Dec 21, · Bitcoin proved its usefulness in times of crisis, fairing better than any other asset during the COVID pandemic. And, in the past 7 days, Bitcoin and Ethereum . Dec 15, · Bitcoin, Ethereum, Trading A crypto trader and analyst known for turning a couple thousand dollars into $, in a summer trading competition says he’s ready for Ethereum to outpace Bitcoin in the new year. Jan 18, · Although Paxful can be used to trade bitcoins for cash, gift cards, and bank transferred funds, it can also trade one cryptocurrency for another. It supports Litecoin, Dash, Ethereum, Author: Jon Martindale.
Bitcoin to ethereum tradeHow to Trade Ethereum the Next Bitcoin
After all, historical data suggests that BTC typically surges quite a bit several months after going through one of its halvings. There are some who disagree with this, noting that the two are unrelated, and that Bitcoin moves in cycles, with the fact that growth comes after halving being only a coincidence. Others expect the coin to experience a major correction, which may pull it down to some lower levels, potentially even cutting its price in half.
While this might be a possibility, the demand for the coin is higher than ever, and so is BTC price, as the new bull run that was awaited since is finally starting. As for Ethereum, the coin is still tied to Bitcoin itself, and it is unlikely that it will decouple from it anytime soon. But, there is no doubt that ETH has a lot of potential, and that it will likely start attracting even more traders as it progresses towards Ethereum 2.
Crypto Hub. Economic News. Expand Your Knowledge. Forex Brokers Filter. Trading tools. Macro Hub. Corona Virus. Stay Safe, Follow Guidance. World 79,, Confirmed. Fetching Location Data…. Get Widget. Big Week for Bitcoin and Ethereum — The Largest Coins Experience a Strong Price Surge is finally coming to an end, and given everything that happened this year, not a lot of people will be particularly sad that it is ending.
Anissimov Konstantin. And, in the past 7 days, Bitcoin and Ethereum alike saw extremely positive price movement. Ethereum on the rise Similarly to Bitcoin, Ethereum also saw a considerable price increase over the past seven days. Don't miss a thing! Discover what's moving the markets. Sign up for a daily update delivered to your inbox.
The other critical MFI thresholds are 20 and An MFI reading of 20 is considered bullish and oversold. A reading above the 80 level is considered bearish and overbought. The MFI measures the market sentiment giving you signs.
These signs are whether the cryptocurrency is oversold or overbought and to what degree. Using the MFI indicator is probably the most useful measurement of sentiment available to traders. The first rule is that you always want to wait for the Money Flow Index to be in oversold territory. In other words, we need to have an MFI reading below the 20 level.
An extreme MFI reading below 20 suggests that there is very heavy money outflow from Ethereum. As history has repeatedly shown, this information can be used as a contrarian indicator. The MFI indicator is not a standalone indicator. So, in order to use the MFI indicator, we need to check it against other technical indicators.
These are the reason why we also use the MACD indicator. The second rule is to wait for the MACD histogram to turn positive. This is a confirmation that the bullish momentum is starting to build up. Now, we have two rules in place, but these are still not enough to trigger an entry. Indicator-based strategies are very unpredictable. As an extra measure of caution, we also like to wait for the MFI indicator to break above the 50 level before to buy Ethereum.
A reading above the 50 level represents an inflow of money into Ethereum. This is the moment when smart money is stepping into the market. We want to trade alongside smart money to really make a profit trading the cryptocurrency market. In order to minimize our potential loss, we want to place our protective stop loss very close to the market price. At the same time at a price where it should really invalidate our trade signal.
For the Ethereum strategy, the ideal place to hide the stop loss is just below the previous swing low. You can always add a buffer to protect yourself in case of a false breakout.
When it comes to our Ethereum take profit trading strategy we want to cash some profits at the first sign that the market is about to turn against us. Otherwise, we risk given back some of our hard earned gains. The first indication that the market is about to turn is when the Money Flow Index enters into overbought territory. In other words, when the MFI breaks above 80 levels, we take profits.
Use the same rules for a SELL trade — but in reverse. In the figure below, you can see an actual SELL trade example. As you can imagine, the best way to get ETH is to buy it. There are countless cryptocurrency exchanges that will allow you to buy ETH depending where you live and how you would like to pay. You can find some of the top cryptocurrency exchanges and how to buy them here.
As you familiarize yourself with Ethereum and how it functions, who accepts it as currency, etc. There are a handful of companies that accept Ethereum as a form of currency from airlines to pizza shops. Some quick components to remember when it comes to Ethereum is that it is:. Ethereum has fundamental advantages that hopefully will help Ethereum price suppress Bitcoin in the coming years.
Trading Ethereum should only be done with money you can afford to lose. Nobody really knows what the potential is and what the future holds.
Please leave a comment below if you have any questions on how to trade ethereum! Please Share this Trading Strategy Below and keep it for your own personal use! Thanks Traders! We specialize in teaching traders of all skill levels how to trade stocks, options, forex, cryptocurrencies, commodities, and more. Our mission is to address the lack of good information for market traders and to simplify trading education by giving readers a detailed plan with step-by-step rules to follow.
Forex Trading for Beginners. Shooting Star Candle Strategy. Swing Trading Strategies That Work. Please log in again. The login page will open in a new tab. After logging in you can close it and return to this page. Info tradingstrategyguides. Facebook Twitter Youtube Instagram. Best Places to Buy and Sell Cryptocurrency? What is Ethereum? How to Trade Ethereum Buying Ethereum can be extremely simple.
You can buy Ethereum directly with fiat money from the major cryptocurrency exchanges. Top Ethereum Trading Apps Similar to many other blockchains, Ethereum has a native currency called Ether ETH which is that is completely digital which allows it to be sent to anyone around the world with the click of a button, making payments with the ETH currency incredibly efficient and easy.
Trezor: Trezor is one one of the top Ethereum hardware wallets with a high level of security and 2-factor authentication. Users have access to special features like advanced cryptography, and even allows you to edit transaction before sending them out. Coinbase Wallet: Is an Ethereum is another popular mobile browser with a token wallet, chat, and dApp portal.
MyEtherWallet: MyEtherWallet is one of the top Ether wallet where users can access their tokens, loans and investments. Balance: Balance allows users to see their account in Open Finance while keeping track of your tokens, loans and investments.
All we need for this trading strategy is two technical indicators: The MACD — This is a momentum indicator that can help us spot a trend. It measures the money flow into or out of a cryptocurrency. We can use the MFI indicator to trigger entries and to take profits. Step 1: Wait until the Money Flow Index drop below the 20 level.