Everything is considered in the price. However, the cost of Bitcoin is more influenced by demand and excitement around this cryptocurrency. Therefore, you should not fully rely on this factor.
The market is prone to trends. This rule is equivalent for both Forex assets and cryptocurrencies. Price moves in waves: impulse-correction-impulse.
History repeats itself. Bitcoin is a very dynamic cryptocurrency. Therefore, repetitions in the history of her quotes have not yet been observed.
However, there are slight differences that should be considered. Knowing this, you can trade both fiat and cryptocurrency assets.
Fundamental analysis for cryptocurrencies
Fundamental analysis as applied to Forex assets cannot be applied. However, for trading, you need to carefully monitor news related to the world of digital money. For example, the assistance of the authorities of a country in the development of the cryptocurrency market will lead to an increase in demand for electronic assets. Information about hacking the exchange on which digital currencies are traded will cause a backlash.
What to use for trade?
The MT4 terminal has several dozen indicators in its functionality that will allow you to visually monitor trends in Forex assets and cryptocurrencies. These tools work based on the history of quotes.
Trading requires mindfulness, an analytical mind, and an understanding of how markets work. To succeed, you need to use indicators for trading Bitcoin. They will automate trading, and make it more profitable.
Trading bots and advisers
There is software for trading that will optimize it. We are talking about special robots and advisers. For example, if you use a standard strategy, then the main actions can be transferred to the program.
Beginners often trust other people’s developments. While a beginner exchange speculator understands the principles of the Forex and cryptocurrency markets, a special bot performs trading for him.
Having gained the necessary experience, advisors and robots will become unnecessary for you. You will be able to independently analyze the situation regarding Bitcoin, USD and other assets. Functionality MT4 fully provides such opportunities.
How to trade: trend and correction
Bitcoins are a financial asset with a high volatility indicator. This imposes some restrictions on trading on this instrument. At the same time, traders have everything they need to trade such aggressive assets. Basically, cryptocurrencies are trending. However, some traders prefer to earn on short trades (SELL).
The weed profit system is one of the best platforms to perform any kind of the bitcoin trade and transaction.After rapid growth there is always a pullback. This is a great way to earn extra profit.
Independently determine strong levels of support and resistance, and monitor the behavior of the cryptocurrency market
What to use, you decide. The main thing is that your chosen strategy brings the result in the form of a stable profit. Some users use an excessive number of different indicators, which only confuse them. We recommend choosing a small set of tools to determine the current situation on the Forex and cryptocurrency markets.
He needs minimal knowledge and skills. A cryptocurrency exchange initially seems like something overly complex. However, in order to consistently earn money, making transactions on the trend, you do not need to use any “abstruse” strategies. One of the important, but simple tricks is to determine the level of support and resistance.
Its principle of action is as follows:
You can open positions manually or through trading orders. The second option will automate trading. Place orders for closing deals 10-20 points above / below the opening price. For Bitcoin, you can take a wider range, since it is a much more volatile asset than fiat currencies.
It is used in many countries of the world. What is the reason for such a great demand for this electronic currency?
Bitcoin has ceased to be the property of a small circle of enthusiasts. It is rather strange that cryptocurrency has become so in demand, despite the fact that it is a difficult technology. Many investors today buy bitcoins, but still do not understand how it functions. The increasing interest in bitcoin is determined by the growth of its price. But the proposal is not growing. In this regard, prices increase regardless of the situation on the market.