Cryptocurrency Trade for Beginners

Crypto trading is the way to earn online that has two sides: on the one hand, there are many cases of success in this field, but on the other hand, many people get disappointed in trading when losing all their money from the first try. In this article, we will try to help beginners avoid the main mistakes in crypto trading.

How to Start Cryptocurrency Trading?

First, you need to purchase crypto assets. The easiest way is to use a cryptocurrency converter. There are many of them on the Internet, but you should not pick a random service. Consider using only large and reputable platforms, for example, WhiteBIT or Binance services. To buy crypto using the WhiteBIT converter:

• move funds to the trading balance;
• enter the calculator;
• select which asset you want to give and which – to receive;
• see the relevant price;
• pay the commission.

The crypto calculator conducts instant operations, so you will receive the needed coins in a few minutes. Next, you may use your crypto for trading or a long-term investment. 

Trading implies buying and selling coins with the goal to generate income from price fluctuations. Trading can be:

• Scalping – short trades that last up to 15 minutes.
• Intraday trading – deals are closed within 24 hours.
• Swing – it takes a couple of weeks.
• Position – buying coins for several months.

It is crucial to learn how to trade cryptocurrency before stating real actions. For that purpose, use the WhiteBIT demo account. There you will be offered demo tokens for practicing different trading strategies and improving your skills. 

Mistakes to avoid for beginners:

• Investing all your funds in crypto
• Using little-known and not official services for trading
• Investing only in one asset
• Taking big leverage ratio
• Borrowing funds
• Buying coins on hype.

To learn more about crypto trading and find helpful manuals, you are welcome to the WhiteBIT blog.

Where to Buy Crypto: Crypto Exchange

A cryptocurrency exchange is a service where you can buy and sell digital assets. There are two main types of cryptocurrency exchanges: centralized (CEX) and decentralized (DEX).

CEX operates similarly to a traditional bank, with staff managing the platform and monitoring suspicious activities. CEX platforms require registration and compliance with regulatory requirements, ensuring the protection of user data and funds. CEX exchanges offer a vast selection of trading tools and cryptocurrency pairs, including advanced instruments such as margin and futures trading. These platforms, such as Binance, Coinbase, and WhiteBIT, have significant liquidity and are an ideal place to start investing for beginners. CEX exchanges allow users to attach their bank cards, making it easy to purchase digital assets with fiat currencies and withdraw crypto to their bank accounts.

In contrast, DEX platforms are decentralized, and there is no guarantee of safety or control. Funds are transferred directly between users’ wallets, and the exchange does not store them. DEX platforms usually have a limited range of trading tools and support fewer trading pairs than centralized platforms. While these exchanges, such as Uniswap and PancakeSwap, are popular for small trade amounts, they do not require registration or verification.