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Cryptocurrency

How to become a successful Bitcoin trader

Major steps that are needed if you want to become a successful BTC trader.

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BTC Whales, Bitcoin is scarce, entities, individuals hold for long term, How Cryptocurrency-Based Companies Like Patricia are Shaping the Digital Currency Market in Nigeria, How Bitcoin Comes in Handy in Moments of Uncertainty, Long-time investors of Bitcoin are hoarding

A BTC trader is simply an individual who seeks gains from differential changes in the market price of BTCs. The main objective the BTC trader has in mind is buying prices alow and selling when the flagship currency gains higher. BTC trading can thus be very lucrative and has become one of the fastest-growing careers in the financial spectrum. 

Data obtained from a leading BTC analytic firm, Coinmarketcap showed that the market capitalization of BTC currently stands at over $170 billion. This further illustrates that in 2013 BTC moved from $13.30 to its present-day value of over $9000, meaning that early bird BTC traders had gained over 67,600% since it began. 

Consequently, this article will show major steps that are needed if you want to become a successful BTC trader. 

READ: Big mistake: Ripple’s CTO sold his Bitcoin for $750

Explore Research Data From Nairametrics by Visiting Nairalytics

Self-Control & Discipline  

Adebayo Juwon, an FTX consultant for Africa, spoke to Nairametrics in an exclusive interview, explaining in detail the need for a BTC trader to be very disciplined and have a security-conscious mindset. He said; 

“Firstly I must note that trading is not for everyone, to be a successful crypto trader, self-discipline is a prerequisite to achieving one’s goal. The crypto market is very much volatile than what the traditional traders are used to, hence more risk and reward. 

“A crypto trader must be security conscious; you’re responsible for your account security in the crypto ecosystem, as hackers are preying on whose account is less secured.” 

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Risk Management 

A successful BTC trader must be able to understand the relationship between reward and risk management. This entails high understanding levels about the degree of randomness in BTC market and the risk involved in taking such risk. As a successful BTC trader, you are required to understand when its best to trade BTC as market conditions change from time to time. 

READ: Biggest online food delivery company makes debut at New York Stock Exchange

Adebayo Juwon, FTX consultant for Africa also added vital points on why a BTC trader should never ignore risk management. He said; 

“Also, to be a successful crypto trader, one must have good risk management in place, in a highly volatile market your profits can be zapped away in minutes. Risk comes in different ways in the crypto market, there are lots of scam projects with the good marketing team, they tend to attract investors also, it’s very important to do your own research in the crypto space, and rely less on market sentiment.” 

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READ MORE: Tether mints 80,000,000 USDT to unknown wallets within 24 hours

Timing 

Recall that some days ago Nairametrics, revealed the best time many BTC traders prefer to take their trading positions in the BTC market, thus preferring to trade around the American trading session because of the high price swings that occur at the start of New York stock market trading time -about 2.30 pm GMT. This means there were higher chances of making more money at the start of  American trading sessions than other trading sessions (London and Asian trading session).  

READ: Nigeria Spends N60.37 billion on Fuel Subsidy in November

Basic fundamental and Technical analysis skills 

Every successful BTC trader must keep track of macro fundamentals going around the BTC community because such information more often determines the market price of Bitcoin.  Either rumours or news have exponential effects on the BTC market and often create lucrative trading opportunities. 

READ: AfDB: AAA rating by Moody’s validates the strength of the bank – Adesina

Chris Ani, a professional BTC trader in a phone chat interview explained to Nairametrics in detail, the major attribute every successful BTC trader must possess, including the need to have basic trading skills. He said; 

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 “To prevent yourself from becoming a slave to the market, you must be trading small enough size on your trades that you are not emotionally attached to them. Trading opportunities wait for no one.

READ: $414 million worth of Bitcoin moved by a large entity

“You have no idea when and where they will appear. Whenever they appear, you have to be ready with your trading plan.  You must also master technical and fundamental analysis and most importantly the one that works for me, understand the seasons and market structure so as to know when to trade, allow big wins run, or rather exit the market in order not to lose your money.” 

READ: Professional forex traders reveal their secrets to successful trading

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Finally, it’s very important to understand that no matter how good you get at BTC trading, you will often make mistakes and lose money. Always remember, trades that go bad are part of what will make you successful in the long term. Success in BTC trading simply means you are winning more relatively than losing. 

 

Olumide Adesina is a France-born Nigerian. He is a Certified Investment Trader, with more than 15 years of working expertise in Investment trading. Message Olumide on Twitter @tokunboadesina. He is a Member of the Chartered Financial Analyst Society.

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      Cryptocurrency

      Crypto market surges above $2 trillion, as Bitcoin stages a huge comeback above $60,500

      The global crypto market value at press time stood at $2.05 trillion, a 3.85% increase over the last day.

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      The flagship crypto is recording a significant buying spree as Bitcoin bounced above the $60,500 price level once again.

      The global crypto market value at press time stood at $2.05 trillion, a 3.85% increase over the last day, with Bitcoin having a market value of $1.123 trillion and a circulating supply of 18,678,481 BTCs

      Bitcoin’s price is currently $60,638.55.

      READ: Bitcoin miners are consistently earning $50 million daily

      Bitcoin’s dominance is currently 55.36%, an increase of 0.21% over the day.

      Investors are moving their funds to Bitcoin after an avalanche of COVID-19 stimulus shocked the crypto market since last year amid fears of rising fiat inflated currencies coupled with leading business brands adding more buying pressures on Bitcoin with BNY Mellon, America’s oldest bank giving its approval on the new digital gold as it makes a debut into mainstream investment assets.

      Consequently, MicroStrategy now has 91,579 BTCs worth about $5.54 billion while Tesla holds 32,608 BTCs, hinting that more global business brands may take such route to hold the most popular crypto as a treasury tool amid concerns that just 21 million BTCs will ever exist with about 4 million BTCs already lost forever.

      READ: Less than 4 million Bitcoins available for buying

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      Recent price action suggests that bitcoin bulls are holding on tight as they built strong support around the $58K area.

      READ: XRP posts a big bang, as legal tussle with SEC lingers

      That being said, crypto pundits argue that bitcoin still faces strong headwinds in the coming months amid growing regulatory concerns. There is also the bias that its high volatility is making it challenging for some traditional investors to come on board and its massive electrical consumption via the blockchain has also put it at odds with many environmentalists.

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      Billionaire Watch

      Meet the billionaire twins who bought $10m worth of Bitcoin when it still sold for $8

      The Winklevoss twins’ early investment in Bitcoin has propelled them into the billionaire league.

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      Meet The Billionaire Twins Who bought $10m Worth Of Bitcoin When It Still Sold For $8

      The digital asset economy has made many people rich. The current worth of Bitcoin, a digital asset that was trading a little above $100 in October 2013, is now near $60,000!

      While many people were smart enough to invest in Bitcoin early, not many had the guts to go all out for it. Today, we are going to look at the identical twins who were crazy enough to invest heavily in cryptocurrency. The twins started investing in Bitcoin as early as 2012.

      They are currently listed on the Forbes Billionaire List amongst the newcomers who reached a billion-dollar status due to their Bitcoin investing.

      READ: Why intelligent investors are secretly buying Bitcoin

      Meet the Winklevoss twins (worth $3 billion each) 

      Cameron and Tyler Winklevoss are currently worth $3bn each. They started investing in Bitcoin as early as 2012 when the cryptocurrency still sold for $8 and splurged a whopping $10m to purchase the crypto asset, making them one of the biggest and earliest investors in cryptocurrency.

      Their gamble paid off and today, they are worth a collective $6bn.

      READ: Brutal losses hit crypto market amid fear of regulation

      More investments in crypto 

      The Winklevoss twins are not slowing down, they are instead, making further investments in cryptocurrency. Recently, they invested in a Bitcoin lending start-up named Block-Fi which is now valued at $3bn.

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      Battle with Mark Zuckerberg 

      The Winklevoss twins are no strangers in Silicon Valley. They were Mark Zuckerberg’s classmates at Harvard and they once accused the tech billionaire of stealing their idea for Facebook.

      A bitter legal battle between the two ended in the twins receiving significant cash and Facebook stock compensation from Zuckerberg. Some of their cash compensation was invested in cryptocurrency and it has indeed, paid off.

      READ: U.S SEC Chair nominee says Bitcoin is transforming global finance

      What you should know 

      In their early days, cryptocurrencies witnessed an unstable growth path, rising and falling occasionally. This discouraged many people from investing heavily in it. The Winklevoss twins took the risk on Bitcoin and are now billionaires on Forbes list. Currently, they run their company, Gemini, a regulated cryptocurrency exchange, wallet and custodian that makes it simple and secure to buy Bitcoin, Ethereum and other cryptocurrencies.

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