Although crypto trading has been around for some time, it is still perceived as a risky venture by many individuals. In fact, some people consider it a taboo topic and associate it with gambling. However, those who have taken the time to understand the system of crypto trading and how it works, view it as no different from projecting stocks.
During this COVID-19 pandemic, it is apparent that cryptocurrency is becoming the preferred investment option due to the continuous decline of the dollar. Recently, billionaire owners of Topline Square, Jack Dorsey and Jim McKelvey, invested $50 million in bitcoin to diversify their investment portfolio. This move indicates the trust that heavy hitters have in cryptocurrency.
Here are five reasons why you should consider crypto trading:
1. High Returns
Crypto trading is profitable, and the turnaround time can be swift. The highest return you can make on US stocks is about 20%, which most people consider great. With crypto trading, one good surge in demand leads to a swift soar in prices, making a pretty decent profit. Fast eth trading is a sure way of making such high returns in a short time.
Although it does come with some risks, you should study the system, watch trends, and have a trading strategy.
2. The Diversification Advantage
Some analysts predicted that the stock market would underperform, and even in some instances, crash due to the COVID-19 pandemic that brought many businesses to a grinding halt.
Diversifying investments like what Topline Square owners did is a sure way to ensure that your assets remain safe. Though people will doubt their performance, they are most likely to thrive as they are currently doing.
3. It Is Your Money
Having money that you are in full control of and have immediate access to is essential. Most people save with banks as they guarantee some level of safety.
But saving with them also means leaving your money at the mercy of the bank and its investors. With crypto trading, your money is in your control and directly accessible. Your loss or profits depend solely on the decisions you make and not dependent on some investment banker that will tie up your money and leave you hanging when you need it most.
4. Liquidity
Liquidity remains a basic factor in any asset, and this refers to how easy it is to buy or sell it. Cryptocurrencies have high liquidity and move along quite fast. Trading platforms also facilitate the trading of crypto using various techniques, tools, and strategies such as limit-orders.
5. Simple Trading Process
The simplicity of crypto trading is one of its attractive features. All you need to do is conduct research on the type of cryptocurrency you want to trade-in and the strategies you will be adopting in your trades. Then select a trading platform, sign up, buy your cryptocurrency, deposit into your wallet, and you are all set. Platforms like Phemex offer cryptocurrency margin and spot trading services, and you can view this Phemex review for more information.