Trading is one of the areas that give fast money in the world of cryptocurrency, just like a physical trader will go home every day with profit or loss, trading in crypto offers the same. Although crypto trading involves high-risk levels, it could be said that the higher the risk, the higher the profit, this is applicable even in real life. This article will highlight some trading terms in crypto.
What is Crypto Trading
The term crypto trading can be referred to as the buying and selling of cryptocurrency. Every trading involves a transaction between two parties, the parties involved have to exchange a tangible asset before trading can be said to take place, on that note, Crypto trading involves the process of buying a cryptocurrency and selling.
There is a lot of benefit in crypto trading, paying attention to the skills and strategies in the crypto market can make you smile at home.
Read Also: Factors That Make Crypto Trading Productive
How to get started
Below are some of the first things to do before you start trading:
- Conduct thorough research about cryptocurrency trading.
- Create an exchange account; an exchange wallet is needed to trade any coin of your choice.
- Fund the wallet; after creating the wallet, funding it will give a header that you are about to start trading crypto coins.
- Start trading.
Read Also: Some Trading Strategies To Use In Crypto
Some terms in Cryptocurrency trading
Crypto trading terms are those terms used by traders to make communication easy, below are a few of them;
- ATL: All-Time Low
- ASHDRAKED: This is a condition where a trader loses all his money. This is inevitable in trading because of the market fluctuation in the crypto world.
- ATH: All-Time High.
- BAG HOLDER: This is used to refer to an investor who buys and holds many coins with the hope of making some profit from them in the future; every investor intends to profit from the market, buying many coins to make a profit in the future is a strategy that investor uses.
- BEAR/BEARISH: This is when the price of a coin is going downward, the price of a coin can goes high or low at any time. However, when it is low, it is called the ‘Bear Period’.
- BULL/BULLISH: This is when the price is upward, this is a positive outcome for a trader that took advantage of the Bearish period to accumulate coins.
- Circulating Supply: A total number of token that is tradable in a public space at a given time
- DILDO: Red candles on the chart.
- DUMP: This means selling off a coin when the price drops.
- DYOR: Do your own research, it is important to research before trading, to know the pros and cons in the Crypto world.
- FA: Fundamental Analysis; refers to any negative information that can affect the value of a coin.
- FOMO: Fear of missing out, This is a circumstance where the price of a coin or token is increasing, yet you buy it hoping to make a profit from it because you believe it will keep going high.
- FUD: Fear of uncertainty and doubt; this is inevitable in the world of cryptocurrency.
- HODL: This is a process where an investor holds a coin and does not sell it off irrespective of the situation of the coin.
- JOMO: This is the happiness of not being involved in an asset that is experiencing a price dropping.
- MCAP: Market Capitalization.
- OTC: This means over-the-counter.
- SAFU: Secure asset funds for users.
- PUMP: Upward price movement; this is when the price is constantly going upward.
- SHITCOIN: This is a digital currency that does not have use, nor does it have potential.
- SWING: this means Zig Zag price movement.
- TA: Technical Analysis, this is a thorough analysis of the market, how to place your trading skills, and when to buy a coin.
- REKT: This is when you have a great loss.
- WHALE: This is used to refer to wealthy traders in the crypto world.
- REVERSE INDICATOR: This is used to refer to people who mispredict price movements.
Read Also: Dogecoin And Few Other Coins Got New Trading Pair As Announced By Crypto.com
FINAL NOTE:
Despite the risk that is involved in trading cryptocurrency, making profits In the crypto market is still possible, one easy way to make a profit through trading is to know what to do and when to do it.