Cryptocurrency is defined as a decentralised market where traders can send and receive money without the involvement of any intermediary
A lot of crypto traders have gone bankrupt in an attempt to make money.
It’s hurt when you carry your hard-earned money in expectation of making a profit but you rather lose woefully.
So many Crypto Traders have gone depressed while some have committed suicide as they lost almost what they have earned for many years in just a few hours of trading.
In order to avoid being wrecked in crypto trading, avoid doing these
Pump & Dump Coins
Do you know what Pump and Dump coins are?
In elaboration, Pump & Dump coins are coins that are mostly created for no future purpose.
They mostly grow immediately after they’re being announced with incomparable percentages and fall to their bearest minimum in a very short period of time.
Pump & Dump coins are mostly the newly introduced coins. Though some experts are good at cashing out from those coins before they crash but if you’re still new in the game, it’s advisable to avoid them.
Margin Trading
Relating this to real-life business, we can just say it’s like a businessman forecasting that a product will be expensive in the future and borrowing money to add to his capital so as to buy many of the products before the price goes up.
If the price prediction of the product happens to devalue, automatically the investor is losing. Investors might lose all their capital if the price falls short to some certain points.
Future Trading
You already know what the word ‘future’ means. So basically, it just likes predicting the future of the Crypto market.
You’re to predict what the market will be in the future, and it comes with leverage. The leverage is how you want your stake to multiply when favouring or be divided when opposing your prediction.
You can lose a million dollars in just ten minutes with future trading and you can as well make it big time in the blink of an eye.
Future Trading is the most dangerous feature in the world of Cryptocurrency.
Options Trading
Options trading is a high-risk gamble which can wreck you in no time.
Just like a football virtual bet, you are expected to lose on a gradual process. Options Trading give you the chance of predicting the price of the market at the nearest time.
If you predict that the price will rise in the next 5 minutes and it goes down, you have lost your stake at the end of the time.