Can You Really Make $100 a Day Trading Cryptocurrency?
Making $100 day trading cryptocurrency may sound like a pie-in-the-sky idea, but it’s not as impossible as you may think. Cryptocurrency markets are still in their infancy and offer plenty of opportunities to get ahead if you know how to read the market and stay one step ahead of the competition, but there are also plenty of ways to lose money fast if you don’t know what you’re doing or are careless with your trades. Follow these steps to learn how to make $100 day trading cryptocurrency and maybe even more once your skills improve!
Should You Be Investing in Cryptocurrencies at All?
Is making a living day trading cryptocurrencies realistic? We recently came across a post on Reddit that had us thinking: Hey, maybe I can make $100 a day too! So we did some digging and found out whether it was really possible to make any money trading cryptocurrencies. To our surprise, while there are many resources out there advertising so-called crypto success stories, none of them provide much insight into what actually goes into day trading. A lot of it boils down to hype and hope.
But with that said, there are certain instances where day trading may be worthwhile. For example, if you know your local area is lacking in cryptocurrency atms or businesses that accept crypto payments and want to invest to get in on it early before it’s more common, then day trading might be for you. But even then you have a lot of research to do first. Like anything else involving money—especially cryptocurrency—there are always risks involved so do some homework first and make sure you have several ways of covering yourself just in case something goes wrong. And hey, if making $100 a day isn’t possible now but sounds like something you can build towards given time and effort, it may be worth putting off buying an investment property for now.
Types of Crypto Currencies To Consider
Most day traders use one of three major types of crypto currency to trade. Some brokers offer all three, others only one or two. Here’s what they are and which ones might be best for you. Keep in mind, some exchanges are better than others—and that could impact your trading choices.
Choosing An Exchange and Account Type
When choosing an exchange, start by asking yourself which cryptocurrency you want to trade in. If you’re interested in trading Bitcoin, you’ll have to pick one of the major exchanges that support BTC/USD transactions. In general, look for exchanges with high daily trading volumes and low fees. A good rule of thumb is to pick an exchange that trades multiple cryptocurrencies including Bitcoin. For larger traders, popular exchanges such as Bitstamp offer more advanced features such as stop loss orders and margin trading. There are also peer-to-peer exchanges like LocalBitcoins that let users buy and sell anonymously using Bitcoin (or other cryptocurrencies).
To open an account on an exchange, you need to submit personal information such as your full name and address. Because exchanges store so much sensitive data on their servers, you’ll want to make sure they have a good security track record. A good first step is to check for any unresolved security issues or complaints about its service in online discussion forums like Reddit. In general, I prefer using platforms with separate accounts for holding different cryptocurrencies and user interfaces that are easy to use even if you’re not that tech-savvy. For example, Coinbase offers both services through their platform (which only supports Bitcoin, Litecoin and Ethereum) or through individual accounts for each currency.
Choosing A Place to Buy Your Coins
Some exchanges are better than others—especially if you’re looking to make $100 a day trading cryptocurrency. One of those places is Coinbase—which charges just 1% on all transactions. Other exchanges charge upwards of 5%, making it much harder (and more expensive) to generate small amounts of profit. For that reason, we recommend choosing an exchange like Coinbase—or one with lower fees. Another factor to consider when choosing where to buy your coins is security.
Coinbase is one of most established cryptocurrency exchanges. Its interface is also extremely easy to use—which makes it perfect for beginners who are looking to make $100 a day trading cryptocurrency. Coinbase offers one of the largest selections of coins and is available in 32 countries around the world, making it much easier to set up than some other exchanges. If you’re just starting out, you may want to look into another option—but if your main goal is to make money as fast as possible, Coinbase should be your go-to place for buying crypto.
7 Things Beginners Need To Succeed
Successful day trading requires you to keep your emotions in check and follow a few simple rules. The cryptocurrency market is as volatile as it is unregulated; don’t let your emotions get carried away. The top 10 things beginners need to succeed in day trading crypto: 1) Never trade with money you can’t afford to lose. 2) Always use stop losses, both automated and manual ones. 3) Learn how to set trailing stops on your trades if you are using an exchange that doesn’t support them (looking at you Binance). 4) Put thought into choosing which exchanges or services you want to use because they all have different fees, features, payment methods, and security practices.
) Build up your cryptocurrency portfolio slowly. Don’t fall into hype and FOMO — when everyone is bragging about how much money they are making, it’s tempting to go all in right away. That’s not a good idea for beginners as you should take time to research different coins and decide which ones have legitimate long-term potential. 6) Always check your order book before you make any trades because markets can change very quickly, even when an asset has been plummeting. It may be too late by then.
7 ) Never let your emotions get carried away and make rash decisions when your trades aren’t going well. Stay calm, evaluate why you lost money, learn from it, and then move on to finding your next trade. Successful day trading isn’t about taking quick high-risk shots but instead more of a marathon than a sprint. With that in mind…
Things to Know Before Starting
If you’re wondering how to make $100 trading cryptocurrency, there are two key things you need to know: Your break-even point, and your take-home pay. Most investors will use trading platforms (e.g., Coinbase) that charge fees on both ends of transactions. The first fee is taken from buy or sell orders as a percentage of total capital; for example, GDAX charges 0.25% per transaction (note: not all exchanges are equal in terms of fees). The second fee comes out of your profit or loss—in essence it’s like a tax for using certain exchanges.
Safety Tips and Tricks For Every Stage Of The Process
If you’re thinking about making money by day trading cryptocurrency, there are a few things you should know before you take that step. The most important thing to keep in mind is how volatile and risky it can be. Unlike buying stock, cryptocurrency is completely decentralized and unregulated so many people don’t even consider it safe to invest in. One wrong move could result in thousands of dollars worth of losses that would take months or years to recover from, so make sure you’re aware of what you’re getting into before diving headfirst into day trading cryptocurrency.
The Basics of Buying and Selling Coins
If you’re just getting started in cryptocurrency, there are three basic terms you should know. Fiat money is currency that is backed by a government or legal tender, like dollars, euros and yen. Every country has its own currency and fiat simply means that it’s designated as legal tender by some government entity. Crypto refers to digital currencies in general. Cryptocurrencies are digital currencies that use cryptography for security—making them harder to counterfeit than regular fiat money. Once your coins are purchased, they can be traded for other cryptocurrencies or even back into dollars (or whatever your local currency is). Each day represents 24 hours of trading and there are two different ways to look at what constitutes making $100/day
To be honest, I never considered myself a good day trader. For most of my trading career, I was too lazy to sit through all four hours of European and Asian market sessions (this is how most serious day traders start their days). That being said, I can still sympathize with those who would love to spend 15 minutes making money for 8 straight hours. This brings us back to our original question: can you really make $100 a day trading cryptocurrency? Yes, absolutely! However…you should know that it’s not as easy as it sounds; there are plenty of pitfalls along the way that might prevent you from achieving your dream (i.e., putting bitcoin in your pocket). Here are some tips on how to make sure you’re not one of them.