Top 5 Trading Secrets to Make You a Better Crypto Investor.
From indicators you should look out for to software to help in your decision making, these 5 will make you a better crypto trader
You’ve heard some YouTube gurus make over 100% a month with scalping and trading strategies. They claim to provide you with “trading secrets” that will make you money. However, I’ve found them to be unuseful and unreplicable. Some of them are good, most of them are really bad. In this article, Fortune Coin (FOC) will show you 5 actually useful trading secrets to make you more money in your crypto portfolio.
1. Trading View Super Trend
This is hands down my favourite secret of them all. This algorithm tells you when to buy and sell crypto or stock. From my experience, it’s been pretty reliable and uses the various moving averages to provide an approximate time to execute trading decisions. For high-frequency trading, you could consider adding this under your tool belt.
To access this free tool, sign up for an account on TradingView. It’s a useful website where you will be able to draw trendlines and chart patterns.
In order to access super trends, select Indicators and strategies on the top bar.
Next, type in Super Trends. I use the one scripted by “KivancOzbilgic” but you can test out others that use different indicators to establish trendlines. You can click on the right side to read more about how it was scripted.
With this script, you will be able to note the best times to buy and sell your assets.
2. Relative Strength Index
The Relative Strength Index (RSI) is a very important indicator for cryptocurrency trading. The RSI measures momentum, which is a huge factor for a cryptocurrency’s price action. Momentum is the velocity that an asset is moving at; or in simpler terms, that which goes up is likely to keep going up and that which goes down will keep going down.
The RSI is on a scale of 0 to 100, with 100 telling us that an asset is heavily overbought and 0 indicating that the asset is heavily underbought. However, most analysts start to take note of assets when values rise above 70 and dip below 30.
A rise of RSI above 70 may signal a potential downside in price, while a dip below 30 may signal a rise in price.
As seen in the graph above, when the RSI broke over 70 (demarcated by the purple region in the bottom) the price eventually trended downwards.
However, note that 70 and 30 are arbitrary figures, and different assets have different limits before reversal.
To access RSI, simply head to TradingView’s Indicators and type in RSI.
I would pick the Built-In indicator. Check out various renditions of RSI and see which works best for your asset.
3. Find out what the rich people are buying
The truth is that those at the top have more access to information and insider information. They are more likely to know what to invest in and when.
Thankfully, blockchain democratises this information by allowing everyone to find out what these poeple buy.
Firstly, head to Etherscan. It is the block explorer of Ethereum and allows you to explore everything from ERC20 tokens to ETH holders.
Next, select the tab “Blockchain” and click on “Top accounts”. These are the accounts with the most Ethereum.
After clicking “Top Accounts”, you should be redirected to a page with various wallet addresses holding ETH. For instance, the biggest holder of ETH controls 6.65% of ETH. That would make his total value of Ethereum worth more than $27 billion USD.
To find out what that account purchased, simply click on the wallet address. It should bring you to this next page where all the available information about this address can be viewed.
At the bottom, select either “ERC20 Token Txns” or “ERC721 Token Txns” to find out what tokens he/she/they are buying! Note that ERC721 are NFTs, while ERC20 are tokens.
For instance, this billionaire is buying Flower, KODA, and SFT Non-Fungible Tokens.
We can also check out the various ERC20 tokens being bought/sold.
TO clarify, “IN” tells us that it was purchased by the wallet holder, while “OUT” tells us that it was being sold.
This can be also replicated on BSC scan (Binance block explorer), as it has the same user interface.
4. Find coins before they become mainstream
If you would like to buy coins and tokens before they are launched to the public, you’ll want to check out the ICO calender by CoinMarketCap. ICO is an abbreviation of Initial Coin Offering. It is the period where investors are able to purchase a coin at a fixed price before it is launched into the exchange market.
Simply browse ongoing and upcoming coins that are about to be launched.
For instance, this calendar tells you that BETA finance has launched its ICO and you will be able to purchase it on Binance. Typically, projects with higher goals tend to perform better due to its scale.
5. Pay attention to the Fear & Greed index
The Fear & Greed index is a compounded indicator of momentum, volatility, strength, and other various indicators. It provides an estimate of whether the asset is experiencing greed or fear. 100 denotes extreme greed, while 0 denotes extreme fear.
A 2018 study saw that downward price movements are strongly correlated to higher Fear & Greed scores in Bitcoin.
In essence, if you note that the Fear & Greed index has been trending greedy for a long time, it could be a good time to sell.
Bonus: Follow the Fortune Coin (FOC) Telegram group
In the Fortune Coin (FOC) Telegram group, we share various coins and tokens to watch before they pump. Our recent watchlist COTI, has already gained almost 100% since our announcement.
Simply follow us with this link.
In this group, you will also learn various tricks and gain access to free classes to boost your crypto knowledge. You can also follow the Fortune Coin (FOC) Twitter where we’ll share tweets on our watchlist and crypto news.
Conclusion
Crypto investing is a complicated field where there’s so much to learn. These 5 tricks are the few easiest ways for you to see the most improvements in your trading. If you are looking at new cryptocurrencies for you to 10x your portfolio, check out this article on new altcoins.
Note that investing is extremely risky and you should always perform your own research. This article is purely educational and not financial advice.
