Cryptocurrency Trading Guide to how to trade crypto
Cryptocurrency trading involves buying and selling digital coins in a bid to generate a short-term profit. It differs from cryptocurrency investment, which simply entails buying cryptocurrency and holding it for a long period of time.
Zeply is the perfect site for crypto trading, as you can buy cryptocurrency, store it safely and then sell it in one place. The crypto market is highly volatile, and Zeply customers seek to make gains by capitalising upon that volatility. This guide explains how to trade cryptocurrency at Zeply and why it has become such a popular pursuit.
What is Cryptocurrency?
Cryptocurrency is a digital asset that acts as a medium of exchange online. Bitcoin was the very first cryptocurrency, launched back in 2009, but there are now thousands to choose from. Many have a very short lifespan, so Zeply will only list established cryptocurrencies that have proved their worth to our customers.
Cryptocurrency is secured by cryptography, which makes it nearly impossible to counterfeit or double-spend. Most cryptocurrencies are decentralised, which means they can be sent peer-to-peer without a central bank getting involved. This generally allows them to facilitate quick, secure and cost-effective transactions. Cryptocurrency operates on blockchain technology, which is a distributed ledger enforced by a disparate network of computers.
Zeply provides you with a safe, secure means of Bitcoin trading. We also provide a range of articles and educational tools to help you broaden your understanding of how does cryptocurrency work and the technology that underpins this exciting sector.
What is Cryptocurrency Trading?
Zeply customers often buy a cryptocurrency such as Bitcoin with the intention of holding onto it for a considerable period of time. They can be considered cryptocurrency investors. They understand that there will be volatility, but they believe that the price will ultimately rise. Many cryptocurrencies have become attractive assets in recent years due to their finite supply and their potential to hold value, so demand for Zeply’s services has spiked among a range of demographics.
Many Zeply customers invest in cryptocurrency for the long-term because they believe in the ideology, the technology and the development community behind these coins. They also hope to gain a profit by eventually selling some of their crypto at significantly higher price further down the line, and they know that Zeplu will keep it safe for them in the meantime. Investors HODL Bitcoin and other cryptocurrencies such as Ether. HODL was initially a typo on a Bitcoin forum, when somebody intended to write “hold”, but it has also come to mean “holding on for dear life” during sharp fluctuations in the value of Bitcoin and other cryptocurrencies.
Cryptocurrency trading is different, because it seeks to profit from those sharp fluctuations in the short-term. People using Zeply to trade cryptocurrency do not necessarily have to believe in the ideology, the technology and the overarching community behind the coin, although many do. The main aim of the game is to anticipate where the price of a cryptocurrency is heading and seize a short-term profit by buying low and selling high.
It is a tantalising prospect. However, it can be difficult to find a trustworthy, reputable site that allows you to buy crypto at attractive rates, store it in a secure fashion and then sell it at a later date. That is where Zeply comes in. You can use our site to buy crypto without incurring a fee. You can then benefit from our robust security measures as you wait to sell, and then exchange your crypto back to GBP or another fiat currency when you so desire.
Types of Cryptocurrency Trading
It is important to distinguish between the different forms that cryptocurrency can take. Medium-term swing trading is the most popular approach, but it helps to have a thorough understanding of the alternative methods.
Some diehard cryptocurrency trading enthusiasts take part in day trading. This can be extremely time-consuming, as it requires you to spend the day staring at computer screens and checking price charts. These cryptocurrency traders generally close their positions on the day of the trade.
There is an even shorter form of cryptocurrency trading known as scalping. It is the process of attempting to make substantial profits from small movements in the price of a particular cryptocurrency,
Scalping can also be used on stocks and any other instrument, but it works best on volatile assets like crypto. Author Nassim Nicholas Taleb, a former options trader and mathematical visionary whose work concerns problems of randomness, probability, and uncertainty, famously referred to it as “picking up pennies in front of a steamroller”.
Very few people have the time, energy and inclination to sit in front of a screen all day, staring at graphs and trying to predict which will move in an extremely short space of time. That is why most people prefer to take part in swing trading, or position trading, and Zeply is your ideal partner for such an approach.
This form of cryptocurrency trading seeks to take advantage of the natural price cycles of Bitcoin and other cryptocurrencies. Some people will “short” a cryptocurrency, which is essentially a bet on its price going down, but most people simply try to buy cryptocurrency and then sell it at a higher price further down the line. You can complete this process quickly, easily and efficiently at Zeply. We have broad experience in this space, and we know how to make life simple for busy cryptocurrency trading enthusiasts.
Your goal is to identify the beginning of a particular price movement and buy that particular cryptocurrency. The idea is to then hold on until the movement comes to a natural conclusion, sell at a higher price and take a profit.
There are lots of indications that suggest a price movement might be taking place. It could be increased media attention, institutional investors piling in, levels of FOMO (fear of missing out) ramping up, bear traps being cleared and so on. Successful crypto trading requires you to spot when the price might rise, and to identify when a top has been reached, allowing you to sell for a profit. You can enjoy regular news updates at Zeply, which helps you stay on top of developments in this space and plan when to buy and sell crypto.
Swing trading requires you to arm yourself with information about what might cause the price of a cryptocurrency to shift in the medium-term, but it is about understanding the big picture, and it does not really involve obsessing over charts all day, so it is often more popular among people that do not want to dedicate the majority of their time to trading cryptocurrency. Swing traders can hold onto a cryptocurrency for weeks or even months until they reach the desired level of profit.
How to Trade Cryptocurrency - Using Zeply
There are specific sites that allow you to go long or short on Bitcoin and other cryptocurrencies on a very short-term basis. You can place an instant market order, a limit order or a stop-loss order. However, if you do not want to spend all day looking at price charts, you can simply buy a cryptocurrency, hold it in your crypto wallet and then hopefully sell it when you feel happy with the level of profit you have achieved.
- Visit the homepage at Zeply.com and click on the blue “Sign Up” button at the top of the screen.
- When the KYC process is complete, go to your dashboard and click “BUY”.
- A window in the middle of the screen will tell you the live exchange rate. Click “Buy BTC”.
- A new window will confirm the transaction details and you can click “Proceed” to go ahead with the purchase.
- Enter your payment details and click “Pay now”.
- A message will inform you that the transaction was successful. There are no fees and the transactions are secure and instant. Zeply’s technology turns the process of Bitcoin transactions into a smooth and hassle-free experience that’s new to the market.
- The Bitcoin you have purchased will be added to your Zeply account wallet. You can now send, receive, exchange and store BTC with 24/7 customer support.
What Determines the Price of Cryptocurrency?
When you log into your Zeply account, you will be presented with clear information about the current price of various cryptocurrencies. The value of a particular cryptocurrency can fluctuate significantly on a day-by-day basis, and you may wonder why that is.
The price of a cryptocurrency refers to the price of the last trade conducted on a crypto exchange, such as Zeply. It is ultimately determined by supply and demand. The price will increase when demand rises, creating cryptocurrency trading opportunities. When demand falls, the price will decrease, and timing it right is key to anyone that hopes to effectively trade cryptocurrency. We offer up-to-the-minute pricing, and our cryptocurrency transaction fees are non-existent, so you will maximise any potential profits at Zeply.
It is impossible to predict the exact price movement of Bitcoin or an altcoin. However, cryptocurrency trading experts work hard to identify patterns, and they apply rigorous methodology to their approach. The volatility of cryptocurrencies is what makes them such an attractive proposition for traders, and you can potentially make strong gains, but you have to conduct thorough research and time your trades correctly.
Fundamental analysis and technical analysis are the main methods for determining whether the price of a cryptocurrency listed at Zeply will go up or down. This is true of equities, commodities and other assets too.
Fundamental Analysis and Technical Analysis
Fundamental analysis explores the big picture for a particular cryptocurrency. That includes regulatory news, technical developments, adoption rates, media coverage, general buzz around a coin, the level of competition it faces and any other news or issues that could be relevant.
You will never miss a beat with Zeply. From guides on cryptocurrency trading for beginners to timely features, you can explore articles that help you stay ahead of the curve within this new era of finance. For example, if you live in the UK, you can check our guide on Bitcoin trading UK.
There are some important crypto news to look out for. One example of that can be seen in the movement of the prices, which you can validate by looking into the cryptocurrency charts. Cryptocurrencies like Bitcoin have historically increased in price after the reward obtained through crypto mining halved, a process called cryptocurrency halving. Still, now it is more common than ever to see changes in the prices after institutional investors bought into the space or after famous people like Elon Musk endorsed crypto.
You must ultimately evaluate a coin’s value as a technology and how strong future demand is likely to be in order to determine what will happen to it, and Zeply helps you figure that out.
Technical analysis involves the use of statistics in an effort to predict the price of Bitcoin or another cryptocurrency. Trading volumes and historical price movements are used to conduct technical analysis for cryptocurrency trading purposes.
Technical analysts seek to find patterns and trends in past movements that will give an indication as to how it will develop in future. Some cryptocurrency trading veterans are firmly focused on technical analysis, while others are staunchly fixated on a fundamental analysis of the situation, and some opt for a mix of both methodologies in a bid to gain the best results.
Tips for Cryptocurrency Trading
Cryptocurrency trading at Zeply can be exciting, engrossing and rewarding, but you have to understand the risks. There are no guarantees of a profit, and you could incur a loss if you time your trades incorrectly. We want you to succeed and enjoy cryptocurrency trading, so we have put together some general tips to bear in mind when you trade cryptocurrency:
Never risk more money than you can afford to lose
Even if you can conveniently buy crypto with credit card, like with Zeply, or are looking for a way to buy crypto with PayPal, work out the amount you feel comfortable with before taking the plunge into cryptocurrency trading.
Some people find that it helps to set a goal
Determine a level of profit that you would be happy with and consider concluding the trade at that point. A clear action plan helps you understand when to exit a trade.
Remember that Bitcoin and other cryptocurrencies are volatile, and they rarely increase in a steady fashion.
The price will ebb and flow, and some cryptocurrency trading novices give in to fear after short-term price moves. This can ultimately prove costly, so it can help to rise above fear and greed and keep a level head. Sudden dips in the price are often quickly corrected, and it is better to sell before a dip rather than during it. Embrace the volatility and learn how to benefit from it.
Make sure you put in the necessary time, effort and capital to give yourself the best possible chance of success.
If you make a mistake, learn from it and you will emerge wiser and more likely to succeed in future.
Make sure you use a secure, reputable site like Zeply.
There are a number of scam sites in the crypto sector, so you must always remain vigilant. That’s why we make a great effort to give a clear and positive answer to the question: “Is Zeply safe?”.
Gain a thorough understanding of blockchain technology and the cryptocurrency sector
Read crypto news regularly, as this can have a significant impact on the price.
Cryptocurrency trading using Zeply
Cryptocurrency trading can be exciting, stimulating and fascinating, but it is not something that you should rush into. Take time to understand cryptocurrencies, try to understand what might cause the price to increase or decrease in future and set yourself a clear action plan. You can then conduct every step of the process at Zeply, as we offer instant, free, secure transactions, we offer secure storage and you can use our exchange to sell your crypto at any time.
If you want to use the best crypto app, look no further: Zeply is the answer.
Cryptocurrency Trading FAQ
Cryptocurrency trading is the act of seeking to make a short-term profit. The idea is to buy Bitcoin or an altcoin and then sell it at a higher price in the future, or to successfully short it by predicting a price fall. You can buy cryptocurrency at an exchange like Zeply and then sell it when you are ready.
Many people have found crypto trading to be highly profitable in the past, which explains its popularity. However, there are no guarantees of profit, it can be a risky pursuit and you
can incur losses, so it is important to conduct thorough research before you start cryptocurrency trading and stick to a clear plan of action.
You can earn a profit through cryptocurrency trading if you buy Bitcoin or an altcoin at the right time, hold onto it until it appreciates in value and then sell for a profit further down the line. The size of the profit will clearly depend on the amount you buy in the first place, and the difference between the price you bought it for and the price you sell it at.
It is perfectly legal to buy cryptocurrency, hold onto it and then sell it in future, by which point it has hopefully appreciated in value. However, it is important that you stick to secure, reputable sites like Zeply and take measures to keep your funds safe.
Many people have quit their jobs in order to dedicate themselves to full-time cryptocurrency trading. Bitcoin and other cryptocurrencies have been highly volatile in the past, and that is really helpful for skilled traders. There are no guarantees of a profit, but some people make a good living trading crypto if they arm themselves with a thorough understanding of the sector and perform effective fundamental and technical analysis.