Beginner's Guide to Crypto Trading
1. Understand the Basics First
Before trading, know what you're trading:
Coins like Bitcoin (BTC) and Ethereum (ETH).
Tokens built on other blockchains (e.g., Uniswap token on Ethereum).
Stablecoins (e.g., USDT, USDC) are tied to real-world currencies.
Learn about:
Market Orders (buy/sell instantly at market price).
Limit Orders (set your own price and wait for it to be hit).
2. Choose the Right Platform
Pick a reliable crypto exchange:
Binance, Coinbase, Kraken, or KuCoin for starters.
Look for security features (2FA, withdrawal whitelist) and low trading fees.
3. Set Up Your Wallet
Don’t keep all your coins on an exchange!
Use a hot wallet for active trading (e.g., MetaMask).
Use a cold wallet (e.g., Ledger) for long-term storage.
4. Learn to Read Charts (Basics Only)
Focus on simple tools first:
Candlestick charts (green = up, red = down).
Support and resistance levels (where price tends to bounce or get stuck).
Volume (how much is being traded).
Start with TradingView — it's beginner-friendly and free.
5. Start Small
Only trade with money you can afford to lose.
Begin with small trades to learn without big risks.
Avoid leverage (borrowing money to trade) until you're highly experienced.
6. Have a Strategy
Don’t just buy because a coin is “pumping.”
Simple strategies for beginners:
HODLing: Buy and hold long term.
Swing Trading: Hold for days/weeks, aiming to catch medium-term trends.
Scalping: Fast, tiny trades — NOT recommended for beginners.
7. Manage Risk
Always protect your account:
Use stop-losses (automatic sell orders if price drops).
Don’t FOMO (fear of missing out).
Diversify — don’t put all money in one coin.
Golden rule: Risk only 1–2% of your account per trade.
8. Keep Emotions in Check
Fear and greed destroy most traders.
Stick to your plan — don’t chase green candles or panic-sell red ones.
9. Stay Updated
Crypto moves fast.
Watch for major events (Bitcoin halving, Ethereum upgrades).
10. Common Mistakes to Avoid
Overtrading.
