Steemit Crypto Academy |Course By @stream4u - Crypto Margin Trading & Crypto Leveraged Tokens Trading |Homework post by @sikandar5066

in SteemitCryptoAcademy4 years ago (edited)

Snapchat-1355296776.jpg

Hello steemit community!

Hope everyone is doing fine.I have taken this week's lecture and found it quite productive. With each passing day I am learning new things about crypto so without any further delay lets get to homework.

image1-1.pngSource

Q1:What Is Crypto Margin Trading?

Margin trading is type of trading in which you can earn profit very quickly and with the very less investment.Basically margin trading is done by taking a loan from an exchange agency.The market of crypto is gaining more popularity day by day.There are exchange houses which provides this 3x, 5x and much more it also depends on other conditions so basically this means you can trade 3 times or 5times your investment.This is only good if the trade goes into our favour means if we make a profit out of our trade but exact opposite is we can lose everything if loss comes.Margin trading is good for someone who wants to make good profit in a short time just read the graph of the coin last 5 to 15 mints and invest.It is good to not invest your whole capital and don't be greedy otherwise you may face loss.

Q2:How To Plan For Trading In Crypto Margin Trading.

As the crypto margin trading is risky proper planning should be done.The steps are as follows:

  1. Read the market trends completely and do all analysis technical,sentimental and fundamental.

  2. Donot invest your whole capital in one coin.you can do small investments in different coins.

  3. Define your limits when to enter and when to exit and donot stretch those limits.

  4. Define your investment whether it will be a short term or long term investment.

  5. Do research about different exchanges about their fee and charges.

Q3:Crypto Exchanges Name That Provide Margin Trading Service and What Margin They Provide?

There are many exchangers who provide margin trading services with different ranges.

• Binance is one of the most popular exchanges and it provides this margin trading service and can give margin upto 125x in largecap cryptocurrencies.

• Stormgain also provides this service and it gives upto 200x of large cap cryptocurrencies.

• Kraken also provides this service and gives upto 5x in largecap cryptocurrencies.

• Poloniex also provides this service and offers margin upto 2.5x.

• Bitmax can provide upto 100x leverage.

Q4:What Is Leveraged Tokens Trading?

Leveraged token trading is type of trading in which different exchanges provides their service and offer leverages,these leverage percentages may vary for different exchanges.These are type of crypto assetts which cannot be kept in crypto wallet.Different exchanges may have unique tokens like bull which tells the upward trend and bear which shows downward trend.
You can earn profit in this trading if your prediction is correct but can face loss if it goes wrong.Holding would not be a good choice in this trading.They are not a good choice for saving but instead buying and selling is preferable.People without experience can face a loss but can invest a small amout to know the drill.

Q5:How To Plan For Trading In Leveraged Tokens?

As any process must require a planning so steps are as follows.

  1. Study the market and know the trend.

  2. Must have experience in crpto.

  3. Limits must be defined where to enter the market and where to exit.

  4. Dinot invest your all capital.

  5. Keep monitoring.

  6. Keep aside your emotions while trading.your decisions should not be based on emotions.

Q6:Crypto Exchanges Name That Provide Leveraged Tokens Service and What Margin They Provide In Leveraged Tokens?

There are different exchanges which provides this service but their leverages margin may differ.

• KuCoin provides upto 10x leverage margin.

• Huobi provides upto 5x leverage margin.

• Binance provides upto 4x leverage margin.

• Kraken provides upto 5x margin.

Q7:Price Forcast For Crypto Assets XXXXXX. (This is similar question from last course, take any Crypto Assets Chart graph, as per its current price and its market trend predict its future price for only next week, what will be its future price for next 1 week.You can predict for any direction up or down but explain it properly on what basis you have predicted the price. What will be the possible low level and high level fornext week.).

Today I will be choosing BNB/USDT for the prediction and how it will perform for the next week.You will study the back history of the coin that how coin has performed in the past and read the market trends.

Screenshot_20210506-035256_Binance.jpg

This is the last 1 week graph of BNB.As you can see that this is in upward trend and price is increasing day by day.We can also see and analyze last one day graph.

Screenshot_20210506-035308_Binance.jpg(These screenshots are taken from Binance application)

Its current price is almost $650 and it is predicted that it will hit $800 by next week keeping in view its and market cap is increasing with each passing day.

Conclusion

From this weeks lecture I have understood about margin trading and leveraged token trading and how these trades are performed and how much risks do they carry.There are exchanges which provides these facilities.

Thats it from my side.I hope I have justified my points.

Special Mention

@stream4u

Sort:  

Thank you for joining The Steemit Crypto Academy Courses and participated in the Homework Task.

Donot invest your whole capital in one coin.you can do small investments in different coins.

yes i agree with these line, always try to invest in multi coins to make profit , investment one place always also give stress

  • need more explanation in some points to explore the answer ,so hope you will explain more detail in next class

thank you very much for taking interest in this class

Remarks : this user has SP below 100

@yousafharoonkhan - this person does not have the required 100 SP and so is not eligible for a vote.

Please check that students have 100 SP before grading. Thank you

@yousafharoonkhan sir please can you guide me about this rule of 100SP was from previous week or it is from this week?

@steemcurator02 respected sir i think this rule of 100SP is introduced this week.
This homework was from previous week I didnot know about this rule.I have powerup myself now SP is more than 100.
I had scored 6 in this homework.