Getting involved in the cryptocurrency industry has never been more convenient for the wider public, in particular due to developments made possible by companies that are providing retail services. Bitcoin, Ether, XRP, and other altcoins remain very volatile instruments, creating a proper environment for investing or speculation.
However, uncertainty in the field remains elevated and as it was seen recently, just a negative remark from Turkey’s President sent Bitcoin tumbling. That is just one of the reasons why traders need to be aware of all the possibilities they have to buy or sell. Cryptocurrency trading and exchange come in hand with several differences, some of which are key to understand before entering this market.
Crypto trading vs. crypto exchange
The traditional cryptocurrency exchange process involves people or companies buying tokens via exchange platforms. This is generally used more as a longer-term investment, given commissions and fees are elevated. Those who exchange fiat for crypto do this because they view Bitcoin or other altcoins as assets that can grow in value in the long run, protecting their purchasing power, and even generating potential returns.
On the other hand, cryptocurrency trading does not involve purchasing the underlying instruments. You can trade on crypto CFDs and take advantage only of the price movements over time. Cryptocurrencies are highly volatile assets and although that comes with risks, traders can use the volatility in their own interest with proper tools and techniques.
Why crypto trading is more advantageous today
Cryptocurrency trading has multiple benefits attached, including a higher level of security. Several major hacks have occurred over the past several years, leaving those who stored crypto in wallets without their holdings. The blockchain is an innovative technology, yet even that can’t ensure a strong enough safety net.
To counteract that flaw, brands like Beneffx.com have emerged, providing an alternative in the form of cryptocurrency trading. Traders can open a trading account and on top of the traditional assets like currency pairs, stocks, or commodities, they can diversify with some of the popular tokens in the market, including Bitcoin, Ether, Litecoin, and others.
When trading with Beneffx.com, traders have access to a variety of benefits, including an education center, daily market reviews, 24/6 customer support, Be-online courses, price alerts, and daily analysis videos.
The account opening process is simple and convenient, given a Be-Basic account is now available for a deposit of as little as $250. Beneffx.com wants to be a brand that contributes to the growing popularity of digital assets, now that the financial industry is transitioning away from traditional assets.
Although the crypto market went through a series of volatile cycles since its inception, the bottom line is that digitalization in the financial industry seems to be on a preset course. Also, how governments around the world treat decentralized money like Bitcoin could have a major impact in the months and years ahead.
With all the uncertainties, cryptocurrency trading is the best way to deal with market volatility, as it does not provide an upside bias. Even bearish trends can be taken advantage of. If you make your move in the correct time. Timing is the key in financial market.