Steemit Crypto Academy Season 2 Week 3: Trading and Holding - Two Sides of a Coin

Greeting to everyone (steemians and non-steemians), @busted1 is here again and this time, I will be submitting a post in reference to the assignment by @alphafx. so let's get the ball rolling.

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Do you hold any coins? Talk about the wallet type you prefer/would prefer holding in

YES I hold a lot of crypto assets and i have been holding them for a while now and this includes BNB, TRX, STEEM, DOGE, EOS, and XEM. These coins are held based on different timeframes and I expect to let go off them at different terms since they are investments for me. I see BNB, TRX and STEEM as a long term inverstment as they have a very strong use case such as Exchange, media, and social media. EOS and XEM are medium term investment and Doge as a short term investment.

Going to the wallet I prefer, I prefer Hot wallets to cold wallets for a few reasons;

• Cold wallets such as Trezor, Ledger and so on are expensive
• Hardwares can be lost
• Convinience isn't a advantage with hardware wallets.
• Wallet can be destroyed and private key retrieval can be almost impossible to retrieve.

With the Hot Wallet, I keep my srypto assets in exchange wallets, web wallets and mobile wallets. I ensure to keep coins for long term investment purposes in decentralized wallets where I have access to the private key and the key can be accessed on any other wallet. Short term holdings are left in exchange wallets as they can be traded at anytime when I have a reason to sell them.

With screenshots, show how to perform spot trading on any pair of your choice

For this purpose, i have chosen to use the EOS/USDT. I hold EOS in the past, so it will be easy for me to use this coin as an illustration also, I will be using Binance as the exchange for the trade.

Sign Up/Log in

In other to trade on any exchange, you need to have an account with the exchange. First thing's first, you will have to signup for an account if you do not have one or log in if you have an existing account.

Deposit Funds

After loging into your account, the next step is to deposit the desired coin to trade and in this case, I will be depositing USDT as I want to purchase/buy EOS with USDT. On Binance, there are several options to deposit funds, it can be via credit/debit card, Peer-to-peer trading and deposit from another crypto wallet. I will be using the later (another crypto wallet) and will be depositing USDT (Tether). To deposit, click on the "deposit" button and it is important to copy the right address as sending coins to wrong address means the coins are lost.

Place a Trade

To trade spot, you click on the "market" or the "Trade" button and select which of the spot trading interfaces you want. With Binance, there is the Classic, and the advance interface. after which you search for the coin in the search column. On Binance, the Price chat in the middle, the order book, the trade history, other cryptocurrency, and the order form makes up the trading module.

There is the limit, market, OCO and Stop Limit option of trading. The limit allows you to pick the price to buy or sell, the Market option buys/sells the coin for you at the currenct market price, OCO and Stop-Limit allows you to purchase and set the time to sell at the same time. I will be using the Limit option to trade. click on the preferred price after which you determine the total amount you want to purchase. I will be purchasing 2.43 EOS.

After purchasing, the coin purchased should be found in your wallet.

Holding or trading, which do you prefer and why?

Currently, I do more holding but I am learning how to trade as I want to be able to do both successfully. The ability to use analysis and strategy to know when to buy and when to sell as well as when to hold is a very good one and I am already learning. I must say that in the past, I have been holding coins and this has proven to be profitable for me although, at some point the market wold drop but on the long run the market will always come back to position.