Trading Crypto On eToro

Founded in 2007, eToro has evolved into a forefront trading platform globally. Catering to diverse trader profiles, the platform attracts both beginners and seasoned investors looking to refine their strategies and garner returns.

The addition of cryptocurrencies marks them as one of the most recent asset classes available on the platform. You now have the option to trade Bitcoin, Ethereum, among other cryptos, using a spectrum of financial instruments. In the US, only actual cryptocurrencies are accessible. Moreover, you can maintain a comprehensive view of your investments, including forex and stocks, via a central, user-friendly interface, supported on mobile devices as well.

Strategies for Trading Cryptocurrencies via eToro

eToro The platform allows investments across multiple cryptocurrencies. Beyond the well-known ones, eToro also supports trades in Binance Cash, Stellar Lumens, NEO, EOS, and other alternative coins. Various trading paths exist on the platform, but generally, these steps are followed:

• Step 1– After setting up an eToro account, choose 'Markets' from the top navigation, and opt for 'Cryptocurrencies'.

• Step 2– The subsequent page reveals all essential investment options connected to cryptocurrencies, which you can sort using the designated icon.

• Step 3– If direct investment isn't your choice, consider eToro's CopyTrader by clicking the emphasized link.

eToro's CopyTrading platform is a forward-thinking and renowned method to engage in cryptocurrency investments, utilizing the insight and proficiency of fellow users. Through different filters, you can identify prosperous traders whose strategies align with your risk profile. Leveraging the platform's automated tools, you can replicate their maneuvers using your capital.

Important: The options below are unavailable in the US.

Here’s a glimpse of cryptocurrency trades offered by eToro:

• Coins – Invest directly in digital tokens, including BTC, ETH, and LTC
• Crypto Crosses – Engage in popular crypto/crypto exchanges like ETH/BTC, ETH/EOS, and BTC/XLM

eToro stands as a secure trading platform with a clear fee schedule. Transactions are completed promptly at the specified rates, maximizing potential earnings. Additionally, you gain access to ample tools and educational materials for successful trade endeavors.

Do Your Research

The cryptocurrency sector, like any field, has specific terminologies and abbreviations. A notable one is DYOR or Do Your Own Research. Although the concept appears straightforward, many beginner traders tend to overlook this crucial step.

Prior to delving into eToro investments, it's wise to become familiar with cryptocurrencies and the investment process. eToro provides a detailed educational hub, and for each tradeable asset, historical chart data is accessible. Understanding this requires basic skills in chart interpretation and keeping abreast of the latest cryptocurrency developments.

Armed with knowledge, you're better equipped to create a robust investment strategy, potentially leading to consistent profits.

What Resources does eToro Provide?

eToro supports traders with an assortment of resources, extending from basic to advanced trading tools. While navigating the world of digital currencies, practical experience becomes essential. For this reason, eToro offers a risk-free demo account valued at $100,000 in virtual currency, simulating a real trading environment without risking actual money.

Those aiming to grasp the long-term trajectory of particular assets can utilize detailed charts with options for Fundamental and Technical Analysis. These analytical strategies, relevant in trend trading, aid in identifying whether a digital token's value is nearing a price reversal.

eToro not only provides educational tools, but also functional resources accessible on desktop and mobile platforms, ensuring a seamless trading experience. one of the best mobile applications for trading on the go.

Determining When to Buy Actual Cryptocurrency Versus a Cryptocurrency CFD on eToro

In investment discussions, the assumption often sways towards purchasing particular assets like Ethereum or Binance Cash coins. While common, this method might not always be the most effective. Asset purchase involves storage and security responsibilities. Traders interested solely in price movement profits should contemplate Cryptocurrency Contracts for Difference (CFDs).

Depending on your location, you may have the choice between acquiring assets and trading CFDs. eToro's stance on this matter is detailed thus:

eToro (UK) Ltd Clients

Long transactions enable the purchase of underlying crypto assets, offering a holistic exposure. eToro UK guide, please click here.

eToro (Europe) Ltd Clients

Short-selling cryptocurrency through eToro's Cypriot subsidiary is equivalent to investing in CFDs. Conversely, engaging in long positions requires acquiring the underlying asset.

eToro Aus Capital PTY Ltd Clients

Clients connected with eToro's Australian branch have access solely to asset acquisition. cryptocurrency CFDs .

Exploiting Stop Loss & Take Profit Strategies for Optimal Outcomes (Including Trailing Stop Loss Insights)

Before finalizing a crypto order on eToro, you can assign automatic thresholds minimizing your risk exposure. Widely endorsed by investment experts, these thresholds offer a critical hedge if a sudden price drop or erratic behavior affects an asset while you're unavailable. The main limits are:

• Stop Loss – Automatically ceases a position if your investment declines beyond a predetermined limit.
• Take Profit – Automatically closes a position once your earnings reach a pre-set profit mark.

Lately, the innovative platform has launched a novel limit termed Trailing Stop Loss (TSL). This feature keeps the position open as long as asset prices climb, automatically closing it upon price decline.

Invest What You’re Willing to Lose

Regardless of whether you engage in cryptocurrency assets or CFDs entailing higher risk, always ensure you invest only what you can afford to lose. Taking on more risk than comfortable can cloud judgment and add stress, an undesirable aspect for any trader.

eToro isn't a deceptive scheme guaranteeing returns. It serves as a trading platform where some individuals succeed financially while others face losses.

HODL

Hodling HODL has become a celebrated term within the crypto community, based on the premise that a digital currency's value will ultimately ascend. During downturns, refrain from rapid selling—rather, continue holding until prices recover.

Diversifying Your Portfolio

Distributing your investment funds across diverse assets can mitigate risks that one misguided choice might deplete your finances. Balancing investment across two or three coins is generally more secure than relying on a single option.

Conquering Fear, Uncertainty, and Doubt

The concluding acronym in this discussion is FUD, referring to fear, uncertainty, and doubt. FUD hampers sound investment strategies, but can be overcome by diligent traders aiming for long-term success. While no instant solution to FUD exists, performing thorough personal research (DYOR) before beginning investments is advisable. Moreover, diversifying investments and preparing for potential losses is key.

In scenarios where you cannot proceed due to geographical or other constraints, consider these recommended CFD platforms by Cryptimi as potential alternatives. eToro eToro functions as a versatile trading platform, facilitating both stock and cryptoasset investments, alongside CFD trading.

Important to remember: CFDs are intricate financial tools and carry a significant risk of rapid money loss due to leverage. 67% of retail investor accounts incur losses when trading CFDs with this entity. Assess your comprehension of CFDs and evaluate your ability to manage the substantial risk of financial loss.

Historical performance is not always indicative of future results. The presented trading history, covering less than five complete years, might not fully inform investment decisions.

Copy trading represents a portfolio management service, delivered by eToro (Europe) Ltd., under the regulation and approval of the Cyprus Securities and Exchange Commission.

Explore the various avenues through which you can dive into cryptocurrency investments using eToro. Alongside, discover essential tips to safeguard your assets and strategies to achieve profitable returns.

This advertisement champions cryptocurrency investments in the EU (via eToro Europe Ltd. and eToro UK Ltd.) and the USA (via eToro USA LLC). Remember, cryptocurrencies are incredibly volatile and unregulated in several EU nations and the UK. There's no EU-level consumer protection, and market risks could lead to potential principal loss.

Chapter 2: Delving Deep Into The Cryptocurrency Marketplace