If you're considering entering **cryptocurrency trading**, here are some key guidelines and expectations to keep in mind:
### **1. Educate Yourself First**
- **Understand blockchain & crypto basics** – Learn how cryptocurrencies work, their use cases, and the technology behind them.
- **Research trading strategies** – Study technical analysis (TA), fundamental analysis (FA), and risk management.
- **Follow reputable sources** – Stay updated via CoinMarketCap, , Binance Academy, and crypto news outlets.
### **2. Start Small & Manage Risk**
- **Only invest what you can afford to lose** – Crypto is highly volatile; never trade with money you can’t afford to lose.
- **Use stop-loss orders** – Protect yourself from extreme market swings.
- **Diversify** – Don’t put all your funds into one coin.
### **3. Choose the Right Exchange**
- **Pick a secure, reputable platform** (e.g., Binance, Coinbase, Kraken, Bybit).
- **Enable 2FA (Two-Factor Authentication)** for security.
- **Beware of scams** – Avoid "get-rich-quick" schemes and shady projects.
### **4. Understand Market Psychology**
- **Fear & Greed Drive Markets** – Crypto prices swing wildly due to hype (FOMO) and panic selling (FUD).
- **Avoid emotional trading** – Stick to your strategy instead of chasing pumps.
### **5. Be Prepared for Volatility**
- Prices can surge or crash **20-50% in a single day**.
- Long-term holding (HODLing) may work better than day trading for beginners.
### **6. Tax & Legal Considerations**
- **Crypto gains may be taxable** – Check your country’s regulations.
- **Keep records** of all trades for tax reporting.
### **7. Expect Scams & Rug Pulls**
- Many projects fail or turn out to be scams.
- Stick to **well-established coins** (Bitcoin, Ethereum) before exploring altcoins.
### **8. Long-Term Trading**
- **Day Trading** – High risk, requires constant monitoring.
- **Swing Trading** – Medium-term trades (weeks/months).
- **HODLing** – Buying and holding for years (best for Bitcoin & Ethereum
