auCryptocurrency Trading Fundamentals
Course overview
1. What are cryptocurrencies?2. What is cryptocurrency trading?3. Self-custody versus custodial wallets4. Crypto market cycles5. Analysing altcoin fundamentals6. Advantages of cryptocurrency trading with Axi7. Conclusion2. What is cryptocurrency trading?
Cryptocurrency trading is the act of buying and selling cryptocurrencies with the intention of profiting from the difference in price. This can be achieved by buying crypto when its price is low, and then selling it when it appreciates. Another way to profit from the difference in price is to sell crypto you already own when its price is high, with the intention of buying more of it at a lower price when the price drops.
Trading crypto CFDs allows you to buy (go long) or sell or (go short) on cryptocurrencies, even if you don’t own the underlying asset. For more information specific to trading CFDs, refer to the course Trading CFDs with MetaTrader4.
Example
Crypto trade example
Mark identifies that the price of Bitcoin moves within a range.
He buys a certain quantity of bitcoin when the price of bitcoin dips, reaching the bottom of the channel.
He sells his bitcoin for a profit when the price reaches the top of the channel.
Quiz
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