Crypto trading like other types of trade is full of risks and uncertainties. There will be gains and losses and those things are unavoidable because they are the major elements of trade. Therefore, a trader needs to be strategic and well equipped with a lot of tactics. Everyone goes into a trade in order to generate profits from their capital but unfortunately, losses also await and if care is not taken, the whole capital might be lost. This is why before starting a trade, the trader chooses wisely the kind of asset to invest in and trade with. This consideration is very important because, there are some goods (in this case, crypto currencies) which are more lucrative than others and everyone would want to go into the more lucrative ones. Aside that, there are some which has future potentials which means, they might not be as lucrative as expected at the moment but are likely to be in the future judging from the periodic increase in demand for such goods. This is where a trader thinks of buying enough of those goods and storing them for a long term (Especially when they are nonperishable) awaiting when the value will surge. If you are thinking of doing this, think no more Because, BCH is at your disposal.
What I understand about the crypto market is that, it's very different from the normal buying and selling of goods in our actual market where a trader buy a good for a certain amount and sell it at an amount he think is more suitable for him to make profit even without any change in the general market value of such good. The value of crypto currencies is highly volatile. It can go very low or very high within seconds. This is actually what traders use to make profits from their trades. The simple fundamental is to buy at a time when the price seems to have gone relatively low and then sell at a time when the price climbs back to the top. Day traders take advantages of this rise and fall in price and make lots of money.
It is then clear that, coins which do not possess this quality of volatility would not be considered for trading by day traders because they are apparently not lucrative. This is the simple reason why stable coins are rather used in the form of Fiats to escape the volatile market.
There are different trading methods today on exchanges like Future trading, Margin, p2p and spot trading. There is also long term investment and short-term investment/trading like day trading. But when one especially a newbie thinks of going into crypto trading with little capital to easily make profits while avoiding much risk, The best option would be day trading on spot and p2p which allows you to easily purchase crypto at a lower price and resell at a higher price within minutes. The circle could be repeated severally as the little profits gather and amount to something tangible.
But in order for this kind of trade to be easy and convenient enough, the trader seeks specific qualities in the coin(s) to be considered for trading. Some of the questions a trader needs to answer before finally deciding on the coin(s) to choose include;
How Turbulent is this coin? Does the price fall and rise or does it just stay still like a stable coin? For this question to be effectively answered, The price curve for such coin should be carefully observed over a period of time. I have a coin to recommend for you.
How fast will this coin show up in my wallet? If you are a day trader buying a coin on an exchange or from a friend, you would be highly concerned about how long the coin will take to become available in your wallet for use from when you made the purchase. The simple reason is because in day trading, time is money. Within an hour, you could loose an opportunity of making huge profits. Any coin that take forever to deliver is not the best for you but not to worry, I have the most suitable coin to suggest soon.
How much do I have to pay per transaction? Even exchanges charge different fees for different coins depending on the network fees of those coins. As a petty day trader, you would want to maintain very minimum expenses as any much charge might greatly affect you or at worst eat up your capital. Therefore, it is best to go for a coin with very small transaction charges. I have the perfect coin for this.
Since I have been promising to tell you the best coin to choose as a petty day trader, here it is: the coin that would best serve as the answer to the questions above is Bitcoincash (BCH). And below are the reasons.
The turbulence
BCH is a highly volatile coin witnessing a lot of rise and fall in price value per day. The price could spike so high and drop so low within the shortest possible interval. And whenever it drops, it doesn't stay down for long before bouncing back. This makes it a good choice for day trading as the turbulence is an important requirement to make profits.
The Speed
BCH appears in your wallet within five seconds. Which is a very good thing for a day trader wanting to make profits from his/her trades. Sending from a wallet to an exchanges where it has to wait for network confirmations, it mostly appears just after 2 confirmations which doesn't normally take long. If you are to compare this speed with some other coins you would clearly understand what I'm saying and avoid unnecessary frustrations by choosing BCH.
Low fee
BCH has the Lowest fee possible per transaction. You don't have to pay ridiculous fees which could end up swallowing your small profits and even your capital. This happens a lot to traders who ignorantly end up in the hands of BTC and even ETH but with BCH, you are safe as a petty day trader.
You have read it and I believe you understand it. In as much as this is not a professional trading advice, it is sure worthy to be kept in mind.
With its low fees and promising path, BCH is definitely a good choice. Thank you for these good words of yours. :)