Crypto assets, including Bitcoin (BTC), are inherently volatile. The price goes up and down rapidly, as a result of the aura of freedom compared to the capital market. This is where the importance of diversifying your crypto assets.
In the context of trading, crypto asset price fluctuations are unpredictable. When a crypto asset goes down, the asset may go up. So, not all assets will always fall together.
Suppose you have Bitcoin and Ether (ETH). At one time Bitcoin goes up, and Ether goes down or vice versa.
Here you can take advantage of these fluctuations and differences to make a profit.
"For example, by selling Bitcoin which is going up and buying Ether which is going down. If you have many types of assets, then this fluctuation can be very profitable, ” said Tim Remitano, a peer-to-peer crypto asset trading platform.
For those of you who only have one type of crypto asset due to limited capital, this fluctuation can still be used.
It's just that you have to wait for the right selling or buying price. If the price continues to rise, then you can sell it and make a profit from it.
However, if the price drops dramatically you have to be prepared to bite your fingers, if the purchase capital is much greater than the selling price.
In fact, you may experience losses without being able to cover them with other assets.
It is because of this that price fluctuations can be very detrimental for crypto asset users who do not diversify the assets they own.
"Having a variety of different crypto assets can prevent you from serious losses, because there are still other assets that you can rely on or even cover for other asset losses," said the Remitano Team.
Well, they continued, if you have already spent capital to buy just one type of asset and have just thought about asset diversification, you can exchange these assets for various other types of assets without the need to buy from scratch.
Remitano's SWAP feature
The swap feature in Remitano will instantly change one asset to another, so that users don't lose opportunities when asset prices fluctuate highly.
An example of using the swap feature like this. Your Ether (ETH) asset is down in price and the price of an asset like USDT is going up.
"This instant and fast swap feature will allow you to convert Ether (ETH) to USDT," said the Remitano Team.
Of course, the USDT value you get will be adjusted to the amount of ETH being exchanged. By using this swap feature you can get USDT without the need to buy again from scratch and take advantage of the swap proceeds to make a profit.
For those of you who wish to swap, the minimum amount of assets to be exchanged must be more than 20 USDT.
This feature is very easy to do with an additional cost of only 0.25 percent. In Remitano you are also not charged additional fees or free for trading, deposits, and fiat withdrawals until 31 October 2020.
"You also have the opportunity to get free altcoin investment fees in Remitano, if you participate in the Remitano Invest competition with prizes of up to 500 USDT," he said.
For those of you who only have one type of asset, this feature is certainly very profitable, because you at Remitano you don't need to increase capital to buy other crypto assets.
So, simply exchange the assets you have to the assets you want. Use the swap feature now and get the benefits.
Bitcoin tend to decrease in times of hardship in the world at large.