Since time immemorial, cryptocurrency order of investment is to buy when the price per cryptocurrency coin is low, and then, sell it when the market worth price is high. This is actually, a concept for the long-term period cryptocurrency traders, but on day trading, you will need to follow the cryptocurrency trading signals.
Unlike other kinds of financial investment industries like stock or Forex, cryptocurrency trading is still very new, hence few experts knows how to read movements correctly. Since cryptocurrency have been directly compared to Gold, the approach of trying to read or getting to understand the cryptocurrency trading signal is been considered a major skill as a serious investor.
Currently, the cryptocurrency market is gaining more volume and investors are rapidly growing in number, based on demand. This has also helped to decrease the unpredictable nature of the entire cryptocurrency market movement. If you will like to learn how to start cryptocurrency trading, read my detailed cryptocurrency trading guide for beginners.
What is a cryptocurrency trading signal?
Cryptocurrency trading signals are series of data and information summarized in a simple and straightforward call to action trigger, that forecasts or predicts the price direction of a particular crypto asset(coin).
Crypto signals can take different forms and patterns, but basically, they still predict the directional movements. The cryptocurrency signals helps both newbies and advanced traders to make good cryptocurrency trading decisions, based on certain price predictions made by an expert.
The trade signals are in turn, used to make money, while trading cryptocurrencies. As an investor, you really need to very cautious, also have thick skin towards loosing your money in a trade. Since the movement information given by the signal converts into the receiver taking a specific action, then the word signal fits in.
How do cryptocurrency trading signals work?
All sorts of analysis, technical, quantitative and qualitative approaches can be used as a cryptocurrency trading signal input. The major aim is to allow an investor, to make decisions that will maximize the growth of the investment. The trade signals can be use to tell when to buy or sell a crypto asset.
However, cryptocurrency trading signals aren’t just for predicting when to buy or sell cryptocurrencies. It is also used to analyze and balance or change an investment portfolio. This is knowing the best time to buy the right cryptocurrency and when to ditch an investment that is not moving towards the investment goals.
In other words, cryptocurrency trading signal can be used to follow your cryptocurrency investment portfolio goals. Thus, trading signals are so limitless in terms of complexity, therefore, it can always accommodate different inputs at a time. But have it in mind that, the more the input, the more complex it comes to read and more time it takes to process.
Since the market changes with an unpredictable and inevitable movement, lesser number of inputs in the trading signal, will help to increase the processing speed of the output. If you have a vast knowledge in computer programing, you can make softwares and applications that will be reading trading signals and creating best strategies to make profit with those signals. This is yet another way startups make money fast online with cryptocurrency trading.
There are many signal providers in the cryptocurrency market that basically offer signal services with their trading algorithms to the customers without any earlier experience or knowledge of computer programming skills. The whole process requires that the input you wish to use are already on the list of other input, or you can also wait for signals to create them for you to use it.
Meanwhile, just understand that cryptocurrency trading signals cannot generated without inputs, be it by analyzing fundamental quantities or qualities of a particular cryptocurrency. Traders can decide to create their own trading signal algorithms, or simply choose from the list of signals already provided by the trading signal providers in the crypto data-science market.
Can you really make money with trading signals?
YES, you can make money with cryptocurrency trading signals. It’s either, you’re selling the trading signals, or that you are using your trading algorithm by yourself to do cryptocurrency trading and make profit directly from volatility of the cryptocurrency market movements.
Many experienced programmers do prefer creating crypto trading algorithms that can be used by inexperienced traders to securely make cryptocurrency investment decisions in the trading markets. These softwares are then tagged to a fee, which cryptocurrency traders will have to pay or subscribe. Besides that, an investor can search for a reliable signal provider and use their visual builders to create their own trading algorithms using available inputs on the system to forecast, and trade in the highly volatile crypto market.
The result of any trading signal you’re using, will be related to the direction of current cryptocurrency price flow, which if it turns out to be right, you will definitely make money. But if by any chance turn out to be false, you loose your money, or some percentage of your first investment on the particular cryptocurrency at marked time frames.
Advice: if you’re not a professional in reading crypto price charts and researching on price movements based on analysis, please leave cryptocurrency trading signals alone. Instead, try to do a long-term investment strategy with your portfolio.
The probability that you will make money using cryptocurrency trading signal is very slim, especially, when you are simply a novice in the market. ROI (Return On Investment) is determined by the amount of your first cryptocurrency investment.
How can you find cryptocurrency trading signal?
I am not advising you to rely on using cryptocurrency trading signal, even though, it can make you huge profit when handled correctly by a professional who knows how the market works by understanding price actions, it can still make you a novice a very poor person. You will loose a huge amount of money if you joke around with it as a beginner. It is simply Not Safe For Your Wallet.
However, mind you there are many fake cryptocurrency signal providers out there in the market. And upon that, mostly asked question is where can you find correct cryptocurrency signals?
Recently, a lot of people have used crypto signals to scam investors either by; using it to promote the fraudulent pump and dump scheme and pump and hold shitcoins. But let’s look at how you can actually get tested and trusted crypto trading signals.
Texting apps like telegram, discord
Chatting Apps like Telegram, WhatsApp, and many others has also become the mostly recommended place to get best crypto signals, due to the group creation features and functions. Currently, there are lots of groups created especially on Telegram that serve as the trading signal services are called free cryptocurrency trading signals telegram channels. These closed user groups on telegram are mostly managed and kept updated privately by a person, group of persons or people, and there is no way you can find out if they are scam or not.
Nevertheless, there are still reports of some legit best crypto signals telegram provider groups, but they are very few – about 1 ~ 100 channels on Telegram. If you’re lucky enough to find a channel that works, the process is always worth it.
As a rule of thumb, it’s better to be referred to a group or channel,than searching for one yourself, based on keywords. Also, once you join any cryptocurrency signal group or channel, try to find out how correct their prediction works before investing your money using their algorithms.
Crypto signal providers
Yet another source of good is by using websites that provides cryptocurrency trading signals, or crypto signals app. All you need to do is register and account with them, or buy their crypto trading signal softwares, which is what most websites will want you to do, as they also make profits when you pay for the services or subscription. You need to find reviews as to know if they are scam or not.
Social media networks
This is another avenue to get cryptocurrency trading signals. Most professionals do give out free cryptocurrency trading signals to the member of the groups they belong to on social media networks. It is very easy for them to issue out paid crypto signals as well as free crypto signals, without having their own websites.
Most times, these social media groups are closed user groups. This means that they can be paid or free, but it’s usually free for their members in most cases. Just like other mediums, the accuracy of these signals are based on if you joined the right group or your are already in the scammers den. Therefore, it is always advised that you do your own research carefully, before paying for signals or using any of the free ones they’re supplying.
In conclusion to cryptocurrency trading signals
Even though there are many crypto signal providers in the market, there are still professionals who give right trading signals. So if you really need to base your cryptocurrency investment trading on using signals, try to always do your own research on the crypto trading signal provider services you want to join or use. You can also ask your friends who are also crypto investors to refer you to the providers they are using.
Even if you’re finally referred to a good one after all, make sure you check how they work. Check if the signals they offer suits your taste and investment targeted goals. Doing this and following all my advises will definitely help you to save lots of money in the long run.
Make sure you always use one of the best cryptocurrency wallets, to securely keep your cryptocurrency investments. Maybe you can simply get yourself a hardware wallet, which gives you full access to your private keys. I strongly recommend Ledger Nano S hardware wallet, as it does not need Internet to store your cryptocurrencies.
Register an account with Binance to start using your cryptocurrency trading signals to make money in the cryptocurrency volatile market. Binance is an exchange that is fast growing, and also has the highest volume of cryptocurrencies according to the current marketcap as at the time of writing this post.