table of contents:
- 1 Buy crypto currency: the top tips for optimal profits in crypto trading
- 1.1 Buying crypto currency: the numerous possibilities on the crypto market
- 1.2 Which crypto currency buy?
- 1.3 BITCOIN MAINTAINS LEADERSHIP IN CRYPTO-LIST
- 1.4 STRATEGY DECIDES ON PURCHASE
- 1.5 Crypto currency where buy? Find the right exchange
- 1.6 TRADING OFFER
- 1.7 LICENSE/REGULATION
- 1.8 SECURITY
- 1.9 PAYMENT OPTIONS
- 1.10 TRADING COSTS
- 1.11 EXTRAS/SPECIAL SERVICES
- 1.12 FREE WALLET, YES OR NO?
- 1.13 How to buy crypto currency?
- 1.14 Buy crypto currency and use downward trend for it
- 1.15 PRICE ANALYSIS: DOWNWARD TREND CAN BE A SIGNAL
- 1.16 DEMONSTRATE PATIENCE IN TREND TRADING
- 1.17 MISSED THE TREND? NO PROBLEM, BUT STAY CALM AND WAIT.
- 1.18 Appear as a seller at crypto-market, instead of buying crypto-currency
- 1.19 FINDIGE INVESTORS SECURE THEMSELVES COINS FREE OF CHARGE
- 1.20 MAKING OPTIMAL USE OF CRYPTO-FAUCETS AND INCREASING PROFITS
- 1.21 COLLECT COINS IN THE WALLET AND THEN SELL THEM PROFITABLY
- 1.22 Crypto currencies directly buy: Give trade alternatives?
- 1.23 Conclusion: Buy crypto currency profitably possible even for less experienced traders
Buy crypto currency: the top tips for optimal profits in crypto trading
To the favorable price a crypto currency buy and then expensively sell: That’s how easy it is to trade successfully on the crypto market. However it is in practice not always completely so easy, because meanwhile there is more than 2,900 crypto currency and it becomes almost monthly more. Which crypto currency to buy? This question is often the focus of investor decisions. We show whether Bitcoin, Litecoin, Dash or other currencies have the potential for profitable business and where the traders invest best in the crypto market.
- Traders can invest in more than 2,900 crypto currencies
- Wallet (online or offline) is required for direct trading on the Exchange
- For the purchase of crypto-currencies, dealers can use Fiat money or crypto-currencies
- Purchase especially recommended for crypto currencies with high market capitalization
Buying crypto currency: the numerous possibilities on the crypto market
The crypto-market offers an incredible number of opportunities for merchants. There is long no longer only Bitcoin as a tradable currency; the number of Internet currencies is now more than 2,900. Thus, theoretically, traders have over 2,900 possibilities if they want to buy a crypto currency. The question arises: Which crypto currency to buy and where? A view of the market capitalization can give a decision guidance. If the dealers would like to select a suitable Krypto stock exchange, a comparison is recommendable, because it presents the substantial advantages of the individual Exchanges more near. We also provide support and show what is possible with the purchase of Bitcoin and Co. and what the traders can expect from it.
Which crypto currency buy?
The list of the crypto currencies is already enormously long and becomes monthly longer. Meanwhile there are nearly 3,000 new crypto currencies beside Bitcoin and the number rises constantly. If dealers would like to invest into one of these currencies, the selection is difficult due to the variety, besides offers long not each crypto stock exchange the trade with the newest Coins also. Which crypto currency has particularly much potential is not so simple to determine. A view of the market capitalization can give an indication of it. Here it becomes evident, how many Coins of the Kryptowährung are in the circulation and which price they cost. Both factors combined result in the market capitalization, which can be an indication for particularly inquired currencies. At the top of the crypto list is Bitcoin.
BITCOIN MAINTAINS LEADERSHIP IN CRYPTO-LIST
Since its release in 2009, Bitcoin has not relinquished this position and defends by far a share of more than 60 percent of the market capitalization, measured by the complete crypto market. Whoever wants to buy this crypto currency, however, has to invest more compared to other Internet currencies. Bitcoin is the most expensive crypto currency available on the market. The all-time high was reached on December 17, 2017 with over 18,000 Euro. The all-time low was more than 59 Euro on July 5, 2013. This means that Bitcoin is still more expensive than many other known crypto currencies. Ripple, for example, reached an all-time high of 3.52 Euro on January 4, 2018.
STRATEGY DECIDES ON PURCHASE
Which crypto currency to buy? Each trader answers this question individually, because the selected crypto currency must fit the trading strategy. There are investors, who trade above all the well-known crypto currencies and thus take less risk. Other Trader set on the alleged Underdogs, which are to be found in the crypto list on the rear ranks and to have favorably. However the risk is particularly large straight with these crypto currencies that the demand rises only hesitantly or not at all and the prices do not develop as desired.
Crypto currency where buy? Find the right exchange
Not only the selection of crypto currencies has become much more extensive in recent years, but also the number of trading platforms. The question arises: Where to buy crypto currency? Who prefers the direct trade, that must become active at a Krypto stock exchange and acquire there Bitcoin, Litecoin or other Coins directly. With the selection of a suitable stock exchange a comparison can help; this compares the advantages and disadvantages of the different Exchanges exactly and supports the investors with the decision making. Based on our practical experience, we have looked at which criteria can help in the selection of a suitable crypto exchange and which ones can perhaps even be neglected.
If traders want to buy a crypto currency, they should make sure that the currency is actually offered when selecting the exchanges. The well-known crypto currencies with the highest market capitalization can be traded at almost all renowned stock exchanges. The situation is different when selecting the less well-known currencies, which are at the bottom of the crypto-list. They are offered sporadically, but the search for a suitable crypto exchange takes longer here. In addition to the quantity of the trading offer, the trading volume also plays an important role. When choosing an exchange, investors should make sure that the trading volume is as high as possible so that the execution of the trades is secured. Otherwise, they may have to bear the risk of late execution and too rapid price fluctuations.
The crypto market is not regulated like other markets. This makes it all the more important that the chosen exchange is reputable and secure. A license is at least an indication of a reputable provider. Crypto currency buy Germany and world-wide is in a certain way a matter of confidence, whereby many well-known stock exchanges take numerous measures, in order to obtain a safe feeling for their investors. Thus they work for example with segregation, the separate storage of the own and financial means of the investors. In addition, there are cooperations with renowned credit institutions, which are licensed and ensure the safe storage of liquid customer funds.
Security plays an important role in a crypto exchange, although there are big differences. Above all, sensitive personal data should be protected in the best possible way to safeguard it from unauthorized access. Many crypto exchanges aggressively advertise the fact that they store personal customer data on secure servers or transmit it via an encrypted connection. However, anyone who believes that trading on a crypto exchange is anonymous is mistaken. Complete anonymity is usually not given even with block chains. Although no personal data is stored in the block chain during transaction processing, the recording of the transaction amount and the public wallet address still takes place. Bitcoin is the best example: This crypto currency is by no means anonymous; at best it is pseudo-anonymous.
Who would like to use PayPal to the crypto currency buy, must look somewhat more exactly with the selection of the crypto stock exchange protection. The payment service provider PayPal is offered according to experience not by many stock exchanges, which has different reasons. Nevertheless, merchants do not have to do without electronic purses, Neteller and Skrill are particularly common among crypto-purses as payment service providers. The same applies to payments by credit card, especially Visa and MasterCard. But also the classic bank transfer and instant bank transfer are frequently used. At some crypto exchanges, merchants cannot use PayPal to buy crypto currency, but they can use other crypto currencies. For example, Bitcoin allows the purchase of Litecoin, Dash or other Internet currencies.
The trading costs play an important role in the selection of a suitable exchange. Since each provider calculates his costs individually, the conditions vary. If the dealers would like to buy a crypto currency, they should also note that the price developments can be different with the individual Exchanges. Therefore, we recommend a price comparison based on live data. In order to protect themselves from hidden costs, it is advisable to take a look at the exchange’s current list of prices; or traders can use a calculator to calculate trading costs in advance. A good crypto exchange, for example, provides such computers free of charge.
Which crypto currency to buy? With this question, especially less experienced traders are often overstrained in the initial phase of their trading activities on the crypto-market. A good stock exchange provides support and makes for example analyses or market outlooks available, in order to facilitate the decision the suitable crypto currency. Such services and extras can make the difference between a good and very good crypto exchange. Among the useful services are also the live courses, which are by no means available (free of charge) at all Exchanges. However, given the volatility of the crypto market, live data is particularly important when it comes to making well-founded trading decisions. That’s why we recommend choosing an exchange where traders are offered live prices free of charge.
FREE WALLET, YES OR NO?
With the selection of a suitable crypto stock exchange many investors set also on a free Wallet, which is in the theory naturally a beautiful extra. Who looks at itself the Wallet however somewhat more exactly, will state that the crypto stock exchanges make usually an on-line Wallet available to their dealers. It may be suitable for temporary storage of coins or smallest amounts, but not for long-term secure storage. In our experience, the risks of hacker attacks are too high. Therefore, we recommend using an offline wallet for longer-term management and not necessarily considering the offer of a free online wallet as a major decision criterion when choosing a crypto exchange.
How to buy crypto currency?
Which steps are actually necessary if one wants to buy a crypto currency? With the selection of the suitable exchange, the traders have taken the first important step to be active in the crypto market in the future. How to buy crypto currency? We present the next steps for trading activities.
- STEP: OPEN A TRADING ACCOUNT AT EXCHANGE
To use a crypto exchange for trading activities, traders first need their own account. It is not possible to trade anonymously on the exchanges, only registration via the online form is possible. Essential personal data is requested: Name, e-mail address, date of birth and mobile phone number. Exactly which information a crypto exchange requires depends on the individual trading place, whereby the essential personal data hardly differ when queried. It is important for the traders to provide truthful information in order to avoid later complications or even a trading stop due to the false information.
- STEP: VERIFY THE ACCOUNT
The next step after logging in with the trading account is verification. This not only protects the traders themselves against abusive trading activities by a wrong person, but also the crypto exchanges protect themselves with this procedure. A valid identification document (copy of an identity card or passport) is required for verification. In addition, proof of address is required, which can be provided by a telephone bill, for example. It is important that the proof of address should not be older than three months to confirm the current place of residence.
Tip: Traders can easily e-mail the documents to customer support or upload them; release them for checking. As soon as the support has the documents, they are checked and confirmed, the trading account is released for account capitalization.
3. STEP: ACCOUNT CAPITALIZATION
While traders can often use a free demo account with virtual credit for initial trading activities with a broker, for example, this is not the case with crypto exchanges. The traders need their own credit balance if they want to buy a crypto currency. After successful verification, the trading account is ready for the first deposit. Usually there is no or only a small minimum amount for this at the exchanges, so that the traders are flexible in their deposit ideas. Which payment service provider they use depends on their personal preferences and the offers of the crypto exchange. Some crypto exchanges allow deposits to be made with fiat money only, others allow account capitalization with crypto currencies only, and still others allow deposits with both options. How long it takes until the deposited amount is actually on the trading account depends largely on the payment service providers. Experience shows that the fastest way is with electronic purses or credit cards, and the longest is with bank transfers.
Tip: If the traders with a crypto currency in the wallet want to buy another crypto currency on the stock exchange, the link to the wallet with the public address is sufficient. Then the desired amount is simply indicated with the deposit and the transactions from the Wallet are realized. How long this process takes depends on the respective crypto network and its utilization. With Bitcoin it can take several hours or even days due to the high volume.
- STEP: LINKING TO THE WALLET
The link to the wallet makes each crypto exchange completely individual with regard to the sequence of trading activities. Some exchanges require the link to the public wallet address immediately upon opening the trading account, others only after successful verification. It is important that traders only enter their public wallet address and not the private one. The public address is comparable with the account number, so that the other users of the exchange know where the purchased coins are transferred to. However, it is not possible to draw conclusions about the person or personal data on the basis of the public wallet address.
- STEP: BUY CRYPTO CURRENCY
The most important step after the entire registration process is the purchase of the crypto currency itself. In order for merchants to find the optimal time and choose the right crypto currency, we recommend to analyze the market thoroughly. Which crypto currency to buy? There is no general answer to this question, the selection depends on various criteria. These include: future potential, market capitalization, current price and forecast for the future. Also the own budget as well as the risk inclination play an important role with the selection of a suitable crypto currency for the purchase. In addition, the right time is crucial, which is determined by the price development.
Buy crypto currency and use downward trend for it
The art for investors is to buy as cheaply as possible and sell as expensively as possible. How do the traders manage this with the multitude of crypto currencies and the volatility of the market? There are different approaches to this. The traders can concentrate on the Internet currencies with the highest market capitalization, which are particularly in motion. Who would like, can concentrate in addition, on the less well-known crypto currencies, with which straight hardly market movements are recognizable, for it however the prices are set very low. It is always crucial that the traders use the most favorable price for the purchase and proceed from the future profitable forecast. It is important in this context that such a profitable forecast is at best supported by technical/fundamental analysis or market news. Traders should never act on the crypto-market solely on the basis of their gut feeling or tips from acquaintances, but should always place their trading activities on a sound basis.
PRICE ANALYSIS: DOWNWARD TREND CAN BE A SIGNAL
When analyzing prices, the downward trend can be a helpful signal for the right time to trade. For example, investors can use technical analysis to evaluate the historical data of a crypto currency and search for emerging downtrends for future forecasting. Experience shows that the most favorable market price for the current situation is then available, although the downtrend should not always be traded at the beginning.
DEMONSTRATE PATIENCE IN TREND TRADING
If the downward trend sets in, many less experienced investors react euphorically, since they are pleased about the correctness of their prognosis and would like to use the downward trend immediately, in order to acquire the crypto currency at the more favorable price. Of course such a procedure is not wrong in principle, but it goes still better, so that the investors with somewhat more patience could receive still more favorable prices. Who possesses somewhat more risk joy and patience, which can pursue the downward trend with its development and acquire only then the crypto currency, if it is briefly before the end and nearly at the beginning of the trend change. Why wait so long? If the downward trend is almost before the trend reversal, the prices on the market are still more favorable than when the downward trend begins. In this way, traders save twice as much and can purchase even more coins with their planned amount of equity.
MISSED THE TREND? NO PROBLEM, BUT STAY CALM AND WAIT.
Patience and trading without emotionality are crucial when buying crypto currencies. Who risks too much and missed the trading time shortly before the trend reversal, should not become hectic and invest on bending and breaking. Instead, you should keep calm and wait for the next downtrend. This is the secret of trend trading, because every trend comes back or reverses at some point. With this knowledge, traders can act more calmly on the crypto-market and avoid overzealous wrong trading decisions.
Appear as a seller at crypto-market, instead of buying crypto-currency
What actually happens after I have purchased the coins at a low price and saved them in my wallet? Then the investors have the chance to act as sellers on the exchange and sell the coins profitably. It is important to observe the market and keep an eye on the prices. However, instead of hoping for a downward trend and the low price as a buyer, the aim of selling is to achieve the highest possible price. The sellers can not only sell at the crypto exchanges at the dynamic market price, but can also set their own price for the sale at selected trading places. Such crypto exchanges have the character of a marketplace, as one or the other might know from eBay (the well-known Internet auction platform). Traders can make it easy for themselves and post their coins on the crypto exchange at a fixed price and wait for a buyer to find them. How long this takes depends on the crypto currency offered, its price and the current market.
FINDIGE INVESTORS SECURE THEMSELVES COINS FREE OF CHARGE
Particularly resourceful investors even have the possibility to get Coins in their Wallet without own capital funds and without large expenditure. Few investors know this trick up to now, but we will reveal it. Users can register with various websites or mobile applications and enter their public wallet address there. That alone is often enough to get free coins automatically.
MAKING OPTIMAL USE OF CRYPTO-FAUCETS AND INCREASING PROFITS
The crypto-faucets are an optimal way for users to get coins into the wallet without any financial effort or the provision of computing power. This does not even require a lot of time to be invested, but often nothing at all or only simple tasks. The main purpose of the crypto-faucets is to increase the acceptance of Bitcoin and Co. among the broad masses and serve as a marketing tool. However, some of these projects are also run by companies that are interested in the opinion of customers and reward them with free coins. For example, users take part in surveys or rate applications or games. This usually only takes a few minutes and requires little effort. Nevertheless, the effort of the users is rewarded with the payment of coins or smallest amounts of coins. The earnings of Bitcoin and Co. could hardly be easier, could they?
COLLECT COINS IN THE WALLET AND THEN SELL THEM PROFITABLY
The micro-coins are flushed into the wallet with the activity, but it can take a long time for users to actually accumulate an adequate amount to make the sale worthwhile. Findige users register themselves directly with several Faucets and secure themselves so the double or triple quantity of the free Coins, contribute so to a faster collection in the Wallet. The Bitcoin Faucets are particularly popular because the market demand for the coins is unbroken.
Crypto currencies directly buy: Give trade alternatives?
Do the traders only have the possibility with crypto stock exchanges to profit from the performance of Bitcoin and Co. or are there still alternatives for further financial instruments? We looked around and actually found interesting financial instruments at numerous brokers. Not only the number of crypto exchanges is continuously increasing, but also the number of brokers offering lucrative crypto-financial instruments. These include:
Crypto CFDs are particularly popular with investors because they offer many advantages that seem to be made for the volatility of the crypto market. For example, traders do not need a wallet to trade the contracts for difference and also require significantly less equity. CFDs can often be traded with even the smallest amounts of Euros, so these financial instruments are also designed for investors who want or are able to risk less. However, the contracts for difference are also risky, which traders should take into account in any case. Therefore, loss limitation is extremely important in order to avoid total loss. Those who use the leverage in CFDs (maximum 1:2 for private investors) should be even more cautious, because the leverage not only multiplies the capital in the market and increases potential profits, but it can also increase losses without sufficient hedging.
Conclusion: Buy crypto currency profitably possible even for less experienced traders
Which crypto currency to buy? Where can I trade? These are questions that even trading beginners are confronted with when they decide to trade at the crypto-market. More and more investors use the price developments at Bitcoin and Co. to have and successfully invest some of their own capital at all, even off the beaten track of conventional financial instruments (for example, overnight money account or savings book). Trading on crypto exchanges is one way to invest directly in the coins, buy them cheaply and then sell them when prices rise. Getting started is comparatively easy, because registering with exchanges is very easy online and account capitalization is no obstacle. It is important that the traders make the market analysis with the selection of the suitable crypto currency for the purchase, whereby also here the stock exchanges stand supporting with analyses and Tools to the side. This makes it easier for investors at the beginning of their trading career to take advantage of the profit opportunities on the crypto-market.