Ultimately, it’s about picking the right battles.. Published · By tradingfanbois
This is one of the most common questions asked by newbie financial traders in the present day. 2017 was a breakthrough year for Bitcoin and cryptocurrencies in general. The sudden surge in the price of Bitcoin placed cryptocurrency on the radar of all individuals that like to invest their money in burgeoning, immature markets.
If you are wondering whether or not you should stick with fx trading across hundreds of forex pairs across majors, minors, exotics and metals, or sample the trading of leading cryptocurrencies like Bitcoin and emerging altcoins, we thought we’d outline the pros and cons of both forms of trading to help you make an informed decision on your trading future.
The pros and cons of cryptocurrency trading
Just in case you are entirely new to the concept of cryptocurrencies, these refer to a medium of digital assets that utilize complex algorithms and cryptography to generate and verify transactions involving these assets.
Pros of cryptocurrency trading
- Bitcoin is starting to build its own history – the leading cryptocurrencies like Bitcoin and Ethereum are only now starting to create their own piece of history in the financial markets. Use cases for these crypto coins are increasing by the day, so there will naturally be a surge in demand.
- Cryptos offer effective diversification and hedging opportunities – financial traders concerned about the value of forex pairs or government bonds can buy cryptocurrencies as an effective way to spread risk or hedge your existing trading portfolio.
- It’s the future of currencies – cryptocurrencies are actually being developed to solve real-world problems for citizens worldwide. It can guard against high inflation, capital controls and extortionate banking fees.
Cons of cryptocurrency trading
- Lack of historical data – given that cryptocurrencies are very new to trading markets, there is not enough historical data for traders to use as key support and resistance levels.
- Volatility – some financial traders like price volatility, but some might say that cryptocurrencies are too volatile and represent an almighty challenge when finding suitable entry and exit points.
- Uncertain market sentiment – although cryptos were on an uptrend in 2017, they have certainly been on a downtrend in 2018. It’s hard to know where they’ll head next.
If you care for high leveraged crypto trading, you’re probably looking for BitMEX as well, keep your cool though.
The pros and cons of forex trading
Trading fiat currencies has been a lucrative proposition for investors that know the right time to enter and exit the markets. However, there are several pitfalls too which we’ll explore below.
Pros of forex trading
- 24-hour accessibility – five days a week, forex traders can enjoy 24-hour access to all forex pairs with real-time pricing, charts and tools available for deployment.
- Market leverage – depending on the broker, some forex traders can use leverage to maximize trading profits by up to 100 times their actual trading bank.
- Unrivaled liquidity – the forex market is undoubtedly the most liquid market in financial trading; it is the easiest market to open and close trades with speed.
Cons of forex trading
- Not ideal for smaller trading banks – in truth, forex trading is largely made up of sizable hedge funds and trading groups. Given the small percentage moves on forex pairs, you need a sizable trading bank to generate respectable returns.
- Unpredictable volatility – forex markets can be just as volatile as cryptocurrencies; there are moments of extreme volatility at times, particularly surrounding political events.
In truth, there is a place for crypto and forex trading in all our trading arsenals. Ultimately, it’s about picking the right battles and knowing the right time to use them when the risk factors are on your side.
BitMEX (10% fee off) @ bit.ly/melancholic-100x
TradingView (~ 50% off in BTC) @ bit.ly/tradingview-moon
Conbase (no offer but you still click this lol) @ bit.ly/plebtier
EthFinex (NEC token rebates for MM) @ bit.ly/ethfinex
TensorCharts @ bit.ly/tensor-charts
Upcoming and current airdrops February 2019
|Name||Date||How to access||Official URL||Additional Info|
|Cryptomillions $CPMS Airdrop||Capped||New crypto airdrop, simple social tasks will get you $8 worth of tokens that will be directly tradable.||join||web|
|COSS Exchange Valentine's Day Airdrop||14 Feb 2019 00:00 GMT+8 - 23:59 GMT+8||This is a special event from the crypto exchange COSS: On Feb 14 only you receive an airdrop of 25 CFT if you make one deposit and trade any cryptocurrency to qualify.||join||more|
|Valentine's Day at CryptoFlower game||14 Feb 2019||This is a special event from the dApp game CryptoFlowers: On Feb 14 only you can grow flowers with special pot and AR flying hearts. These flowers will be rare and can be sold later.||sign up||web|
|Genes Token Airdrop (ERC20)||As available||A tokenized project for genome storage service on the blockchain. You get 5 GENES for commenting on Bitcointalk.||join||web|
|Synchrotron / $STC Airdrop #9||30 weeks of airdrops (Airdrop #9 starts 11 February 2019)||Hybrid PoW/PoS payment cryptocurrency. The team drops 72% of supply (18 MM coins) during 30 weeks of airdrop campaign; there is additional budget for bounties. The bounties are announced on discord server. Each airdrop round runs from Monday 10AM UTC to Friday 10PM UTC. Validation runs weekends and distribution Mondays. You need to download a $STC wallet.||drop rules in this thread||info|
|DSTRA / $DST Airdrop #21||Biweekly, drop #21 runs from 11 Feb 2019||DSTRA is PoS Scrypt Masternode coin with limited supply that will be used in DEX environment and marketplaces. There are airdrops every two weeks, users need to register via discord. Regular payouts verified.||discord||rules|
|Agri Novus Bounty||As available||New blockchain-based project for organic supplies providers and customers. The team will pay out bounties for social media work.||more|
|Tratok Airdrop||February - March 2019||Tratok stands for Travel Token, it is a token of an application to make bookings for travel and hospitality. Follow the Tratok Project on their social media platforms and get 1000 TRAT for each approved action. Tokens distribute 20th March 2019.||join|
|LATOKEN Invite-Only $LA Airdrop||Capped||LATOKEN drops their exchange LA tokens to invited users who verify their e-mail address. LA is a token of a fintech project aiming to setup a distributed trading ecosystem. If you contribute with bounty work you can earn up to 3,140 LA. The token trades actively on the exchange against several cryptocurrencies.||join||web|
|HubrisOne Airdrop Round #5||Weekly (16 weeks of airdrops, each weekly round starts on Tue)||HubrisOne is a financial service that offers personal and business crypto-friendly bank accounts. There is a massive bounty campaign with weekly payouts. The work ranges from social media engagement or Bitcointalk signature to content creation, all must be properly reported. New round starts every Tuesday.||join||web|
|IoT Classic Airdrop (ERC20)||As available||IoT Classic is a decentralized supply chain tracking platform for the internet of things. The developers have background in the supply chain industry and are working on a cloud-based software solution that will make IoT supply chain tracking easy and scalable. The team drops 1,800,000 IOTCL tokens in total for social media follows.||join||web|
|Endpass Testers' Bounty Campaign||As available||Endpass is a new ERC20 wallet that is looking for testers. Everyone who downloads the app and signs up via Bitcointalk and Google form receives 0.1 ETH if they provide constructive feedback, the reward for every reported bug is 0.1 ETH as well. Additionally, there is a Bitcointalk signature campaign.||join||bitcointalk|
|Isibeli / $BEL Airdrop||Capped||New crypto for fast payments. Drops 200 BEL to the first 5000 members who complete simple social media tasks. There is a dubiously big giveaway on the homepage too, be vigilant with this one, don't use your main e-mail to sign up.||join||web|
|PMTC Airdrop||Ends 1 March 2019||A new cryptocurrency written from scratch using PHP, Python and MySQL. Its purpose is a betting system built into blockchain, it currently lives on testnet that needs to be tested. Therefore after signup you'll receive some testnet tokens. You will need to use them on the platform in order to climb in the airdrop ranking to later receive the real tokens.||join||info|
|CoinIMP Airdrop||Capped||CoinIMP is a Monero and Webchain CryptoNight JS web miner that claims to be getting around anti-viruses and adblockers. They are currently in a token sale for a utility token IMP that should be used for payments via the CPM advertising model. A total of 25 million IMP tokens will be distributed among users in an airdrop. You get 500 IMP for a set of social actions: You'll need to sign up, head to the "Buy" section and scroll all the way down.||join||web|
|Cargo Coin Bounty||Weekly||Cargo Coin, a token for transport & logistics with an ICO past the soft cap by now, is having a weekly extensive bounty. It spans from simple retweets to YouTube reviews - make your bounty hunter account and pick your poison.||join||info|
|AllForCrypto (WAVES)||Ends March 2019||A WAVES project for eBay-style marketplace on the blockchain. Drops $20 worth of AFCT, plus they have updated their bounty campaign.||join drop||bounty|