Finance

Crypto Trading With The Elton John Bitcoin Trader System

Thinking of getting into trading cryptos? Not sure where to start? We’ve put together a few tips to help you get started. Alternatively, you could just make life a lot simpler for yourself! How? Consider starting out with a super smart trading platform that’s been developed as part of the Elton John bitcoin revolution. If you want to go it alone, here are our tips to help you get started in crypto currency trading.

Get yourself a crypto wallet.

One of the first things you’re going to need is a personal crypto wallet. Your crypto wallet is where you’ll store your cryptocurrency, although you won’t be storing any actual cryptos there. Rather, crypto wallets store the encrypted passwords that ‘represent’ coins because obviously cryptocurrencies are not actually cold, hard cash like fiat money is. In other words, there aren’t crypto ‘greenbacks’ or physical crypto coins. However, treat your crypto wallet like your bank account and keep it secure. Off line personal wallets are always safer because you can disconnect them from the Internet to prevent them being ‘broken into’.

Choose your crypto exchange (wisely). 

This is where you’ll be trading cryptos. Crypto exchanges function in a similar way to any other stock exchange in so far as they allow crypto owners to buy and sell cryptocurrencies, or exchange them for fiat money ie US dollars. They are not however part of the regular stock market system.

Things to take into consideration when selecting a crypto exchange include:

  • Their platform fees – crypto currency trading platforms typically charge users either a percentage of each deal, or per income / outcome transaction. These fees can vary greatly so choose wisely, and choose whichever suits you the best.
  • Their security – hackers are everywhere in the crypto space so you’ll need to ensure the platforms you use have a good security record, and strong security measures in place to minimize the risks.

It’s also a good idea not to keep all your ‘money’ in your wallet on the exchange because if that gets hacked you could lose it all. Get into the habit of moving what you’re not using for trading into your own personal wallet, and if that’s an offline wallet, so much the better.

Be sure to have a diverse portfolio. 

It’s the same as regular investing in property and shares. In order to lower your risks, distribute your funds across different cryptos. Some will lose value, some will increase in value so by spreading your investments, you’re not putting all your eggs into one basket and can balance out the losses. 

By the same token, there are also hundreds of cryptos and more coming onto the market every day so do your research. It’s better to start out trading with a few and then build out your portfolio slowly as you learn more about trading. 

Research is important.

Be prepared, and willing, to spend some time tracking coins, and doing your research. The most successful traders do this on a daily basis – they keep their eye on the latest news sites, key market indicators, and currency rankings. They stay in touch with the various discussion groups and threads. Most importantly, they don’t make the mistake of getting sucked into FOMO trades (Fear Of Missing Out).

Buy fractions of coins, and keep it balanced.

When considering which coins to invest in, factor in their likelihood of increasing and retaining value. Also remember that you can trade in fractions of coins; not everyone has the money up front to purchase a full bitcoin for example! This is a good way to start out in fact. By buying fractions of them, you can get involved in trading them without having to make a huge financial commitment up front. You can also buy more fractions as you go to grow your portfolio.

Be aware of local regulations.

Governments and financial regulators are slowly catching up with cryptos so always check your local laws and know exactly where you stand before getting involved in crypto trading. Most countries that permit crypto trading now have regulations in place around taxation obligations in particular as it relates in income made from cryptos. 

Never spend money you can’t afford to lose, and never invest your last dollars.

Cryptos are volatile, and unregulated. You literally have no comeback if your exchange is hacked and your coins stolen, someone cheats you in a deal, or you somehow ‘lose’ a coin.

Consider starting with a purpose-built trading platform that comes with a smart trading algorithm. 

These days there are purpose-built trading platforms like the Elton John bitcoin trader system that are designed to help newbies to trading get started successfully. These platforms take most of the guesswork out of trading as the algorithm ‘learns’ on the go and makes increasingly smarter trading decisions for you. At the end of the day, that could mean more successful trading for you.