🔹 What is Trading & How Is It Different from Investing?
Trading is the act of buying and selling financial assets—like cryptocurrencies—to make a profit from price changes in short timeframes. In contrast, investing means buying an asset and holding it for a long period, believing it will grow in value over time.
A trader focuses on short-term price movement, while an investor focuses on long-term value. For example:
A trader might buy Bitcoin at $58,000 and sell it at $60,000 in one day.
An investor might buy Bitcoin and hold it for years, regardless of daily price changes.
🧠 Key difference:
Traders care about timing the market. Investors care about time in the market.
There are different types of traders:
Day traders: open and close trades in the same day.
Swing traders: hold trades for days or weeks.
Scalpers: make many fast trades for small profits.
Both trading and investing can be profitable, but trading requires more time, focus, and discipline.
✅ Before you trade, make sure you:
Understand how the market works.
Have a clear strategy.
Can manage your emotions.
📌 In Part 2, we’ll explore the basic concepts you must know before placing your first trade: Spot vs. Futures, and market order types.
#Lesson1 #CryptoEducationNow #TradingFundamentals #BinanceSquare
