trading

The Pros and Cons of Crypto Investing and Trading

Trading
Cryptocurrency
• Digitex
May 5, 2021

Wondering how to capitalize on the crypto bull market’s gains?

To achieve that, you can choose between two main methods: to invest in digital assets for the long run or day trade crypto to generate short-term profits.

In this article, we will explain the main differences between the two approaches while introducing the pros and cons of each.

What Are the Pros and Cons of Long-Term Crypto Investments?

One of the easiest ways to gain exposure to the crypto market is by investing in digital assets for the long term.

With this strategy, you buy and hold cryptocurrencies for at least several months (or even multiple years) and later sell them for a profit after their prices have increased to a satisfactory level.

While the investment approach doesn’t take short-term price movements into account, it requires investors to leverage fundamental analysis, in which they carefully research digital assets to select the most promising ones.

Since crypto investing is a long-term strategy, it comes with only a few monthly or yearly trades, which can save you time as well as provide tax benefits in some jurisdictions. For the same reason, less paperwork is required to report investment-related income.

Also, it’s easier for beginners to get started as they don’t have to learn how to use various technical analysis tools and implement them into their crypto trading strategies.

Moreover, investment strategies like dollar-cost averaging (DCA) – in which one invests a fixed amount of funds in an asset at regular intervals (e.g., $100 on the first day of each month throughout a year) – can remove the extra legwork needed for attempting to time the market.

On the flip side, investing for the long-term in crypto is not suitable for making regular or a full-time income.

While crypto investment is usually considered safer than day trading, you face higher risks with this strategy if you fail to research projects properly (or if you don’t do any research).

Furthermore, while you can make a decent income in the long run with this strategy, crypto investors usually miss out on multiple short-term profit-making opportunities.

What Are the Pros and Cons of Day Trading Crypto?

Unlike investing, day trading crypto involves entering and exiting positions more frequently with the goal to generate profits on short-term price movements.

For that reason, this approach requires increased time to monitor markets, especially if you are using a high-frequency trading strategy like scalping.

On the other hand, unlike with investing, you can leverage day trading to capitalize on short-term opportunities to make profits.

And, if you are a successful trader, you can even use this strategy to generate regular, potentially full-time, revenue.

Instead of fundamental analysis, traders incorporate multiple technical analysis tools and indicators into their crypto trading strategies to study trends as well as identify and interpret signals.

For that reason, mastering day trading is often a more challenging task than learning how to invest in cryptocurrency in the long run.

Unlike investors who can just wait out short periods of volatility, traders are more affected by emotions like fear, greed, and hope, which often influence their decisions negatively.

Day trading usually involves more risks than long-term holding, so it’s crucial for traders to learn how to manage and minimize them to maintain profitable trades.

That said, with effective risk management and the ability to keep your emotions under control, day trading crypto can become a lucrative strategy to capitalize on the rising digital asset market.

On top of that, day traders can amplify their gains from successful trades by trading Bitcoin with leverage.

Invest and Trade Crypto on Digitex

Both investing and day trading are viable approaches to gain exposure to the fast-growing digital asset market.

While investment focuses on generating long-term revenue, day trading aims to capture profits from numerous short-term trades.

In addition to its Bitcoin futures exchange, the next-generation crypto trading platform Digitex has recently opened access for its users to spot markets as well.

As a result, you can now leverage both investing and day trading strategies to generate potential profits on cryptocurrencies on Digitex.

Oh, and we almost forgot to mention: since Digitex completely eliminates trading fees, you can keep 100% of your profits on the platform.

Sounds fantastic, right?

Open an account at Digitex now!

May 5, 2021
Trading
Cryptocurrency

The Pros and Cons of Crypto Investing and Trading

Digitex
trading

Wondering how to capitalize on the crypto bull market’s gains?

To achieve that, you can choose between two main methods: to invest in digital assets for the long run or day trade crypto to generate short-term profits.

In this article, we will explain the main differences between the two approaches while introducing the pros and cons of each.

What Are the Pros and Cons of Long-Term Crypto Investments?

One of the easiest ways to gain exposure to the crypto market is by investing in digital assets for the long term.

With this strategy, you buy and hold cryptocurrencies for at least several months (or even multiple years) and later sell them for a profit after their prices have increased to a satisfactory level.

While the investment approach doesn’t take short-term price movements into account, it requires investors to leverage fundamental analysis, in which they carefully research digital assets to select the most promising ones.

Since crypto investing is a long-term strategy, it comes with only a few monthly or yearly trades, which can save you time as well as provide tax benefits in some jurisdictions. For the same reason, less paperwork is required to report investment-related income.

Also, it’s easier for beginners to get started as they don’t have to learn how to use various technical analysis tools and implement them into their crypto trading strategies.

Moreover, investment strategies like dollar-cost averaging (DCA) – in which one invests a fixed amount of funds in an asset at regular intervals (e.g., $100 on the first day of each month throughout a year) – can remove the extra legwork needed for attempting to time the market.

On the flip side, investing for the long-term in crypto is not suitable for making regular or a full-time income.

While crypto investment is usually considered safer than day trading, you face higher risks with this strategy if you fail to research projects properly (or if you don’t do any research).

Furthermore, while you can make a decent income in the long run with this strategy, crypto investors usually miss out on multiple short-term profit-making opportunities.

What Are the Pros and Cons of Day Trading Crypto?

Unlike investing, day trading crypto involves entering and exiting positions more frequently with the goal to generate profits on short-term price movements.

For that reason, this approach requires increased time to monitor markets, especially if you are using a high-frequency trading strategy like scalping.

On the other hand, unlike with investing, you can leverage day trading to capitalize on short-term opportunities to make profits.

And, if you are a successful trader, you can even use this strategy to generate regular, potentially full-time, revenue.

Instead of fundamental analysis, traders incorporate multiple technical analysis tools and indicators into their crypto trading strategies to study trends as well as identify and interpret signals.

For that reason, mastering day trading is often a more challenging task than learning how to invest in cryptocurrency in the long run.

Unlike investors who can just wait out short periods of volatility, traders are more affected by emotions like fear, greed, and hope, which often influence their decisions negatively.

Day trading usually involves more risks than long-term holding, so it’s crucial for traders to learn how to manage and minimize them to maintain profitable trades.

That said, with effective risk management and the ability to keep your emotions under control, day trading crypto can become a lucrative strategy to capitalize on the rising digital asset market.

On top of that, day traders can amplify their gains from successful trades by trading Bitcoin with leverage.

Invest and Trade Crypto on Digitex

Both investing and day trading are viable approaches to gain exposure to the fast-growing digital asset market.

While investment focuses on generating long-term revenue, day trading aims to capture profits from numerous short-term trades.

In addition to its Bitcoin futures exchange, the next-generation crypto trading platform Digitex has recently opened access for its users to spot markets as well.

As a result, you can now leverage both investing and day trading strategies to generate potential profits on cryptocurrencies on Digitex.

Oh, and we almost forgot to mention: since Digitex completely eliminates trading fees, you can keep 100% of your profits on the platform.

Sounds fantastic, right?

Open an account at Digitex now!

Latest News

Trading Strategies

Crypto Trading Strategies: The Ins and Outs of Scalping

Digitex Futures
Trading
• Christina Comben
April 2, 2020

We’ve looked at various different crypto trading strategies in recent articles. Any trader in this volatile space has a plethora of paths to choose when deciding how best to execute. Since all crypto trading strategies are different, we thought we’d take a closer look at Digitex Futures CEO’s favorite ones, including day trading and scalping.

Different Styles of Futures Trading

Traders with a high tolerance to risk will look to pursue strategies that may make other retail traders uncomfortable. These can include buying futures on margin or keeping positions (long or short) open for extended periods of time, sometimes even years.

These types of actions can certainly magnify a trader’s profits. But they can also be extremely risky. A wrong call can see them liquidated with hefty losses.

Advanced futures trading styles often rely on hefty fundamental analysis, whereas shorter-term styles such as day trading and scalping look at technical analysis and charts. Of all the crypto trading strategies out there, Digitex Futures CEO Adam Todd prefers scalping as it gives him less exposure to risk but still a good chance of making a profit when conditions are right.

What Is Scalping?

Scalping is the most labor-intensive and aggressive style of day trading. Scalpers look to take advantage of even the smallest of price fluctuations, sometimes holding a position open for a very short time of just a few minutes or even seconds. The main aim of scalpers is to buy low and sell slightly higher for profits sometimes only the equivalent of a few cents.

The name of the game is focusing on reducing losses rather than, as Adam calls it, “riding the winners.” Scalpers will open and close multiple positions in one day with the aim of racking up lots of profits from many places; rather than act on one large swing trend or pattern. Adam explains that in order to be a successful scalper, your trades should be as short as possible: “I discovered that the longer I held a position, the bigger the risk that my position would turn into a loser,” he said.

It’s vital to be disciplined as a scalper and to leave your emotions out of trading. In fact, according to Adam, it’s better if you don’t know anything about the underlying asset at all.

“Short-term scalping requires no fundamental knowledge of the underlying instrument on which you’re trading. As soon as you have entered a position you’re looking to exit it, hopefully with a one or two tick profit but willing to scratch it or lose a tick without any emotional attachment to the trade.”

Scalping Trading – The Ins and Outs

Scalping requires full concentration from the trader. We’re talking about continuous monitoring of the screens and profiting from even the smallest of price changes. If you’re reading your emails or checking social media, you’ll likely fail to see success. According to Investopedia, scalping is “A fast-paced activity for nimble traders. It requires precision timing and execution.”

Scalpers focus on time frame interval charts like the one-minute and five-minute candlestick charts and look out for certain momentum indicators. These could be the relative strength index (RSI), the moving average convergence divergence (MACD), or stochastic. Price chart indicators are also commonly used to identify support and resistance levels.

One of the biggest mistakes a scalper can make according to Investopedia (and echoed by Adam’s words) is late exits (holding a position open for too long). This exposes them to more risk and can turn a profitable day into a losing one if they get caught out in the wrong position. Since scalping generates high commission fees from extensive trading, successfully scalping is currently almost impossible in today’s cryptocurrency markets.

Want to try your hand at trading commission-free on the Digitex Futures exchange? With the beta version handling insane volume, you can practice your skills on our trading ladder interface and hone your strategy before the mainnet release on April 27, 2020.

JOIN NOW
Scalping on Digitex Futures

At Digitex Futures, we want to see all types of crypto trading strategies used so that we appeal to a wide net of traders. However, one of the main things we are looking forward to when we come to market is to at last stop punishing our most active traders, the ones who provide liquidity to the market with commission fees.

As Adam said, “As a scalper, I shouldn’t be paying a percentage of the notional value of the underlying instrument. I’m providing liquidity and should be encouraged, not squeezed out of the market entirely.”

Since we will charge no maker or taker fees on any trade, scalpers will be able to enter and exit as many positions as they like. They’ll be able to make a real living out of aggressive day trading without worrying about how much they have to give back to the house.

Do you want to stock up on DGTX tokens ahead of the mainnet launch? You can head over to the Digitex Treasury for a trustless transaction with zero slippage and completely KYC-free now.

BUY DGTX

 

April 2, 2020
Digitex Futures
Trading

Crypto Trading Strategies: The Ins and Outs of Scalping

Christina Comben
Trading Strategies

We’ve looked at various different crypto trading strategies in recent articles. Any trader in this volatile space has a plethora of paths to choose when deciding how best to execute. Since all crypto trading strategies are different, we thought we’d take a closer look at Digitex Futures CEO’s favorite ones, including day trading and scalping.

Different Styles of Futures Trading

Traders with a high tolerance to risk will look to pursue strategies that may make other retail traders uncomfortable. These can include buying futures on margin or keeping positions (long or short) open for extended periods of time, sometimes even years.

These types of actions can certainly magnify a trader’s profits. But they can also be extremely risky. A wrong call can see them liquidated with hefty losses.

Advanced futures trading styles often rely on hefty fundamental analysis, whereas shorter-term styles such as day trading and scalping look at technical analysis and charts. Of all the crypto trading strategies out there, Digitex Futures CEO Adam Todd prefers scalping as it gives him less exposure to risk but still a good chance of making a profit when conditions are right.

What Is Scalping?

Scalping is the most labor-intensive and aggressive style of day trading. Scalpers look to take advantage of even the smallest of price fluctuations, sometimes holding a position open for a very short time of just a few minutes or even seconds. The main aim of scalpers is to buy low and sell slightly higher for profits sometimes only the equivalent of a few cents.

The name of the game is focusing on reducing losses rather than, as Adam calls it, “riding the winners.” Scalpers will open and close multiple positions in one day with the aim of racking up lots of profits from many places; rather than act on one large swing trend or pattern. Adam explains that in order to be a successful scalper, your trades should be as short as possible: “I discovered that the longer I held a position, the bigger the risk that my position would turn into a loser,” he said.

It’s vital to be disciplined as a scalper and to leave your emotions out of trading. In fact, according to Adam, it’s better if you don’t know anything about the underlying asset at all.

“Short-term scalping requires no fundamental knowledge of the underlying instrument on which you’re trading. As soon as you have entered a position you’re looking to exit it, hopefully with a one or two tick profit but willing to scratch it or lose a tick without any emotional attachment to the trade.”

Scalping Trading – The Ins and Outs

Scalping requires full concentration from the trader. We’re talking about continuous monitoring of the screens and profiting from even the smallest of price changes. If you’re reading your emails or checking social media, you’ll likely fail to see success. According to Investopedia, scalping is “A fast-paced activity for nimble traders. It requires precision timing and execution.”

Scalpers focus on time frame interval charts like the one-minute and five-minute candlestick charts and look out for certain momentum indicators. These could be the relative strength index (RSI), the moving average convergence divergence (MACD), or stochastic. Price chart indicators are also commonly used to identify support and resistance levels.

One of the biggest mistakes a scalper can make according to Investopedia (and echoed by Adam’s words) is late exits (holding a position open for too long). This exposes them to more risk and can turn a profitable day into a losing one if they get caught out in the wrong position. Since scalping generates high commission fees from extensive trading, successfully scalping is currently almost impossible in today’s cryptocurrency markets.

Want to try your hand at trading commission-free on the Digitex Futures exchange? With the beta version handling insane volume, you can practice your skills on our trading ladder interface and hone your strategy before the mainnet release on April 27, 2020.

JOIN NOW
Scalping on Digitex Futures

At Digitex Futures, we want to see all types of crypto trading strategies used so that we appeal to a wide net of traders. However, one of the main things we are looking forward to when we come to market is to at last stop punishing our most active traders, the ones who provide liquidity to the market with commission fees.

As Adam said, “As a scalper, I shouldn’t be paying a percentage of the notional value of the underlying instrument. I’m providing liquidity and should be encouraged, not squeezed out of the market entirely.”

Since we will charge no maker or taker fees on any trade, scalpers will be able to enter and exit as many positions as they like. They’ll be able to make a real living out of aggressive day trading without worrying about how much they have to give back to the house.

Do you want to stock up on DGTX tokens ahead of the mainnet launch? You can head over to the Digitex Treasury for a trustless transaction with zero slippage and completely KYC-free now.

BUY DGTX

 

Latest News

scalping

Bitcoin Day Trading Tips: How To Profit From Scalping?

Digitex Futures
• admin
March 8, 2020

Digitex CEO Adam Todd has made his career on the back of a trading technique called scalping. It’s a highly successful futures trading strategy for short-term traders – under the right conditions. When the conditions are right, you can learn to win at scalping in any market. Here, Adam shares his tips and insights for how to implement your own winning scalping trading strategy. 

Minimizing Risk and Trading Short-Term

As a successful futures and sports betting trader, my trading style was always focused more on avoiding losing trades than on riding the winners. And the way I did that was to make my trades as short-term as possible. I discovered that the longer I held a position, the bigger the risk that my position would turn into a loser. 

There seemed to be a direct link between my success, and how little time I held a position before going flat again. The shorter the amount of time in a position, the better chance I had of that trade not being a loser. This was most likely due to the nature of my trade selection process which was to be flat for most of the time, occasionally darting in and out of the market stealing single tick profits from larger moves when momentum picked up.

My scalping strategy basically involved judging when the momentum is high enough to keep the move going for another 30 seconds. If I didn’t get at least a single tick profit within that timeframe there was no reason to stay in that trade.

Successful Scalpers Don’t Get Tied Up Learning About the Asset

As a young pit trader, I had no idea what a Bund futures contract actually was or why it moved around so much. Later, as a sports betting trader, I wouldn’t even know the name of the horse on which I was placing and laying hundreds of bets. Yet, I would go weeks and sometimes months of full-time trading as a scalper without having a single losing day. 

Short-term scalping requires no fundamental knowledge of the underlying instrument on which you’re trading. As soon as you have entered a position you’re looking to exit it, hopefully with a one or two tick profit but willing to scratch it or lose a tick without any emotional attachment to the trade. 

This style of ultra short term, manual trading is labor-intensive and requires the full concentration and attention of the trader. You can’t be checking emails and looking on Facebook and reading random crypto trading articles while you’re scalping to win. 

Besides, you don’t need to know what’s going on out there. It doesn’t matter why a price is moving when you’re a scalp trader because whichever way it goes you’re going to be following it. 

Scalping shouldn’t be a contrary style of trading because the active approach means you can get yourself in a huge mess very quickly. The safest style of scalping is simply following the price, jumping in when momentum is at its highest and then getting out quickly. 

It’s actually better to have no opinion or knowledge of the long term price direction of the underlying instrument so that it doesn’t affect your ability to go against that opinion in these short term scalp trades.

How Fees Ravage Profits

The scalping style of trading described here is the easiest to learn, requires no specialized knowledge about the underlying instrument and will give you steadier, less volatile results. But the big problem is that this style of trading is particularly susceptible to the ravages of the maker and taker fee model of crypto futures exchanges. 

It was possible for me to successfully scalp trade traditional futures markets in this manner because the futures tick value of one tick on the Bund was 25 Deutsch Marks and the commission to buy and sell one futures contract was less than 3 Deutsch Marks and I got a scratch trade rebate every time I bought and sold at the same price. 

All I had to do was make one tick for every 10 round turns to break even, and anything I made over that was profit. It was a lot harder than it sounds. But it was possible because the commission fee to buy and sell one futures contract was one-tenth of the value of one tick. 

However, the taker fee model used on every other crypto futures exchange has established commissions that are astronomically high. Currently, my style of short term scalping to win is literally impossible. The commission cost of buying and selling one futures contract with a taker order is more like ten times the value of one tick. 

That’s absolutely crazy. It’s literally impossible to beat odds like that running against you. At the exact moment you enter a trade, you’re ten ticks offside already. There’s a built-in mechanical edge that you cannot beat, and which guarantees you will lose over the long run. 

On BitMEX, the taker fee is 0.075% of the notional value of the underlying instrument. That may look small, but if you’re trading with 100x leverage that’s actually 7.5% of the margin you put down to enter the trade. If you exit the trade with a Taker order then your trading fees are 15% of the order value! 

For example, total fees on a $1,000 trade with 100x leverage are $150 [100 x $1,000 x 0.00075 x 2]. How can you ever expect to beat a 15% edge working against you?

Want to buy DGTX ahead of the mainnet launch? You can do it easily and straight from us through the Digitex Treasury. We offer an instant trustless transaction with no slippage and no need to go through an exchange. Simply click below.

BUY DGTX

A typical trade for a short term scalper might go like this: the price starts moving fast so I enter a trade quickly with a taker order that either smash the bid or lifts the offer. Then I immediately place a maker order to join the bid or offer to get out. If it’s not filled within seconds then I’ll cancel that and lift the offer or hit the bid with another taker order to exit the trade. 

I entered the trade with a taker order so now I need to make ten ticks just to break even. And if I exit the trade with a taker order I’ve got to make 20 ticks profit just to break even. That’s just impossible for a short-term scalp trade. 

I can still place trades as maker orders only but it’s impossible to trade profitably when you’re limited to only maker orders. This is especially true in very volatile markets – like crypto – and you will constantly not be getting filled on the good moves. 

Simply put, the maker fee and taker fee model generates large commissions for the exchange and makes it impossible for profitable short-term scalping. A huge number of traders are unable to participate and the massive liquidity they would provide is suffocated by the exchange’s need to charge high fees on turnover. 

As a scalper, I shouldn’t be paying a percentage of the notional value of the underlying instrument. I’m providing liquidity and should be encouraged, not squeezed out of the market entirely.

How Digitex Enables Profitable Scalp Trading

The Digitex Futures exchange will be a short-term trader’s paradise. With absolutely no trading fees of any kind on taker orders, traders will be free to pursue day trading futures strategies like scalping that are not viable anywhere else, creating massive liquidity in the process. 

That liquidity won’t be constantly drained by the exchange in the form of commissions. Instead, it will continue to churn around in the trading ecosystem until it is won by the better traders. As a result, the chances of becoming a winning scalp trader on Digitex will be far higher because we’re not siphoning off commission fees as percentages of the notional value of traded contracts. 

The viral marketing potential of a futures exchange that doesn’t have any built-in mechanical edge working against its traders is massive. The effective deployment of user-generated content combined with viral marketing techniques will create a very large and active userbase, further increasing liquidity. As a result, the DGTX token will efficiently capture the full value of this large network of active DGTX users. 

Living a Traders Dream

Successful trading is a dream of many millions of people and Digitex wants to help make many of those dreams come true. When the Digitex Futures exchange launches I hope that many thousands of people will experience the unbridled freedom and excitement of becoming a profitable short-term trader who gets to live a lifestyle that most people will only dream of. 

Imagine if you can consistently make $50 a day or $200 a day or $500 a day from trading? How much would that change your life and the lives of everyone around you for the better? 

From the mainnet launch on April 27, there will exist a mainstream futures exchange whose mission statement is not to maximize profits but to create more winning traders. A trading environment with absolutely no trading fees is coming soon – don’t miss this opportunity to transform your life by finally enjoying a level playing field where the odds aren’t automatically stacked against you from the start.

Want to try your hand at trading commission-free on the Digitex Futures exchange? With the beta version handling insane volume, you can practice your skills on our trading ladder interface and hone your strategy before the mainnet release on April 27, 2020.

JOIN NOW

March 8, 2020
Digitex Futures

Bitcoin Day Trading Tips: How To Profit From Scalping?

admin
scalping

Digitex CEO Adam Todd has made his career on the back of a trading technique called scalping. It’s a highly successful futures trading strategy for short-term traders – under the right conditions. When the conditions are right, you can learn to win at scalping in any market. Here, Adam shares his tips and insights for how to implement your own winning scalping trading strategy. 

Minimizing Risk and Trading Short-Term

As a successful futures and sports betting trader, my trading style was always focused more on avoiding losing trades than on riding the winners. And the way I did that was to make my trades as short-term as possible. I discovered that the longer I held a position, the bigger the risk that my position would turn into a loser. 

There seemed to be a direct link between my success, and how little time I held a position before going flat again. The shorter the amount of time in a position, the better chance I had of that trade not being a loser. This was most likely due to the nature of my trade selection process which was to be flat for most of the time, occasionally darting in and out of the market stealing single tick profits from larger moves when momentum picked up.

My scalping strategy basically involved judging when the momentum is high enough to keep the move going for another 30 seconds. If I didn’t get at least a single tick profit within that timeframe there was no reason to stay in that trade.

Successful Scalpers Don’t Get Tied Up Learning About the Asset

As a young pit trader, I had no idea what a Bund futures contract actually was or why it moved around so much. Later, as a sports betting trader, I wouldn’t even know the name of the horse on which I was placing and laying hundreds of bets. Yet, I would go weeks and sometimes months of full-time trading as a scalper without having a single losing day. 

Short-term scalping requires no fundamental knowledge of the underlying instrument on which you’re trading. As soon as you have entered a position you’re looking to exit it, hopefully with a one or two tick profit but willing to scratch it or lose a tick without any emotional attachment to the trade. 

This style of ultra short term, manual trading is labor-intensive and requires the full concentration and attention of the trader. You can’t be checking emails and looking on Facebook and reading random crypto trading articles while you’re scalping to win. 

Besides, you don’t need to know what’s going on out there. It doesn’t matter why a price is moving when you’re a scalp trader because whichever way it goes you’re going to be following it. 

Scalping shouldn’t be a contrary style of trading because the active approach means you can get yourself in a huge mess very quickly. The safest style of scalping is simply following the price, jumping in when momentum is at its highest and then getting out quickly. 

It’s actually better to have no opinion or knowledge of the long term price direction of the underlying instrument so that it doesn’t affect your ability to go against that opinion in these short term scalp trades.

How Fees Ravage Profits

The scalping style of trading described here is the easiest to learn, requires no specialized knowledge about the underlying instrument and will give you steadier, less volatile results. But the big problem is that this style of trading is particularly susceptible to the ravages of the maker and taker fee model of crypto futures exchanges. 

It was possible for me to successfully scalp trade traditional futures markets in this manner because the futures tick value of one tick on the Bund was 25 Deutsch Marks and the commission to buy and sell one futures contract was less than 3 Deutsch Marks and I got a scratch trade rebate every time I bought and sold at the same price. 

All I had to do was make one tick for every 10 round turns to break even, and anything I made over that was profit. It was a lot harder than it sounds. But it was possible because the commission fee to buy and sell one futures contract was one-tenth of the value of one tick. 

However, the taker fee model used on every other crypto futures exchange has established commissions that are astronomically high. Currently, my style of short term scalping to win is literally impossible. The commission cost of buying and selling one futures contract with a taker order is more like ten times the value of one tick. 

That’s absolutely crazy. It’s literally impossible to beat odds like that running against you. At the exact moment you enter a trade, you’re ten ticks offside already. There’s a built-in mechanical edge that you cannot beat, and which guarantees you will lose over the long run. 

On BitMEX, the taker fee is 0.075% of the notional value of the underlying instrument. That may look small, but if you’re trading with 100x leverage that’s actually 7.5% of the margin you put down to enter the trade. If you exit the trade with a Taker order then your trading fees are 15% of the order value! 

For example, total fees on a $1,000 trade with 100x leverage are $150 [100 x $1,000 x 0.00075 x 2]. How can you ever expect to beat a 15% edge working against you?

Want to buy DGTX ahead of the mainnet launch? You can do it easily and straight from us through the Digitex Treasury. We offer an instant trustless transaction with no slippage and no need to go through an exchange. Simply click below.

BUY DGTX

A typical trade for a short term scalper might go like this: the price starts moving fast so I enter a trade quickly with a taker order that either smash the bid or lifts the offer. Then I immediately place a maker order to join the bid or offer to get out. If it’s not filled within seconds then I’ll cancel that and lift the offer or hit the bid with another taker order to exit the trade. 

I entered the trade with a taker order so now I need to make ten ticks just to break even. And if I exit the trade with a taker order I’ve got to make 20 ticks profit just to break even. That’s just impossible for a short-term scalp trade. 

I can still place trades as maker orders only but it’s impossible to trade profitably when you’re limited to only maker orders. This is especially true in very volatile markets – like crypto – and you will constantly not be getting filled on the good moves. 

Simply put, the maker fee and taker fee model generates large commissions for the exchange and makes it impossible for profitable short-term scalping. A huge number of traders are unable to participate and the massive liquidity they would provide is suffocated by the exchange’s need to charge high fees on turnover. 

As a scalper, I shouldn’t be paying a percentage of the notional value of the underlying instrument. I’m providing liquidity and should be encouraged, not squeezed out of the market entirely.

How Digitex Enables Profitable Scalp Trading

The Digitex Futures exchange will be a short-term trader’s paradise. With absolutely no trading fees of any kind on taker orders, traders will be free to pursue day trading futures strategies like scalping that are not viable anywhere else, creating massive liquidity in the process. 

That liquidity won’t be constantly drained by the exchange in the form of commissions. Instead, it will continue to churn around in the trading ecosystem until it is won by the better traders. As a result, the chances of becoming a winning scalp trader on Digitex will be far higher because we’re not siphoning off commission fees as percentages of the notional value of traded contracts. 

The viral marketing potential of a futures exchange that doesn’t have any built-in mechanical edge working against its traders is massive. The effective deployment of user-generated content combined with viral marketing techniques will create a very large and active userbase, further increasing liquidity. As a result, the DGTX token will efficiently capture the full value of this large network of active DGTX users. 

Living a Traders Dream

Successful trading is a dream of many millions of people and Digitex wants to help make many of those dreams come true. When the Digitex Futures exchange launches I hope that many thousands of people will experience the unbridled freedom and excitement of becoming a profitable short-term trader who gets to live a lifestyle that most people will only dream of. 

Imagine if you can consistently make $50 a day or $200 a day or $500 a day from trading? How much would that change your life and the lives of everyone around you for the better? 

From the mainnet launch on April 27, there will exist a mainstream futures exchange whose mission statement is not to maximize profits but to create more winning traders. A trading environment with absolutely no trading fees is coming soon – don’t miss this opportunity to transform your life by finally enjoying a level playing field where the odds aren’t automatically stacked against you from the start.

Want to try your hand at trading commission-free on the Digitex Futures exchange? With the beta version handling insane volume, you can practice your skills on our trading ladder interface and hone your strategy before the mainnet release on April 27, 2020.

JOIN NOW

Latest News

day trading futures

Day Trading Futures – All You Need to Know

Digitex Futures
Trading
• Christina Comben
March 1, 2020

With the Digitex Futures mainnet just around the corner, commission-free futures trading is closer to becoming a reality. So, if you haven’t already, it’s time that you decided on the right trading strategy for you. Many people opt for day trading futures as it can yield a solid and sustainable living. However, it’s a full-time job requiring plenty of discipline and market study. Let’s take a closer look at what day trading futures involves and whether it’s right for you.

Day Trading Futures

They may have written a book about it, but there really is no such thing as trading futures for dummies. Futures trading is anything but easy. Many traders have backgrounds in economics, math, accounting, or a similar form of higher education. However, that doesn’t mean it’s essential. Far from it, in fact. 

At Digitex Futures, we believe in lowering the barrier to futures trading to make all types of trading easier. There are plenty of trading strategies to make a living trading futures, however, day trading futures is one of the most popular. It involves the buying and selling of futures contracts, as the name suggests, within the same day.

This means that day traders don’t hold their positions open overnight. However, in the cryptocurrency market futures investing and trading is different from traditional futures markets like stocks and commodities. Cryptocurrencies never sleep. This means that day traders need to study the market and check out when the trading volume is typically higher for their chosen tokens or coins.

If you’re a day trader in Europe but there’s more price action when the west coast of the U.S. is waking up, you may find it more lucrative to make a living trading futures during your night-time hours. If that’s the case, you’ll need to learn how to use trading bots to work for you and be sure to have the correct stop and limit orders in place to close your position at your acceptable price to insulate against losses or maximize gains.

Manual vs Bot Futures Trading

Not every trader likes to use bots to enhance their trading strategy. That’s because bots still need continued monitoring, and it may take a while to master using them to ensure you don’t get poor results. While bots give you more flexibility about how and when you trade and minimalize human emotions at the same time, mechanical failures can still happen.

If you prefer to trade manually and make profits from even the smallest of fluctuations in price, your trades will vary in duration. They can be very short-term (known as scalping) at just seconds or minutes at a time, or last for several hours. Day traders need to build up experience, knowledge, and discipline to be successful and make a living trading futures.

Advantages of Day Trading Futures

Take a bird’s eye view of the cryptocurrency market and futures investing and trading can seem incredibly daunting. That’s because this market is typically more volatile than other assets. There is the potential to make enormous gains, but also major losses as well.

Just as there’s no such thing as trading futures for dummies, there’s nothing simple about making the right calls in the cryptocurrency market. All the analysis may tell you the trend is going down, but you can still get caught out on a short position if the market swings up unexpectedly (and vice versa).

That said, there are plenty of advantages to day trading futures. One of which is that, once you master the technique, you can make a living trading futures without having to work for anyone else. Moreover, if you like to trade manually, once your positions are closed for the day, you’re free to head out for dinner, relax, and take a break from the markets without worrying about open positions and the markets going the wrong way.

Day trading is usually less risky than position trading or trend trading since day traders don’t have the same lengthy open positions and aren’t exposed to as much price volatility. Traders entering long-duration short or long positions can expose themselves to extreme risk which can lead to them having their positions liquidated.

Another plus from day trading is that it keeps you active! Day traders often make multiple trades in any given day, so there’s never a dull moment! If you want to get into day trading, you’ll learn the ins and outs of it much faster and gain knowledge quicker because you’ll be placing so many more trades. 

Disadvantages of Day Trading Futures

Day trading futures is a full-time job, so you can’t expect to be successful at day trading if you have another job already or other time commitments. You also need to have a specific type of personality to be good at it. This includes strong discipline and the ability to control your emotions. There will always be the temptation to make marginal trades and to overtrade when you’re in a market of futures investing and trading crypto assets.

Another huge drawback when it comes to day trading (especially very short-term trading like scalping) is that commission fees can add up very quickly and eat into your profits. What may have been a winning day can often end up with you breaking even–or even making a loss. This means that many people who want to make a living day trading futures are unable to right now.

Want to try your hand at trading commission-free on the Digitex Futures exchange? With the beta version handling insane volume, you can practice your skills on our trading ladder interface and hone your strategy before the mainnet release on April 27, 2020.

JOIN NOW
Day Trading Futures on the Digitex Exchange

Those of you familiar with our CEO Adam Todd’s story will know that, as a pit trader in London, commission fees were the bane of his life. He traded futures as a short-term scalper, looking to build up small profits over time from very fast, aggressive trading. He often found that profitable days were ruined by hefty commissions.

Adam dreamed of being able to create a trading environment in which commission fees were no longer an issue; hence the birth of Digitex Futures. We’ll be taking the cryptocurrency futures market by storm upon launch by removing the commissions and allowing short-term active traders to finally make a living trading futures sustainably.

By using a very different model from other exchanges in the market of futures investing and trading, all traders will trade on Digitex using our native DGTX token. This increases the demand for DGTX and has a direct correlation on its value. 

Instead of charging commissions on trades, our revenue model of token issuance means that we will fund the operational costs of running an exchange in a different way–in three stages.

The first stage of funding was our sell-out ICO in 2018, that closed in just 17 minutes raising around $5.3 million of ETH. The second stage is our ongoing token sale, the Digitex Treasury, which will run for two and a half years. We locked up 10% of our initial supply of DGTX (100 million) and assigned it to a smart contract to release 10 million tokens every quarter during this time.

The third stage of funding is token minting. This will be decided upon by the Digitex trading community and voted on from 2022 onwards.

Make a Living Trading Futures

While many traders point out that token minting will have an inflationary effect on the token price, we’re confident that it’s a better way of funding the exchange than charging commission fees. Moreover, the potential slight drop in token price will be offset by new traders attracted to liquid markets with tight bid/ask spreads. 

For the first time in history, short-term scalpers and day traders will be able to make a living trading futures without worrying about losing profits to commissions. They can build up small winnings over time.

Moreover, with our market makers actually programmed to lose money, traders of all stripes will be attracted to the high liquidity of the exchange. They can target these market maker losses and create strategies aimed at them.

Finally, retail traders can trade crypto futures and actually make money on an exchange whose interests are aligned with its traders. We want to see more and more successful traders in our exchange. We won’t trade against them for profit like BitMEX. We won’t siphon liquidity out of the pool in the form of commissions, and we won’t be incentivized to liquidate positions to grow our insurance fund.

Wrapping It Up

The futures industry is on a tear right now. Global contracts traded smashed all records last year. BitMEX and CME both hit new all-time highs, even Binance and Bakkt came into the space. However, every one of our competitors uses the same fee-charging model that doesn’t allow for short-term scalping.

Digitex will be a breath of fresh air for traders both novice and experienced because we will allow for all types of trading on a highly liquid exchange. We’re opening up this industry and allowing new types of people to come in. Get ready for zero-fee trading, we’re on the verge of starting a revolution.

Do you want to stock up on DGTX tokens ahead of the mainnet launch on April 27? You can head over to the Digitex Treasury for a trustless transaction with zero slippage and completely KYC-free now.

BUY DGTX
March 1, 2020
Digitex Futures
Trading

Day Trading Futures – All You Need to Know

Christina Comben
day trading futures

With the Digitex Futures mainnet just around the corner, commission-free futures trading is closer to becoming a reality. So, if you haven’t already, it’s time that you decided on the right trading strategy for you. Many people opt for day trading futures as it can yield a solid and sustainable living. However, it’s a full-time job requiring plenty of discipline and market study. Let’s take a closer look at what day trading futures involves and whether it’s right for you.

Day Trading Futures

They may have written a book about it, but there really is no such thing as trading futures for dummies. Futures trading is anything but easy. Many traders have backgrounds in economics, math, accounting, or a similar form of higher education. However, that doesn’t mean it’s essential. Far from it, in fact. 

At Digitex Futures, we believe in lowering the barrier to futures trading to make all types of trading easier. There are plenty of trading strategies to make a living trading futures, however, day trading futures is one of the most popular. It involves the buying and selling of futures contracts, as the name suggests, within the same day.

This means that day traders don’t hold their positions open overnight. However, in the cryptocurrency market futures investing and trading is different from traditional futures markets like stocks and commodities. Cryptocurrencies never sleep. This means that day traders need to study the market and check out when the trading volume is typically higher for their chosen tokens or coins.

If you’re a day trader in Europe but there’s more price action when the west coast of the U.S. is waking up, you may find it more lucrative to make a living trading futures during your night-time hours. If that’s the case, you’ll need to learn how to use trading bots to work for you and be sure to have the correct stop and limit orders in place to close your position at your acceptable price to insulate against losses or maximize gains.

Manual vs Bot Futures Trading

Not every trader likes to use bots to enhance their trading strategy. That’s because bots still need continued monitoring, and it may take a while to master using them to ensure you don’t get poor results. While bots give you more flexibility about how and when you trade and minimalize human emotions at the same time, mechanical failures can still happen.

If you prefer to trade manually and make profits from even the smallest of fluctuations in price, your trades will vary in duration. They can be very short-term (known as scalping) at just seconds or minutes at a time, or last for several hours. Day traders need to build up experience, knowledge, and discipline to be successful and make a living trading futures.

Advantages of Day Trading Futures

Take a bird’s eye view of the cryptocurrency market and futures investing and trading can seem incredibly daunting. That’s because this market is typically more volatile than other assets. There is the potential to make enormous gains, but also major losses as well.

Just as there’s no such thing as trading futures for dummies, there’s nothing simple about making the right calls in the cryptocurrency market. All the analysis may tell you the trend is going down, but you can still get caught out on a short position if the market swings up unexpectedly (and vice versa).

That said, there are plenty of advantages to day trading futures. One of which is that, once you master the technique, you can make a living trading futures without having to work for anyone else. Moreover, if you like to trade manually, once your positions are closed for the day, you’re free to head out for dinner, relax, and take a break from the markets without worrying about open positions and the markets going the wrong way.

Day trading is usually less risky than position trading or trend trading since day traders don’t have the same lengthy open positions and aren’t exposed to as much price volatility. Traders entering long-duration short or long positions can expose themselves to extreme risk which can lead to them having their positions liquidated.

Another plus from day trading is that it keeps you active! Day traders often make multiple trades in any given day, so there’s never a dull moment! If you want to get into day trading, you’ll learn the ins and outs of it much faster and gain knowledge quicker because you’ll be placing so many more trades. 

Disadvantages of Day Trading Futures

Day trading futures is a full-time job, so you can’t expect to be successful at day trading if you have another job already or other time commitments. You also need to have a specific type of personality to be good at it. This includes strong discipline and the ability to control your emotions. There will always be the temptation to make marginal trades and to overtrade when you’re in a market of futures investing and trading crypto assets.

Another huge drawback when it comes to day trading (especially very short-term trading like scalping) is that commission fees can add up very quickly and eat into your profits. What may have been a winning day can often end up with you breaking even–or even making a loss. This means that many people who want to make a living day trading futures are unable to right now.

Want to try your hand at trading commission-free on the Digitex Futures exchange? With the beta version handling insane volume, you can practice your skills on our trading ladder interface and hone your strategy before the mainnet release on April 27, 2020.

JOIN NOW
Day Trading Futures on the Digitex Exchange

Those of you familiar with our CEO Adam Todd’s story will know that, as a pit trader in London, commission fees were the bane of his life. He traded futures as a short-term scalper, looking to build up small profits over time from very fast, aggressive trading. He often found that profitable days were ruined by hefty commissions.

Adam dreamed of being able to create a trading environment in which commission fees were no longer an issue; hence the birth of Digitex Futures. We’ll be taking the cryptocurrency futures market by storm upon launch by removing the commissions and allowing short-term active traders to finally make a living trading futures sustainably.

By using a very different model from other exchanges in the market of futures investing and trading, all traders will trade on Digitex using our native DGTX token. This increases the demand for DGTX and has a direct correlation on its value. 

Instead of charging commissions on trades, our revenue model of token issuance means that we will fund the operational costs of running an exchange in a different way–in three stages.

The first stage of funding was our sell-out ICO in 2018, that closed in just 17 minutes raising around $5.3 million of ETH. The second stage is our ongoing token sale, the Digitex Treasury, which will run for two and a half years. We locked up 10% of our initial supply of DGTX (100 million) and assigned it to a smart contract to release 10 million tokens every quarter during this time.

The third stage of funding is token minting. This will be decided upon by the Digitex trading community and voted on from 2022 onwards.

Make a Living Trading Futures

While many traders point out that token minting will have an inflationary effect on the token price, we’re confident that it’s a better way of funding the exchange than charging commission fees. Moreover, the potential slight drop in token price will be offset by new traders attracted to liquid markets with tight bid/ask spreads. 

For the first time in history, short-term scalpers and day traders will be able to make a living trading futures without worrying about losing profits to commissions. They can build up small winnings over time.

Moreover, with our market makers actually programmed to lose money, traders of all stripes will be attracted to the high liquidity of the exchange. They can target these market maker losses and create strategies aimed at them.

Finally, retail traders can trade crypto futures and actually make money on an exchange whose interests are aligned with its traders. We want to see more and more successful traders in our exchange. We won’t trade against them for profit like BitMEX. We won’t siphon liquidity out of the pool in the form of commissions, and we won’t be incentivized to liquidate positions to grow our insurance fund.

Wrapping It Up

The futures industry is on a tear right now. Global contracts traded smashed all records last year. BitMEX and CME both hit new all-time highs, even Binance and Bakkt came into the space. However, every one of our competitors uses the same fee-charging model that doesn’t allow for short-term scalping.

Digitex will be a breath of fresh air for traders both novice and experienced because we will allow for all types of trading on a highly liquid exchange. We’re opening up this industry and allowing new types of people to come in. Get ready for zero-fee trading, we’re on the verge of starting a revolution.

Do you want to stock up on DGTX tokens ahead of the mainnet launch on April 27? You can head over to the Digitex Treasury for a trustless transaction with zero slippage and completely KYC-free now.

BUY DGTX

Latest News

Cryptocurrency Trading: Great Bitcoin Strategies 1

Cryptocurrency Trading: Great Bitcoin Strategies

Crypto Industry
Digitex Futures
Trading
• Dave Reiter
September 11, 2019

When Satoshi Nakamoto released the Bitcoin white paper on 31 October 2008, he was most likely astonished at how quickly Bitcoin would evolve into a multi-billion dollar trading vehicle. In less than 10 years, Bitcoin (BTC) finds itself on the verge of being recognized as a major asset class within the investment community. Trading volume in Bitcoin derivatives has exploded during the past few years and there are many great Bitcoin strategies to try. In this article, we take a look at some of the main ones and help decide whether they’re right for you. Continue reading

September 11, 2019
Crypto Industry
Digitex Futures
Trading

Cryptocurrency Trading: Great Bitcoin Strategies

Dave Reiter
Cryptocurrency Trading: Great Bitcoin Strategies 2

When Satoshi Nakamoto released the Bitcoin white paper on 31 October 2008, he was most likely astonished at how quickly Bitcoin would evolve into a multi-billion dollar trading vehicle. In less than 10 years, Bitcoin (BTC) finds itself on the verge of being recognized as a major asset class within the investment community. Trading volume in Bitcoin derivatives has exploded during the past few years and there are many great Bitcoin strategies to try. In this article, we take a look at some of the main ones and help decide whether they’re right for you. Continue reading

Latest News

Day Trading Strategies For Cryptocurrencies 3

Day Trading Strategies For Cryptocurrencies

Digitex Futures
Trading
• Dave Reiter
September 5, 2019

Day trading dates all the way back to the 1860s although the practice took a major leap forward with the formation of the NASDAQ in 1971 which allowed for rapid dissemination of stock quotes between the exchange, the broker, and the customer. It has become more popular thanks to the rise of personal computers and the internet. Today, day trading is probably the most popular strategy in the crypto space. Let’s review a few day trading strategies for cryptocurrencies below. Continue reading

September 5, 2019
Digitex Futures
Trading

Day Trading Strategies For Cryptocurrencies

Dave Reiter
Day Trading Strategies For Cryptocurrencies 4

Day trading dates all the way back to the 1860s although the practice took a major leap forward with the formation of the NASDAQ in 1971 which allowed for rapid dissemination of stock quotes between the exchange, the broker, and the customer. It has become more popular thanks to the rise of personal computers and the internet. Today, day trading is probably the most popular strategy in the crypto space. Let’s review a few day trading strategies for cryptocurrencies below. Continue reading

Latest News

The Top 5 Most Popular Bitcoin Trading Strategies 5

The Top 5 Most Popular Bitcoin Trading Strategies

Digitex Futures
Trading
• Christina Comben
August 30, 2019

If you’re new to the world of cryptocurrencies, you may be just beginning to think about the best bitcoin trading strategy for you. While many people choose to simply buy and hold, you may want to try your hand at day trading or swing trading. Here, we take a look at the five most popular bitcoin trading strategies and which may work for you. Continue reading

Latest News

Top 5 Crypto Trading Strategies You Should Know About 7

Top 5 Crypto Trading Strategies You Should Know About

Digitex Futures
• Christina Comben
July 9, 2019

Choosing trading strategies can be tough, especially if you’re starting out. You’ll need to ask yourself several questions starting with how hands on you want to be, how great a return you’re looking for and how quickly–and how much stress you can handle. Choosing a trading strategy is probably one of the most important decisions you will make as a trader, so it pays to do some research before you commit. Continue reading

July 9, 2019
Digitex Futures

Top 5 Crypto Trading Strategies You Should Know About

Christina Comben
Top 5 Crypto Trading Strategies You Should Know About 8

Choosing trading strategies can be tough, especially if you’re starting out. You’ll need to ask yourself several questions starting with how hands on you want to be, how great a return you’re looking for and how quickly–and how much stress you can handle. Choosing a trading strategy is probably one of the most important decisions you will make as a trader, so it pays to do some research before you commit. Continue reading

Latest News

Are Traders Born or Made? 9

Are Traders Born or Made?

Digitex Futures
Trading
• admin
February 18, 2019

We wanted to learn a little more about our community. So we asked you guys your level of trading experience, what strategies and trading tools you use, and, most importantly, whether you think that traders are born or made. Thank you very much to the 1,600+ who took the time to respond to our survey. Here’s what we found out.

In Terms of Trading Experience

As you can see from the chart below, much of our community is quite new to the concept of trading. Some 32.1% responded that they were new to this, with 18.5% very experienced, and almost half, at 47.6%, with some experience.
This is great to know because Digitex is planning to lower the barrier for traders and make trading futures possible for anyone, whether they’re seasoned traders or beginners.
Once the platform launches, and in the run-up before, we’ll be putting out trading videos, how-to style articles, tips from Adam, and other educational material.
So, for those of you who feel like you want or need to know more to trade comfortably, don’t worry. You’ll get up to speed in no time and once you trade with the one-click ladder, you’ll never look back again!

Looking at Trading Technique

When we asked about your trading technique, an overwhelming majority of you prefer to trade manually, with just around 20% of you responding that you either use exclusively bots or both manual and bot trading.
Again, this is really useful information for us, and we’ll be putting out an article tomorrow about bot versus manual trading. This will give you further details about what they are and the pros and cons of both. Some of the most common bots used were Cryptohopper, Gunbot, and CryptoTrader.org.

What’s Your Trading Style?

There are plenty of different trading styles out there and we wanted to glean an idea of yours. While many of you may not have one particular style, it’s clear that day trading won out here, with some swing and scalp trading also among the results.
We’ll be exploring different trading styles in more detail later on this week, so check back here to find out what you don’t know and see what kind of style you think might suit you better.

Which Markets Do You Trade?

The really cool news for us from these responses is that, while cryptocurrencies overwhelmingly take the lion’s share when it comes to trading futures markets, plenty of you also trade Forex, stocks, and other markets.
This means that when we added additional traditional futures markets to the exchange, there will already be some experience and plenty of interest. Remember, we’ll be providing plenty of educational material to fill in any gaps. That includes the low-down on traditional futures markets as well.

When it came to exchanges, Binance, HitBTC, Mercatox, and Coinbase took the top four slots, with some other popular exchanges among our community including Kucoin, Bitstamp, and Bitfinex.

Are Traders Born or Made?

To really see the results of this, check out our Twitter poll below. An overwhelming 85% of you believe that traders are made. And we couldn’t agree more!

While a trader must undoubtedly learn to manage their emotions and not succumb to FOMO and FUD, with patience and practice, you can learn to become a successful trader.
This is what we plan at Digitex. To help as many of you become confident traders who can make a living from trading on our exchange. We want to provide financial freedom, success, and to produce a happy community of traders that grows and grows, as the token price rises.
Many thanks for staying with us, we can’t wait to see you on the live exchange!
PS – We’ll be contacting our winners this week who took part in our survey to receive the official Digitex Futures hat. Cheers!

February 18, 2019
Digitex Futures
Trading

Are Traders Born or Made?

admin
Are Traders Born or Made? 10

We wanted to learn a little more about our community. So we asked you guys your level of trading experience, what strategies and trading tools you use, and, most importantly, whether you think that traders are born or made. Thank you very much to the 1,600+ who took the time to respond to our survey. Here’s what we found out.

In Terms of Trading Experience

As you can see from the chart below, much of our community is quite new to the concept of trading. Some 32.1% responded that they were new to this, with 18.5% very experienced, and almost half, at 47.6%, with some experience.
This is great to know because Digitex is planning to lower the barrier for traders and make trading futures possible for anyone, whether they’re seasoned traders or beginners.
Once the platform launches, and in the run-up before, we’ll be putting out trading videos, how-to style articles, tips from Adam, and other educational material.
So, for those of you who feel like you want or need to know more to trade comfortably, don’t worry. You’ll get up to speed in no time and once you trade with the one-click ladder, you’ll never look back again!

Looking at Trading Technique

When we asked about your trading technique, an overwhelming majority of you prefer to trade manually, with just around 20% of you responding that you either use exclusively bots or both manual and bot trading.
Again, this is really useful information for us, and we’ll be putting out an article tomorrow about bot versus manual trading. This will give you further details about what they are and the pros and cons of both. Some of the most common bots used were Cryptohopper, Gunbot, and CryptoTrader.org.

What’s Your Trading Style?

There are plenty of different trading styles out there and we wanted to glean an idea of yours. While many of you may not have one particular style, it’s clear that day trading won out here, with some swing and scalp trading also among the results.
We’ll be exploring different trading styles in more detail later on this week, so check back here to find out what you don’t know and see what kind of style you think might suit you better.

Which Markets Do You Trade?

The really cool news for us from these responses is that, while cryptocurrencies overwhelmingly take the lion’s share when it comes to trading futures markets, plenty of you also trade Forex, stocks, and other markets.
This means that when we added additional traditional futures markets to the exchange, there will already be some experience and plenty of interest. Remember, we’ll be providing plenty of educational material to fill in any gaps. That includes the low-down on traditional futures markets as well.

When it came to exchanges, Binance, HitBTC, Mercatox, and Coinbase took the top four slots, with some other popular exchanges among our community including Kucoin, Bitstamp, and Bitfinex.

Are Traders Born or Made?

To really see the results of this, check out our Twitter poll below. An overwhelming 85% of you believe that traders are made. And we couldn’t agree more!

While a trader must undoubtedly learn to manage their emotions and not succumb to FOMO and FUD, with patience and practice, you can learn to become a successful trader.
This is what we plan at Digitex. To help as many of you become confident traders who can make a living from trading on our exchange. We want to provide financial freedom, success, and to produce a happy community of traders that grows and grows, as the token price rises.
Many thanks for staying with us, we can’t wait to see you on the live exchange!
PS – We’ll be contacting our winners this week who took part in our survey to receive the official Digitex Futures hat. Cheers!

Latest News