If you invested $ 1,000 in Bitcoin in 2017, investing just $ 100 for each of the top 10 albums and keeping them for a year, the profit from your Altcoin portfolio will be more than double.
Individual performance by Altcoin such as NEM and DASH was even more impressive, with previous networks guessing more than five times the return of Bitcoin.
After all, many people still don’t see BTC and other cryptocurrencies as a real store of value.
Are altcoins generally more profitable to trade than bitcoin?
The short answer, not recognizing chart patterns and proper timing, are more important factors for day traders. Today’s traders are mainly interested in two aspects when choosing stocks / assets / good goods for trading:
Bitcoin is by far the most expensive cryptocurrency, but it still fluctuates much higher than many lower-priced currencies.
A few house rules
Knowing the right coins for trading is half the battle when making a profit from the profit market
Takes. This is especially important for position traders / swingers who plan to hold for months or even years.
Here’s how to do it:
1- Invest in solid technologies
Whether you are a daily trader or a long-term investor, you should choose several cryptocurrencies for your portfolio.
Although you can add or remove separate coins from your cart according to your strategy, you probably won’t be able to do this on a daily basis.
So you have to choose coins that have strong technology to support them.
2- Examine the seller carefully
Check the website and look for red flags
How powerful is the team behind the coin? A strong technical team is more likely than a weak one to have a strong code.
Check out the existing user community on Reddit, Telegram, Instagram, GitHub and 4Chan. How do they feel about the coin and its future potential?
3- Check the trading volume
You can check the trading volume of a coin in CoinMarketCap. The volume of trade tells you how much has been traded in the last 24 hours and provides a lot of clues about demand and future direction.
Some smaller coins, such as MonaCoin, sometimes have larger trading volumes than larger coins such as Neo and Dash.
You don’t want to buy a coin that no one wants to buy when they need to sell it.
- Learn your chart patterns
If you start with a $ 1,000 investment, trade every day, and consistently earn a 1 percent PER DAY profit, your investment will be $ 37,783 at the end of the first year and $ 427,587 by the end of the second year!
In fact, if you master the right patterns and markers, you will have a significant one percent increase every hour.
- Consider past trends
Always check the historical trends and specialized reviews of altcoin before buying. This is especially important for coins that do not have a tracking number or useful information that is difficult to obtain.
6- Determine the exit price
Many traders spend hours adjusting their logging strategies carefully, but in the end they ruin everything by dismissing them.
Others lack any effective exit plan and are eventually shaken by a terrible price.
All cryptocurrencies have a market cap and a limited coin supply. A certain percentage of which has already been extracted. Use them to launch a realistic output.
- Learn how to manage risk
Consider your personal risk profile when setting up your trading strategies, entry and exit points.
Never trade more than you can afford.
Learn when to trade and when not to.
With the right solutions, you can do just a few hours a day and still trade well in bitcoin and other currencies.
You just have to be more discriminating with the help you render toward other people.
Have realistic expectations above, pay attention to the basics, and remember to pay your taxes only if the IRS decides one day to look back on its past business activities!