How To Make Money Trading (Buying and Selling) Cryptocurrencies On The Internet

In this guide, you will learn how to make money by trading (buying and selling) cryptocurrencies on the internet. This means you will be able to use the internet to create wealth from the comfort of your home or preferred location.

In the world of today, technological advancements in the ICT field have made it possible for individuals and organizations to make money online, and one of the surest ways to do this is by trading in Crypto. Before we begin, let's understand what cryptocurrency is all about.

What is a cryptocurrency?

According to Investopedia, a cryptocurrency is a digital or virtual currency that is secured by cryptography, which makes it nearly impossible to counterfeit or double-spend. A number of cryptocurrencies are decentralized networks based on blockchain technology (a distributed ledger enforced by a disparate network of computers).

Example of Cryptocurrencies are Bitcoin, Ethereum, Litecoin, Cardano and nearly over 6,000 others as of 2021. Let's take a look at Bitcoin and how it has grown over the years.

What is Bitcoin?

Bitcoin is one of the most recognized cryptocurrencies which was invented in 2008 by an unknown person or group of people using the name Satoshi Nakamoto. The currency, which came into circulation in 2009, has grown over 45,000% between 2013 and 2021.

Bitcoin price 2013

Bitcoin price 2015

Bitcoin price 2018

Bitcoin price March 2021

Bitcoin price Nov 5, 2021

From the photos above, you can see the growth of Bitcoin from $100+ in 2013 to more than $60,000 in 2021.

Aside from Bitcoin, other crypto assets like Ethereum have had a good run over the years, growing 169,000% between 2015 and 2021.

Requirements for trading cryptocurrencies

Cyptocurrency trading can be done in almost every part of the world, but it is important to understand the laws of your country which are related to handling cryptos. You will need a few things to trade cryptocurrencies and make money online. Some of these tools includes:

1. A Smartphone or PC
2. A Cryptocurrency Wallet for sending, receiving and storing of your Crypto assets.
3. Internet (Search engine) for research

What is a cryptocurrency wallet?

A cryptocurrency wallet is a device, physical medium, program, or service which serves the purpose of storing public and/or private keys for cryptocurrency transactions. Your crypto wallet is just like your bank account, but for storing cryptocurrencies.

There are different cryptocurrency wallets depending on your region. Here are some of the widely recognized wallets:

• Coinbase
• Trust wallet
• Binance
• Crypto.com
• Metamask wallet
• Blockchain.com etc.

How To Make Money By Trading Cryptocurrency

We have made this guide free of charge and as easy as possible to understand. Follow the steps below to start making money in the crypto market.

A Multi-Crypocurrency Wallet

This is basically the first thing you will need to start trading on the internet, as you will want your crypto assets stored in a safe space online.

You can go through the list of some crypto wallets above and make your choice, but before choosing a wallet you have to consider security and account safety.

Perform Cryptocurrency Analysis

This is another important part of trading which helps you decide the next coins to buy/hold and make profit. You can Do Your Own Research (DYOR) on Search Engines, by going through trends in the crypto market.

For analytics, a number of crypto wallets offer graphs that show the performance of a particular cryptocurrency over time. Just like in the photos above, those were from the trust wallet app.

You can also view insights directly on coinmarketcap.com, one of the more widely recognized crypto analysis website. Coinmarketcap allows you to view other information like price changes, the ranking, the market capitalization, etc. of any crypto asset.

You need to know that if a coin is listed on coinmarketcap, this means that the coin has been recognized globally and can be traded on.

I would also recommend Tradingview as another analytics platform that allows you to view graphs, market caps and ideas on different cryptocurrencies. Here is a link to the tradingview ideas page.

Start Making Money Now

After you have gotten your crypto wallet and done your research, you can now start trading (buying and selling) cryptocurrencies on the internet.

While buying a coin, you can decide to take a profit in the short-run or hold on for a longer period of time, which can be upto months or even years, depending on your expectations and analysis.

Conclusion

In this guide, we have covered the basics to help you start your trading journey. You still have to do more research to learn more about the vast crypto industry. You can join our telegram channel here to get updates on future posts like this.

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