Social Trading in Crypto
Are you looking for an easy way to trade crypto? Well, look no further; Social Trading is exactly what you need. Social trading is one of the fastest-growing trends in cryptocurrency trading, and you need to learn how it works.
This article will tell you everything you need to know about crypto social trading in an easy-to-understand way.
What Is Social Trading?
Social trading is an investment technique where investors or traders can see the trades of other successful traders. It is a simple open trading scheme that lets you benefit from the expertise of others. Traders can see the trades of other investors and replicate them in their own trading account to profit from the same trades.
Anyone can see the trade of those traders who share their trading insights with the public. Exposure to their trades allows new investors to learn more about trading while providing a passive income stream for the original successful trader.
Benefits Of Social Trading in Crypto
Social trading systems help you to diversify your investments by copying real-life traders without having to spend hours researching different market opportunities yourself. You can also use social trading to follow traders who invest in an area that you are interested in but you have no knowledge about.
Social trading presents a great opportunity for anyone who wants to develop their investment strategy and become successful in the markets. By following the strategies of more experienced investors, you can learn to trade successfully and improve your profits over time.
Best Crypto Social Trading Platforms
Crypto Social Trading Platforms are quite popular in the crypto space. However, there are many platforms out there. Trying to find the best Crypto Social Trading Platform can be a daunting task. Below are some of the best crypto social trading platforms:
eToro
eToro offers a social trading platform that allows users to make investments in Bitcoin, Ethereum, Litecoin, and many other cryptocurrencies and equities.
eToro is particularly well-known for its social trading platform, which lets users follow the investment moves of other investors (and copy them) for free. Traders can also choose to share their activity with the public or keep it private.
PrimeXBT Covesting
PrimeXBT Covesting is a social trading platform that gives investors the opportunity to copy-trade leading cryptocurrency traders and makes a profit together. With the platform, users can also connect with each other and share knowledge about cryptocurrency.
The platform offers various cryptocurrencies, including Bitcoin, Ethereum, and Tether, together with fiat currencies EUR, USD, and CNY. It also features a secure cold storage system, advanced API and protocol for fastest order execution, and much more.
Coinmatics
Coinmatics is a crypto social trading platform where users can track live data on the blockchain, create and share personalized portfolios, engage with other members of the community and interact with a built-in exchange to support all your trading activities.
The platform lets you automatically follow and copy trades made by other investors to help you make smarter investment decisions.
Social Trading or Copy Trading?
Copy-trading and social trading are two terms that are often used to describe the same thing, but there are differences between them.
With Copy Trading, you get access to live prices and real-time market data with which you can then place your trade automatically or manually. In effect, you will be conducting a mirror trade to their live account in the hope of making money.
The fundamental idea behind Copy Trading is that you can profit from the investment activities of other more experienced traders. The financial incentive for the trader whose trades you follow could be a flat fee or a percentage of your profits.
However, in social trading, the idea is to create a social network where top traders are able to discuss trading ideas, ask questions, and share their trading strategies with others.
Choosing between them depends on your strategy and level of experience. If you are really just starting out in trading, copy trading is much easier and doesn’t require a lot of effort. However, this comes with a disadvantage as well. If the trader that you’re copying makes a bad trade, you might find yourself losing money too.
Social trading allows a trader or investor to learn from these experienced traders and then make informed decisions about their own investments. However, with social trading, you need to check prices constantly and look for opportunities to make money.
How To Maximize Social Trading In Coinrule
Coinrule offers a unique set of tools and services designed for traders who want to build automated trading strategies. More sophisticated social trading functionalities are coming to Coinrule in the next months.
Today, Coinrule already offers a large selection of customizable trading templates and trading insights to help you to save time and money by optimizing your trading strategy. All trading templates and strategies are prepared by an expert team. In the meantime, Coinrule’s Trading Community actively shares and discusses strategies and market developments in real time.
Conclusion
The crypto market has proven to be a profitable playground for investors. However, it is a complex market and hence difficult to understand. Investors need education and skills before they can trade successfully. Social trading aims to provide the solution in this regard.
Social trading platforms will undoubtedly play an important role in bringing new traders into the space.
What is Coinrule
Coinrule allows you to create trading rules that run automatically across your favourite exchanges.
With Coinrule you can easily develop your own trading rules and strategies and set them up to run automatically. It is the “if-this-then-that” for cryptocurrency trading that allows you to plan your crypto trading rather than having to sit for hours in front of charts. Best of all? No coding skills are required, meaning anyone can use Coinrule.
Sign up for a free trial: coinrule.com
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DISCLAIMER
I am not an analyst or investment advisor. Everything that I provide here site is purely for guidance, informational and educational purposes. All information contained in my post should be independently verified and confirmed. I can’t be found accountable for any loss or damage whatsoever caused in reliance upon such information. Please be aware of the risks involved with trading cryptocurrencies.
