Cryptocurrency trading apps are a must-have for any serious trader. These apps allow you to trade on the go. There’s no need to be stuck in front of your computer if you need to check rates while traveling. They also offer accessibility that you can’t find anywhere else: even if you don’t have an internet connection. These apps will therefore continue to operate as stored on the phone.
So how do you use crypto trading apps? What are their benefits? And what makes them so much better than conventional cryptocurrency trading tools like web interfaces and desktop software? This guide will answer all those questions and more!
Sign-up for the App
To sign up for a crypto app, you need to:
- Verify your identity. Some apps require users to verify their identities before they can start trading. It is usually an easy process that involves providing essential information and uploading copies of official documents like passports or driver’s licenses.
- Connect your wallet. Most cryptocurrency traders use wallets to store and trade their coins, so linking yours with the app is essential. If it’s not already connected before you start trading via that platform.
- Decide on a coin and investment type, i.e., long term vs. short term. Once you are signed up for an app and have connected your wallet, it’s time to get into the nitty-gritty of setting up an order in which we will buy our first cryptocurrency coin! The most common charges include market orders whereby we specify how much bitcoin we wish to purchase. Limit orders allow us to set ‘buy at price X’ or ‘sell at price Y’ as stop-loss orders.
Verify Your Identity
It is crucial to sign up for an app that allows you to buy and sell on Cryptocurrency Exchange. Before you can begin trading, the app will ask you to verify your identity by taking two photos: one of your passport or driver’s license and one selfie. The app will then check these photos against each other and cross-reference them with any credit cards linked to the account.
This process can take as long as a few days, depending on how fast it takes for the company to verify your information and send back a response confirming its validity. Once done, no further steps are required to use the complete app on all transactions by going through Coinbase directly. Therefore, only those who have passed their KYC verification should be able to access their accounts.
Connect Your Wallet
To start using the crypto app, you need to connect your wallet, like your bank account. Like OKX, which is an Exchange and provides a platform for trading, has a wallet packed in. It is a place where you will store all of your cryptocurrency.
In most cases, your email address is similar to a wallet address. You should also choose a secure and reliable wallet that supports many cryptocurrencies, if possible, to keep track of all of your investments in one place. There are plenty of great options out there; it’s just a matter of choosing one that works well for you!
Once you create your account, you can use it to send/receive cryptocurrency to other people around the world who already own some cryptocurrency too!
Decide on a Coin
When looking for a coin to invest in, you should consider the following:
- Purpose. What is the purpose of this cryptocurrency? Is it meant to be used as a currency or intended for another purpose like Smart contracts or data storage?
- Market capitalization. It refers to the total value of all coins available in circulation. The higher your risk tolerance, the lower your potential investors should be. If you have a low tolerance for risk and want to invest $2k into cryptocurrency, only specific high-risk cryptocurrencies would qualify.
- Liquidity. How easy is it for me to buy and sell this coin? If there aren’t enough buyers out there willing to repurchase my coins at market price when I want them sold, I’m taking on unnecessary risk by holding onto them and vice versa with sellers who might not be able to find buyers all that easy either. A good way around this problem is by choosing exchanges with large liquidity pools to have buyers ready when they need to sell their coins back and vice versa!
Choose Your Investment Type
Now that you’re ready to make your first trade, it’s essential to understand the difference between a market order and a limit order.
Market Orders
You can use Market Orders when you want to buy/sell immediately at the current market rate. So you’re not waiting for an agreed-upon price and can get in on any recent deals right away. Because of this, they are riskier than limited orders because there isn’t time for them to be processed before they strike out of the blue or not. But if you know what prices are going for in real-time, this could be a good option!
Limit Orders
It allows individuals who want more control over their trades to enter into contracts with specific conditions. For example, instead of buying or selling at whatever price is available, these users limit how much they’d like to spend/earn per purchase and then hope that someone else agrees before reaching those requirements themselves!
All these factors are involved in making sure everything goes smoothly from start to finish. It includes setting up accounts beforehand. So it makes sense why many people choose apps instead. They allow users access 24 hours per day without requiring any personal information besides credit card numbers, which can quickly cancel should something go wrong later.
Place Your Order
After you have selected a coin, you can place your order. You will have to enter the amount of money you want to spend and the price you are willing to sell it. If the market is bullish and there are many buyers for this coin, your order might get executed right away or partially implemented.
But if not enough buyers appear on the market, then there’s a chance that your entire order will remain unfulfilled. Instead of selling your coins at that price, they stay in your wallet until a buyer shows up and buys them from you at a lower price than you initially mentioned.
There are two types of orders: limit orders and market orders. A limit order is an action where someone decides how much they want to buy/sell their cryptocurrency. It also specifies how much they expect it to be worth when they sell/repurchase it later, called “Stop-Loss.”
For example: “I have 100 ETH which I want to sell for $1200 each” means that my limit order is $1200 because this is what I think my Ethereum should cost. So if someone offers me more than $1200 per Ether, I’ll accept their offer. Still, only if he provides precisely $1200 per Ether, I won’t receive any more significant than his offer.
Those higher offers would mean that he’ll be able to buy all 100 ETH from me. And since he offered more than what was required, the demand was more substantial than the supply.
Crypto Trading Apps Help You Buy/Sell Cryptocurrency in Simple Steps
You can use crypto trading apps to buy and sell cryptocurrency in simple steps. These apps are available on iOS and Android, so you can download them from the App Store or Google Play Store. Moreover, you can use these apps anywhere across the globe as long as you have an internet connection and an account with a supported cryptocurrency exchange. Most of these apps offer a free trial period for users to try them out before committing to purchase premium membership options.
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