Issue : the number and total value of the issue, cancellation or loss of cryptocurrencies
Market capitalization : the value of all currencies in circulation and users’ perception of future market developments
Press release : Opinion on a cryptocurrency and how much media coverage it receives
Integration : the measure of the cryptocurrency’s ability to integrate into an existing payment system, such as e-commerce
Key Events : Fundamental events such as regulatory updates, security breaches, and economic slowdowns
How cryptocurrency trading works
You can trade cryptocurrencies through a CFD account, derivative products that allow you to operate on the appreciation or depreciation of the chosen cryptocurrency . Prices are quoted in traditional currencies like the US dollar and you don’t actually own the cryptocurrency itself. Contracts for Difference (or ‘CFDs’) are leveraged products: this means that you can open a position by depositing only a small fraction of the total value of the trade. Please note: trading with leveraged products can amplify both your profits and your losses should the market move in the opposite direction to your chosen position for Cardano exchange.
What is the spread in cryptocurrency trading?
The stretch is the discrepancy between the bargain price and the sell rate of a cryptocurrency. As in numerous other economic needs, when you unlock a stance on a cryptocurrency demand, you have the choice of selecting two rates. If you expect to unlock an extended stance, you will retain to assign the buy rate, the value of which is slightly higher than the real market price. If you want to open a short position, you will have to choose the sell price, the value of which is slightly lower than the market price.
What is a ‘lotto’ in cryptocurrency exchanging ?
Cryptocurrencies are always traded in contract lots or cryptocurrency tokens, which are used to determine the length of each business. The lots of cryptocurrencies are usually very small due to the high volatility of the markets: many represent only basic units of the cryptocurrency. However, there are also some cryptocurrencies that are traded in larger batches.
How does leverage work in cryptocurrency trading?
Leverage serves to increase exposure to cryptocurrency markets, without having to pay the full value of the trading position upfront. With leverage you will only have to deposit a small amount, the margin, to open a position and gain exposure on the market. When you close an open position with leverage, your profit or loss is based on the total size of the trading position.
Leverage can amplify both profits and losses, with the risk of incurring losses that exceed the margin initially invested on a single trade. To trade with leverage, it is therefore important to learn how to use how to manage risk.