Discover Cryptocurrency Trading: A Beginner’s Guide to Mastering Crypto

With the rise of digital currencies, there is an increasing interest in cryptocurrency trading. However, the process of buying and selling cryptocurrencies can seem overwhelming, especially for beginners. In this article, we’ll guide you through the basics of trading cryptocurrency, including how to start, where to buy/sell, and strategies to help you make informed decisions.

-Understand the basics of cryptocurrency trading
-Learn how to choose a reliable cryptocurrency exchange
-Follow best practices for risk management and investment strategies

Hey guys in this video i’m going to be trading ethereum this one is going to go through some intermediate level stuff so i’m going to tell you how to actually read a trading screen how to read a chart just going to go through some very simple technical analysis techniques

That you might want to use and then how to actually go through and place a market order and a limit order on a trading system i’ll be using binance for this tutorial not to say that binance is better or worse than others but it’s going to be the same no matter

What pro service you use you’ll get a chart and some trading options as well i will link binance in the description if you want to click on there go through sign up for an account and follow along with me if you’re looking for a beginner’s method on how to buy

Ethereum i have videos on that as well so you can check those out in the description along with all the other information that you need to know in the description as well let’s come through to the trading screen for binance so you can click that link in the description

You’ll come through to this home page then what you need to do after you sign up for an account is come up to this trade screen this is the intermediate or advanced way of doing it we can come down to advanced i wouldn’t click on classic that’s just

An old version of the system so we can go through to advanced here and then we come into the trading screen and if you’re not using binance if you’re using something like coinbase pro then you’re going to have a similar layout so they’re not exactly the same but the layout will be similar

Overall but the first thing we’re going to do is just look at the chart and how to read it so on binance you have a few different options for the chart you can have original and that takes away all of the technical analysis drawings for you

Or you can have training views so i want to look at training view first the first thing you might want to do with the chart is get the time scale correct so we’re on a four hour right now but you can choose maybe one day

You can go over to one week now this will be the time scale of each of these candles so we’ve got this graph on a candlestick craft right now so each candle represents a period of time so let’s just change it to one day so each candlestick

Is one day of trading if it’s red that means that day was down and if it’s green that means that that day’s price movement was up so essentially the bottom of the candlestick will be the lowest price traded and then up at the top it will finish this was an update

So we’ll definitely have an art movement here it will be in green and that is where the day finished so the colored in bit is where the they started and finished in terms of trades you can see there’s some small lines that’s an intraday price movement so actually

During this day the price moved way up but then it finished a little bit below that so the colored in or the thick part of the graph is where the day started and finished in terms of the price next we want to go ahead and actually

Choose a currency pair so when you trade cryptocurrencies or any currencies you trade in a pair so i’ve got bitcoin against the us dollar tether the us dollar tether is a cryptocurrency that is tethered or linked to the us dollars so for every one us dollar

There is one us dollar tether and this just gives you a very easy way to essentially trade cryptocurrencies against the us dollar so everything will be against that you can see when you choose fiat you’re actually uh trading against the us dollar tether you can go into your account change some

U.s dollars and deposit u.s dollars into us dollar tether but i can actually change ethereum because that’s the one we’re doing so we come down to eth against usdt which is a theorem against the us dollar tether and this will be the price chart for us

If you want to go ahead and trade bitcoin against ethereum you can do that as well so you come up to here and you’ve actually got bitcoin as one of the main assets right here so you choose btc and then you search for eth which is

Ethereum and you can see it right here so i’m just going to cancel that eth right here et eth against btc so now we are trading ethereum against bitcoins if you have some bitcoin on account and you want to trade them into ethereum this is how you would do it the system

Now knows that you are actually uh selling bitcoin and trying to buy ethereum but let’s just go back and we will trade ethereum against the us dollar tether so fiat and then eth and then we’ll choose ethereum against usdt now we will be buying ethereum and selling us dollar tether

The way that you trade currency pairs is that you sell one to buy another you of course can’t use the same cryptocurrency to sell and buy because it’s exactly the same thing but when you buy one currency and sell another what you’re essentially saying is that you think the currency that

You’re buying will outperform the currency that you’re selling they may even both go up in value which is obviously good if you hold both but they’re not going to go up exactly the same and so the one that goes up more than the other is the one that you

Want to be in because you will in a on a net basis have a better return so that is why people trade currency pairs and often sell one currency that they think won’t perform as well as the currency that they’re selling to buy the other one next we’ll have a

Look at the order book right here so we are actually trading the spot market right now and that is the market that you should trade when you go into cross 3x and 10x this is margin based trading it is essentially borrowing money from binance if you have maybe a thousand dollars on

Account you can actually get some credit from binance to go and trade bigger trades i would not recommend you doing that at all cryptocurrencies are definitely risky enough already so we’re going to trade the spot market right here and this is the order book so this is essentially a book of all the

Traders that have trades in the system right now these in green right here are buyers or bidders so they have their orders in the market and they are trying to buy stock at a certain price and you can see it floating around here but generally the price is uh 1 288 point

And then something and it’s going to float around and all of these up here are sellers or they’re on the offer as we’d say in the uk or they are on the ask as you’d say in the states and these are obviously higher than the bidders so these are all people trying

To buy a stock cheaper than the market price and these are people trying to sell stock more expensive than the market price and when a bidder and someone offering stock actually match up that is when a trade occurs and that is the price in the middle right here so

If you want to go and put an order in the system you don’t have to use this price you can come in at a lower price and then hope that the market actually moves down there and if it does come to your price then you will be filled

If you’re a buyer and you will buy stock at that certain price we’ll get on to placing an order in a second though we’re gonna come through to the chart and i’m just gonna explain a few different very simple uh technical analysis techniques that you can use on the chart

First thing i want to explain is simple moving averages these simply take an average of the closing price of the cryptocurrency on a given period of days and on this one already so if you come into binance you will actually get these so i have a 10 day a 25 day

And a 99 day moving average so obviously the shorter the average the closer it will follow the actual closing price of the cryptocurrency the longer the average it’ll obviously be smoothed out a lot so we can see actually in yellow we have the 10-day in purple right here we have the 25-day

And then in red we have the 99 day now simple moving averages don’t really tell you a lot but they just give you a smooth outline of the charts movements and people use these as a very rough basis of lines of support and resistance so when the price actually moves

If you’re in a downtrend then you will look for certain moving averages for maybe the price to come to and then maybe bounce off and if it bounces off that’s a good sign and if it breaks through those moving averages then people would assume maybe it’s going to

Actually go lower and start a downtrend you can come in and change these so i’m just going to click on this one the format button on the 10 day moving average you can change the length of the moving average so it will calculate this for you

Change that to anything you want you can change it to a 30 day i’m happy with 10 day though and then you can change the style so you can change the thickness of the graph and also the color of it as well so you can do that there and then you can get

Rid of them as well just by pressing x and then on binance anyway you can very easily add them in coming up to the technical indicator box and then just putting in moving average and it should have them for you and then you can add them

And change them just like you saw me do right now next we’ll come to fibonacci and this is a way that you can plot lines of support and resistance on the chart and it’s a mathematical equation that essentially gives you lines and areas that you would expect the chart

To meet resistance and support given the price movements fibonacci plots these price movements based on a low price and a high price in a given trend and the time scale that you use here is really up to you but you should notice you you really are at the start of the trend

And then obviously the current price and it should give you some very rough guides as to how prices usually move now it can’t predict what’s going to happen so people just use this as a guide but we’ll come over to the fibonacci so we’ll click on this twice

Come down to fit retracement right here we’re going to click on this one then i’m going to go and click on the high of this current price movement right here and i’m just going to plot the end or the start of it right here so i think that was

Really the start of the move so plot that like that and we can see all of these different colored lines these are the different areas of retracements and support and each of these lines comes in at different percentages away from the high and the low it looks like ethereum for now anyway

Has had an absolutely massive run up but it is meeting some resistance and some selling pressure right now so we can look at these fibonacci retracement levels to see what are some levels that the stock may find support at or if they do break through then it

Could mean that the stock is going lower or the crypto is going lower so we can see this blue line right here is a level that we should look at as a level of support and really look at this level and say what is going to happen if the cryptocurrency moves lower

Through that level that could be a bad sign that it’s going to move lower further and some people would say that if it does bounce off this line that is actually a positive sign and is con continuing the uptrend it would bounce off that support and then move higher further still

Nothing can predict the future of course these are just technical analysis fundamental is needed as well but these just may give you some levels that you may want to put some orders in at so let’s get into actually placing some orders the first type of order is a market

Order so let’s come over here and just choose market now with a market order you do not choose the price that you trade at you only choose the amount of the cryptocurrency that you want to buy so you can come right here and see the price it just

Says market you have absolutely no control of the price so you’re not putting an order in the system you’re literally saying to binance hey i want to buy this many ethereum and just go out and do it for me and you don’t choose that at all so you can come

And say well i want uh two ethereum like this that’s absolutely fine you can go ahead and do that you press buy and that will pretty much happen instantly finance will go ahead and just lift all of the offers on the book for you this is very easy and it’s very quick

We’ll come down to total as well this is good so you can actually choose the total amount that you want to spend so rather than the amount which is i want to buy you know 0.05 or something ethereum you can say i actually want to spend

Because this is in us dollar tether you know how much you’re spending i want to spend 500 usd and then it will go through and essentially buy that much worth of ethereum but you don’t know the price you can also come down and use this slider bar so if you have

Maybe a thousand dollars on account or a thousand usdt on account you can go ahead and buy 50 of what you hold and then that will go ahead and buy it for you this is a really quick way of buying it’s very simple and it gets the job done but you have

Absolutely no control of the price and usually with the market order if you’re buying quite a lot you’ll probably just lift a lot of offers start paying up and get a bad deal and a bad price it’s good in some occasions but really what most people do is a

Limit order with a limit order you choose everything you choose the amount that you want to buy and the price of the asset so you can choose how much you want to pay so you can see on this occasion it actually gives us a amount that we can pay so right now the

Market is 1224. i can say that i want to pay 1200 like this now this is let’s just put a 50 in there uh this is actually below the current market price so the current market price is 12 18 and you want to pay 1200 so you’re not going to actually go

Through and trade right now but you can put your order in and binance can have that order in for you and if the market price does come down you will trade at that price so you can put the amount in i want to buy one ethereum

And you can see what happens here is it just uses the amount of ethereum that you want to buy times is it by the price and that is your total amount if i doubled the ethereum the total usdt that i would need would also double

Put two in there goes up to 24. so that is really a simple way of how to do it you can choose the exact price you want to pay the amount of ethereum that you want to buy and it will tell you how much you need to actually go ahead with that

Trade now what will happen if you put this trade on to your account it can’t trade right now i’m going to change this down to 1100 because the price is moving down so what will happen is that binance will work that order for you and right down here you can see

Open orders that will be in here that is an order that binance is working for you but isn’t traded right now if the price moves down and we can buy those then that will be bought for us right away finance will do that and it will come straight into

Our order history and we can see that trade and we will actually have that stock so with a limit order you may not buy straight away but you do have control of the price and if the market does move down to your level you will buy at the level that you chose

Once you’ve gone through and actually traded you will have all your order history down here but if you are using binance you can come up to your wallet go to overview and that will be placed right in there for you you can go and see it you can

See it as part of your portfolio as well if you’re using a different system like coinbase pro there will be options as well that will just go straight into your trading wallet as well that’s really the basics of trading ethereum against other cryptos and inputting market and limit orders

If it was useful please subscribe for way more crypto content and news and i’ll see in the next one

How to Trade Cryptocurrency for Beginners – Learn Crypto Trading is a comprehensive guide for those who are new to the world of digital currency trading. The article covers all aspects of trading cryptocurrencies, including how to choose a trustworthy exchange, how to read charts, and how to manage risk. The three most important conclusions of the article are that it is important to do thorough research before trading, to start small and build up experience and expertise over time, and to always have a clear strategy in place for entering and exiting trades. By following these guidelines, beginners can gain the knowledge and confidence they need to trade digital currencies successfully.

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