How to trade ETH on the WhiteBIT cryptocurrency exchange

Ethereum was the top cryptocurrency in 2021. Its value has increased by 900% compared to the year of 2020. It is currently the second largest cryptocurrency on the market and will not give up. Moreover, the interest from the crypto community is caused by the future Merge update that will allow the network to migrate to the PoS algorithm. Hence, we suggest familiarizing yourself with basic information about the token and popular trading strategies.

What you need to know about Ethereum

Ethereum, as a digital asset, appeared in 2015. It happened six years after the creation of Bitcoin. During all this time, cryptocurrency has experienced many ups and downs. You only have to look at the graph to understand how unstable the situation was.

After 2016, the cryptocurrency was split into two blockchains: Ethereum and Ethereum Classic. It was due to a bug in the system that led to a massive theft attempt. For successful cryptocurrency trading, it is essential to remember that these are two separate tokens.

First, you should see the relation of Ethereum to Bitcoin. For example, in 2020, 1 BTC could be purchased for 32.5 ETH. But a year later, for the same amount of Ethereum, you could already buy 1.5 BTC.

Nor should the position of cryptocurrency vis-à-vis other fiats be overlooked. In particular, you should pay attention to the ETH EUR pair. It will also help to choose a good time for investments.

Basic Ethereum trading techniques

Brokers use several trading strategies. The cryptocurrency market is active around the clock, so it is essential not to miss a good moment. Some people set up an automatic system for buying. The transaction is automatically signed when Ethereum reaches a specific value.

Trading bots are also used pretty often. They automate some processes, which simplifies trading in general. But it is important to use proven options. However, automation will never replace the human factor.

Most traders use an intermediary to trade. In this case, the contracts are passed on the difference in value. In this case, one must guess whether the token’s value will fall or increase. You will get the contrast between the amount in the initial phase and the final phase. But it is worth considering that you will have to pay the difference to the broker in case the value goes in the negative direction.

There is also a long-term strategy. You need to buy Ethereum and wait for the price to rise. In the peak zone, exchanging it for euros or dollars will be possible. You can use the services of specialized cryptocurrency exchanges that will provide you with the mildest conditions and lowest fees. 

Some tips for successful Ethereum trading

The trading strategy and technique choice depend on your preferences and capabilities. Regardless of which option of buying and selling cryptocurrencies you choose, you should follow these simple rules:

  • study all available information in as much detail as possible;
  • think ahead;
  • don’t let your emotions get the better of you;
  • choose a reliable platform for trading.

Before you start trading Ethereum, you should read the advice of specialists. Well-known crypto traders often make information freely available on their blogs and social networks. At the same time, you should not trust everyone. First, it is necessary to check the competence and experience of the specialist.

The main rule of trading is to be able to build strategies for the future. Of course, you are not a visionary. But you should develop a strategy that would suit all any outcome. It is better to create several plans – one for the decrease of the Ethereum value and the other for the rise of its value. Thus, you will be ready for everything and will avoid nervous breakdowns.

Before investing in the stock market, you should think twice. Many platforms promise incredible profits. Before investing, you should check everything carefully. It is worth studying user reviews and familiarizing yourself with discussions on forums.

Trading allows you to increase your fortune. But you should invest the amount you can afford to spend and always have emergency funds to back up potential losses.

To sum it up, ETH allows using numerous trading strategies, as it one of the most popular digital assets on the market. The main thing is not to make quick decisions, analyze temporarily, and use proven services.

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