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The ultimate guide: How to buy and sell cryptocurrency the same day?
Bitcoin's exponential growth exposed the world to a new form of trading and exchange system. Different cryptocurrencies have since sprung up, offering other use cases.
We've seen the explosion of smart contracts, decentralized finance, and governance platforms.
However, one of the main reasons for cryptocurrency's mass adoption is the market's profitability.
Buying and selling cryptocurrencies is a new way to make money. And with the market's high volatility, it's easy to maximize profit.
That said, it's also easy to lose all your money if you don't know when to sell a cryptocurrency.
With so many options out there and new crypto platforms springing up every day, things can quickly become overwhelming for casual enthusiasts who want to buy and sell bitcoin and other crypto tokens safely.
With the proper knowledge and a good understanding of buying-and-selling mechanisms, holders and traders can navigate the system more efficiently. Knowing what coins to buy and when and where to sell them will enable you to react to the market accordingly.
In this article, you'll learn how to buy and sell cryptocurrency easily.
Understanding cryptocurrencies and how they work
You need to have a fundamental knowledge of cryptocurrencies before diving into trading them.
A cryptocurrency is cash that lives on digital devices. Just like physical cash, cryptocurrencies are designed to settle bills and make payments. Also, you can send them to friends and family anywhere in the world.
In reality, crypto payments work the same way bank transfers do. But cryptos offer more privacy, security, and ease.
Bitcoin was created in 2009 by Satoshi Nakamoto. The project's whitepaper promised a digital currency that allows secure, anonymous peer-to-peer transactions.
Bitcoin is based on blockchain technology, a publicly available database that functions as a distributed ledger. It uses cryptography to record transactions and protect user data. Thousands of cryptocurrencies are based on this technology.
You can add new transactions to the blockchain (blocks) but can't delete anything, and it's easy to see every transaction that has occurred on the chain.
Blockchain technology has been used in different ground-breaking applications, not just crypto transactions. For example, the introduction of smart contracts made it possible to leverage blockchain technology in gaming, decentralized finance, and governance, among many other real-world use cases.
Why cryptocurrencies are popular
While you need to go through a financial organization such as a bank to send money to anyone or make payments, cryptocurrency transactions are done peer to peer. That means there's no middle man: just you and the recipient.
What's more, you don't have to hand over any personal information or sign up to any service to send and receive cryptocurrencies. All you need is a wallet. Cryptocurrencies are also not limited by international borders. You pay the same transaction fees (which are very low) to send tokens anywhere.
However, buying and selling cryptocurrencies is another kettle of fish. While the goal is to, one day, use cryptocurrencies to settle and finalize payments, we're still at a time where the easiest way to own cryptos is using fiat currencies to purchase them.
That's where trading comes in.
Cryptocurrency trading
Just like fiat currencies and stocks, you can buy and sell cryptocurrencies and make profits and losses. They both involve price movement speculation.
However, unlike fiat currencies and stocks, cryptocurrency prices are highly volatile. For example, daily percentage changes can spike or plunge in double digits.
So, you have to take your time to understand the market before trying your hand.
You can buy actual cryptocurrency assets via exchanges or use a CFD trading account to speculate price movements.
CFD trading
With CFDs (Contract for Difference), you're betting your money on a cryptocurrency's future price without buying the actual token. This type of trading is purely aimed at making a profit.
You can open a short position ("sell" or "go short") if you think a token's price will fall in the future or open a long position ("buy" or "go long") if you think it will rise.
You'll be leveraging a small deposit, known as a margin, to expose yourself to the real cryptocurrency market. Whatever amount of deposit you make, the total size of your position will determine your profits and losses, which amplifies how much you stand to gain or lose.
For example, if you open a $50,000 long position and use a 10:1 (10x) leverage, you'll have to commit a $5,000 deposit, which is your margin.
Exchange trading
Going through a cryptocurrency exchange means you're purchasing the real crypto asset, which you can then transfer to a private wallet or sell at a later time. This is the best way to go about things if you're looking at keeping crypto assets long-term.
This form of trading is called Spot Trading. Each trade is settled when there's a price match between a buyer and a seller.
People regularly place buy and sell orders (more on that later) on exchanges, which are filled when the conditions are met. So, for example, a buyer's order of price X will be matched with that of a seller who placed a sell order at the same price.
Can you buy and sell cryptocurrency on the same day?
You can trade cryptocurrency easily on the same day through exchanges.
Firstly, you have to sign up on the exchange and set up your wallet.
After signing up, you'll have to go through the exchange's process of depositing money. Some exchanges require some form of identity verification before you can deposit and start trading.
After depositing your fiat currency, such as Euro, Pounds, or Dollars, you can quickly go to the trading platform's spot market to buy a token.
However, some platforms allow you to buy crypto assets such as Bitcoin, Ethereum, and Ripple using your credit card.
Once bought, the token is transferred to your wallet. After that, you can withdraw the cryptocurrency to any other digital wallet or sell it whenever you choose to on the exchange.
How to exchange crypto
Exchanges work with trading pairs. Each cryptocurrency has its unique abbreviation, known as a ticker. For example, Bitcoin trades with the "BTC" ticker while Ripple trades with the "XRP" ticker.
Trading pairs
Trading pairs help you identify how you buy a token. They are assets that can be exchanged for each other.
When you open an exchange's spot market, you'll see many different trading pairs.
A typical example of a trading pair is BTC/USD. You buy the asset on the left with the asset on the right.
So, for example, to buy Bitcoin using the USD (US Dollar) you deposited, you'll have to select the BTC/USD trading pair, enter the amount of Bitcoin you want to purchase, and click on Buy.
To sell, select the trading pair, enter the amount of Bitcoin you want to sell, and click on Sell.
As we mentioned, there are many different trading pairs. You can exchange one cryptocurrency for another. For example, the ETH/BTC trading pair allows you to exchange ETH for BTC and vice versa.
Stablecoins
Stablecoins are crypto tokens that are pegged to the value of a fiat currency. A well-known example is Tether (USDT), which is pegged to the US dollar. Other examples include USDC and USDT. You'll find that trading with stablecoins helps simplify things as you're exposed to more USDT and USDC pairs.
So, after depositing your fiat to the exchange, you can convert your funds to a stablecoin without worrying about its value dropping.
Understanding limit, stop, and market orders
As we mentioned earlier, you have to go through spot trading to buy or sell a crypto asset in a centralized exchange, and spot trades involve setting buy and sell orders.
There are different types of orders that allow you to buy and sell cryptocurrencies at a specific price.
These orders serve as tools to help you manage risk, maximize profit, and minimize your loss.
What is a market order?
Placing a market order allows you to sell or purchase a token instantly. It tells the exchange to fill your order at the best available price.
When you check your order detail, you might notice that your coin was sold in batches at different prices.
This order type works for people who want to buy or sell as quickly as possible without waiting for a specific price.
While the market order is the fastest way to buy or sell crypto assets, it's not always the best option. Depending on the market's volatility, the trade could be filled at a much worse price than what you anticipated.
Limit order
A limit order instructs the exchange to buy or sell a crypto asset at a specific price. The asset won't be bought or sold until its price falls or rises to the price you entered.
Suppose you want to buy a token at $9,000, but it's currently trading at $9,500. Then, you can set a limit order of $9,000. This way, your order will only be filled whenever the cryptocurrency's price falls to $9,000.
To set the order, you have to enter the amount of Bitcoin you want to buy. In most cases, the exchange will automatically fill in the price in USD (if you're buying with USD).
You can't set a limit order above a token's current market price since a better price is already available. However, in most exchanges, the cryptocurrency will be bought immediately after you set such an order.
The same goes for setting a sell limit order. Your asset won't be sold until its price reaches the specific price you set, and if you place a limit order at a lower price than the current market price, it will sell immediately.
You should note that there's no guarantee that the exchange will fill your limit order. For example, the limit order will not be executed if the token's price never falls or rises to your set price. Also, in some cases, the exchange might fill the order partially or not at all if the token's price grows too fast and there are no matching orders to execute your buy or sell order.
What is a stop order?
A stop order instructs the exchange to set a limit or market order when a specific price is met.
There are two types of stop orders: stop-loss order and stop-limit order.
Stop-loss order
When you set a stop-loss order, a market order is triggered. That means, when the token reaches a specific price, the exchange is allowed to sell or buy it at the best available price.
For example, if you set a sell stop-loss order for Bitcoin at $9,000, the exchange will fill the order at the current market price whenever Bitcoin reaches or crosses $9,000. Note that the order will be filled whether the price goes up or down.
The downside of using a stop-loss order is that the order could be filled at a worse price than you expected.
Stop-limit order
The exchange will set a limit price order once your stop-limit order is triggered. That means you have to put a stop price and a limit price separately. While you can use the same price for both orders, setting the limit price slightly above or below the stop price increases your chance of filling the order.
For example, if Bitcoin is currently trading at $9,500 and you want to buy it at $9,000, you can set a stop price of $9,100 and a limit price of $9,000. Then, when Bitcoin's price falls to $9,100, the exchange will automatically place the $9,000 limit order.
Can you buy and sell crypto all day?
Unlike the stock market, the crypto market trades 24 hours a day, seven days a week. As a result, you can buy and sell crypto at any time.
That said, your exchange might suspend spot or margin trading due to maintenance or upgrade. Server downtimes can also affect trading.
So, if you've been asking the question, "Does Bitcoin trade 24 hours a day?" you now have your answer.
Does day trading apply to cryptocurrency?
Day trading is a convenient way to buy and sell crypto for profit. As long as you know the best time of day to sell Bitcoin after buying, you can easily make a lucrative career out of trading cryptocurrencies on the same day.
Crypto prices are highly volatile. Price movements within one hour can make a huge difference in profits and losses. That is why the cryptocurrency market is a fertile ground for those who know what to do.
Day trading allows you to take advantage of the substantial price changes of any crypto asset. That said, you have to be careful as you could also incur huge losses if the market takes a different turn from what you anticipated.
How to know when to sell crypto
Since you want to profit from cryptocurrency price movements, the best time to sell is when the token rises above your entry price. You have to determine how much profit you want to make and stick with it.
Now that you know how to use the different order types, you can easily set your entry and exit prices.
If you're day trading, make sure you monitor price movements closely. You could also delve into learning Fundamental Analysis and Technical Analysis, tools that advanced traders use to understand and speculate the state of the crypto markets.
Another way to determine when to sell your cryptocurrency is by following the news. First, learn everything there is to know about a token and its project development. Then, follow updates about new changes coming to the project, especially collaborations, that could sway a token's price.
News about government regulations, crypto comments from influential individuals, and security breaches can significantly impact the cryptocurrency market.
So, take all these into account when trading cryptocurrencies.
Summing up
Cryptocurrency trading is risky. Trade carefully and make sure you're ready to bear the risk of losing your entire deposit.
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Big Trading Opportunities with Kyrrex: How to Maximize Your Profits in Cryptocurrency Trading
The cryptocurrency market is a rapidly evolving landscape that offers big opportunities for profit. However, navigating this market can be challenging, particularly for those who are new to the space. In this article, we will explore how you can maximize your profitability in cryptocurrency trading by taking advantage of Kyrrex's wide range of trading opportunities.
The Relationship Between Open Crypto Trades and Profitability
Open trades are trades that have not yet been closed. These trades can have a significant impact on profitability, as they represent potential gains or losses. In general, having more open trades can increase profitability, as long as they are managed effectively.
One way to manage open trades is to use stop-loss orders. A stop-loss order is an order that automatically closes a trade when a certain price is reached. By using stop-loss orders, traders can limit their losses and protect their profits.
For example, if a trader buys a coin at $10,000 and sets a stop-loss order at $9,500, the trade will automatically close if the price falls to $9,500. This can help the trader get out of a bad trade before their loss becomes bigger.
Another way to manage open trades is to stay up-to-date with market trends. By staying informed on market trends and using technical analysis, traders can identify potential trading opportunities early and make informed trading decisions.
For example, if a trader notices that the price of a particular cryptocurrency is trending upwards, they may decide to open a long position (i.e. buy the cryptocurrency) with the expectation that the price will continue to rise.
However, it is important to remember that open trades are never risk-free. If the market moves against the trader, they may end up losing money on the trade. To minimize this risk, it is important to use appropriate risk management strategies, such as setting stop-loss orders and diversifying your portfolio. Stop-loss on a winning trade locks in your profits while a diversified portfolio helps to spread risk around.
The Importance of Trading a Wide Range of Cryptocurrencies
Trading several cryptocurrencies, instead of just one or a few, is essential for maximizing profitability. By limiting yourself to a small number of cryptocurrencies, you are potentially missing out on gains that could be made by trading in other coins. Additionally, trading more cryptocurrencies can help to minimize risk, as losses in one coin can be offset by gains in another.
Here are some benefits of a diverse cryptocurrency portfolio:
- Increased exposure to potential gains: By trading in a diverse range of cryptocurrencies, traders can increase their exposure to potential gains in the market.
- Minimized risk: By trading in a diverse range of cryptocurrencies, traders can minimize their risk by offsetting losses in one coin with gains in another.
- More opportunities for profit: Traders can open more orders in more cryptocurrency pairs, which increases the potential for profits.
Wide Crypto Trading Opportunities with Kyrrex
Kyrrex is a leading crypto-fiat platform that offers comprehensive services for individuals and institutional clients alike. With its advanced trading, storage, and payment technologies, Kyrrex is designed to meet the needs of modern cryptocurrency enthusiasts.
One of the main advantages of Kyrrex is its wide range of trading opportunities. Users can access the built-in trading terminal, which allows for seamless transactions in cryptocurrency pairs. Currently, Kyrrex offers a total of 20 currency pairs, including popular options such as AVAX/USDT, ETH/USDT, and XRP/BTC. By offering a diverse range of currency pairs, Kyrrex enables users to trade in a way that best suits their needs and preferences.
The Kyrrex trading platform boasts flexible functionality. Users can easily analyze and track quotes around the clock, select limit and market orders, and enjoy reduced trading commissions. These features make it easy for users to make more trades and analyze market trends, thereby increasing the chances for gains.
In addition to its trading capabilities, Kyrrex offers a comprehensive set of features to help users manage their cryptocurrency assets. With its state-of-the-art storage technologies, Kyrrex ensures the safety and security of user funds. Users can also take advantage of the platform's advanced payment technologies, which enable them to make and receive payments in a variety of currencies.
Conclusion
Maximizing profitability in cryptocurrency trading requires a combination of trading in a wide range of cryptocurrencies and effectively managing open trades. Kyrrex's wide range of trading opportunities, advanced trading tools, low trading fees, and real-time market data make it an ideal platform for those looking to engage with the cryptocurrency market.
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BTCUSDT: Analyzing Bitcoin's Performance on TradingView
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BTCUSDT Price Action
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Final Thoughts
BTCUSDT trading on TradingView offers traders a comprehensive set of tools and indicators to analyze Bitcoin's performance. With both technical and fundamental analysis options available, traders can make informed decisions about when to enter and exit the market. However, as with any financial market, BTCUSDT trading carries risks and traders should exercise caution and conduct their own research before making any investment decisions.
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Top 5 Crypto Charities
There are two sides to everything, though humans tend to focus on one side of the coin. The latest weapons can help through deterrence, not just destruction. Artificial intelligence is an incredibly useful tool despite its dangers. And cryptocurrency, just like everything else, can be a force for good in the world.
Crypto is about PnLs, market and limit orders, DeFi and staking, coin offerings and L1s. It is also about borderless payments which can facilitate goodwill donations by anyone from anywhere to any organization that works towards a noble cause.
The philanthropic space, just like health, finance and sports, has realized the benefits of adopting crypto. Some of the best known global and regional charities have created channels for crypto donations.
Bitcoin, Ethereum and stables like USDT are the most popular coins supported by charities accepting crypto. Depending on the type of crypto charity, other popular digital coins like Dogecoin, Monero, Bitcoin Cash and Litecoin may also be accepted.
So if you're moved to reserve some of your cryptocurrency holdings or trading gains for a worthy cause, there are lots of charity crypto projects that would be happy to receive your donation
These crypto-affiliated charities vary by mission. Some are dedicated to helping oppressed peoples in war-torn areas like Ukraine to stand up to the aggressors. Others utilize blockchain technology to support next-gen ideas and technology like effective altruism and AI.
These organizations all have noble goals and have thrived through the benevolence of citizens who use some of their crypto for charity. This article presents 5 reliable and dependable crypto charity projects. So if you're looking for charities that accept crypto, you've come to the right place.
1. Electronic Freedom Foundation
The Electronic Freedom Foundation (EFF) is a U.S. 501(c)(3) nonprofit that has a mission to defend civil liberties and human rights both online and offline, but especially online. It supports outreach and legislation that protect digital rights and provides funding for projects that promote the rights of the individual to free expression in the digital space.
The EFF sees increased legislation and user restrictions in the digital age as a wall that stifles creativity and infringes on the rights to liberty. Thus, it campaigns hard against moves that seek to restrict people's rights and freedoms, especially online. The organization has a long and proud history of canvassing change and is one of the best charity crypto projects around. It accepts Bitcoin, Bitcoin Cash and Ethereum from individual donors and you can also elect to receive some cool swag if you donate at least $100.
2. Kyrrex Charity
The start of the war in Ukraine has led to a groundswell of governmental, institutional and individual support for the beleaguered country which continues to maintain its independence in the face of overwhelming odds. The Kyrrex Charity is the social arm of Kyrrex, a regulated crypto-fiat ecosystem. Its goal is to work towards the war's end and victory for Ukraine by supporting the country's civilians, volunteers and defenders through financial aid.
The foundation organizes charity events and fundraisers all over the western world to raise money which it then distributes to various agencies across Ukraine.
Because of the difficulties caused by the war, crypto donations to Ukraine is one of the best ways to get money across to those who need it on the ground. That is why the Kyrrex Charity's main vehicle is a crypto charity fund. Benevolent individuals and organizations can directly donate Bitcoin, Ether and USDT through the foundation's Ukraine crypto donations wallets and be rest assured the money will be used for a worthy cause.
So if you have excess coins gathering dust in your wallet or cold storage and wondering how to donate crypto to Ukraine, you can send your coins to a Kyrrex Charity wallet and sleep easy knowing you've just done a great deed for humankind.
3. UNICEF Cryptocurrency Fund
Unicef, or the United Nations Children Fund, works in 190 countries across six continents to help children overcome developmental and geographical challenges and achieve their full potential from early childhood to adolescence. It's long been one of the most visible agencies of the UN and its impact has been felt in every corner of the globe for decades.
In 2019, UNICEF launched a crypto fund to simplify fundraising and grants distribution and reach their networks of donors and beneficiaries faster than the complicated web of traditional finance would allow. Donors can send BTC and ETH directly to the UNICEF CryptoFund. To date, the fund has received 8 BTC and 2527 ETH which is distributed to open-source frontier tech solutions showing promising results.
All donations made by the funds are done in BTC and ETH only and capped to $100k. Through this scheme, UNICEF has invested 52 ETH in a digital cash and voucher transfer platform in Nigeria, 43.5 ETH in a platform for digital healthcare savings in DR Congo, and 21 ETH in a tool for visual eye tests to detect vision disorders among children in the UAE.
4. The Giving Block
Would you like more control and flexibility over your charity crypto donations? Then you can check out The Giving Block. This donations service is like a crypto charity marketplace that allows you to give crypto to a nonprofit, charity, university, faith organization, environmental NGO or any other mission-driven agency of your choice.
The Giving Block emphasizes choice and flexibility. Donors are free to choose any of the 100+ organizations that accept crypto donations through the service. You can use their search tool to filter available organizations. For example, a "crypto donations Ukraine" search brings up the Ukrainian American Coordinating Council, the US-Ukraine Foundation and similar organizations. You can also switch to "Impact index funds" and donate crypto to a particular cause, such as the war in Ukraine, women and girls empowerment, or arts and culture.
Another big draw of The Giving Block is the versatility provided for those who use the platform to donate crypto to charity. Most blockchain-positive philanthropic platforms support just a few cryptocurrencies. But on The Giving Block, you have your pick of more than 70 crypto options to donate with such BTC, ETH, USDC, USDT, DAI, MAKER, AVAX, SOL, and many more.
5. The Tor Project
Tor, or The Onion Router, is the free and open-source browser that enables anonymous communication through a network of volunteer nodes spread across the world. The Tor project and its browser allow users to bypass censorship and restrictions on internet usage. It generates a semblance of digital privacy and independence in an environment rife with governmental policy.
The Tor Project accepts donations in crypto and other avenues to keep the Tor network running and protected against intrusion by global institutions and governments. Tor accepts crypto donations in 9 currencies including Bitcoin, Ethereum, Dogecoin, Augur, Dash, Litecoin, Monero, Stellar Lumen, and ZCash.
Donating Crypto to Charity
If you'd love to donate crypto to charity, you can try one of the organizations on this list or another one that accepts digital currencies. You can donate your crypto directly—no need to convert into a stablecoin or fiat money first. Moreover, if you have a stablecoin in your portfolio, you can donate that. The price of a stable fluctuates less compared to traditional cryptocurrencies, which can benefit the charity of your choice more than a volatile coin would.
Making donations to a charity actually helps fulfill one of the founding principles of cryptocurrencies—anonymity. By donating through crypto, you show that you truly care about a cause and aren't donating just to look good in the news or on social media.
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