Crypto Academy Week 12 | Homework Post for @stream4u

Hello my friends welcome to my first home work in this great idea of learning by the steemit team, this home work was given by one of our professor who goes by the @stream4u.

Stream4u our professor lectured about Crypto Margin Trading & Crypto Leveraged Tokens Trading which the homework given is about that same topic and i will be taking you guys through it.

*Homework question"

What is Crypto Margin Trading?

Crypto margin is the type of trading that involves a trader who gets loans from agents provided by the platform the trader is using so that the trader can stake higher with leverage for better profit or greater loss.

What crypto margin does is to expose we the traders to bigger market so that we can increase our profit, in numerous platforms that offer margin trade are some times identified as 3x, 4x or 10x and more depending on the platform thereby allowing a trader with an initial capital of 30 USD to access a market up to 90 USD in a case of 3x, also allowing the trader with an initial capital of 30 USD to access a market up to 150 USD in a case of 5x margin trading and an access up to 300 USD market in a case of 10x margin trading offered by an exchange.

Merits of Crypto Margin Trading

• It provides traders with more capital that they can't afford so that they can enter a bigger trade and make more profits
• It gives traders the chance to have a bigger capital
• It gives traders more profit.

Demerit of Crypto Margin Trading

• A trader account will face liquidation when the loss is greater than the capital used in opening that trade.
• Crypto margin trading is very high risk trading
• It can lead to more loses

How to plan for Trading in Crypto Margin Trading

Planning for Margin trading is like a plan meant for a job interview, Learn how to read crypto market chart then you sleep early and wake up strong, Clean your self up then launch your platform you are using to trade margin and follow this rules.

• A trader must control their emotion because a successful trader doesn't trade with emotions
• A trader must not be greedy
• A trader should set a goal when exiting a trade.

Crypto Exchange Name that provide margin trading service and what margin they provide.

Binance Exchange is the greatest exchange platform right now, with offerings seen in both the isolated and cross margins trading with a leverage upto 10x
Bityard is also another exchange platform with presence in few countries that are seen to major in the isolated margin trading offers with leverage of upto 125x
Poloniex is a high liquidity exchange platform with base in Seychelles with upto 100x leverage in margin trading
BitMEX with majors in Bitcoin margin trading also play key role in both margin and cross margin trading with upto 100x leverage in margin trading.
PrimeXBT is seen as a versatile platform with activities in the FX, Commodity and index for Margin trading with leverage offers of upto 1000x for FX.
Kraken with majors seen in the cross margin trading with offers upto 5x. It is a US based exchange with competitive fees.

What is Leveraged Tokens Trading?

Leverage Trading is a contract based trading meaning traders don't have to have the asset but they can still open a position, The position could be long (buy) or short (sell) and takes profit if the trend of entry is right

Merit of Leverage Trading

• it gives users the chance to trade a bull or bearish market.
• It gives users more profit

Demerit of Leverage Trading

• it can lead to more losses
• it does not characterized holders because it is for short term traders

How to plan for Trading in Leveraged Tokens

• You have to have an entry and exit point
• Trade without emotions or assumptions always follow the technical charts
• Trade with the best exchange around that offers leverage trading
• You need to know how to avers risks like putting a stop loss which is available in bybit and this exit your entry when the loss is become high.

Crypto Exchanges Name That Provide Leveraged Tokens Service and What Margin They Provide In Leveraged Tokens?

• Binance Exchange is the numeber one crypto exchange in the world and it offer leverage between 1x - 2x
• Bybit is a platform that offers leverage rage fro 3x-100x
• Ftx offers upto 5x leverage
• pionex.

Price Forcast For Crypto Assets XXXXXX. (This is similar question from last course, take any Crypto Assets Chart graph, as per its current price and its market trend predict its future price for only next week, what will be its future price for next 1 week. You can predict for any direction up or down but explain it properly on what basis you have predicted the price. What will be the possible low level and high level fornext week.).

The chart above is from the Eth/usd chart and it shows that Ethereum is creating a diamond pattern and this pattern will break up or down, if it breaks up it's target will see ethereum at price $3800 but if it breaks down ethereum will fall to $2900 and this will happen in few days time.

Conclusion
If you want to be successful as a trader in any of this pattern you will have to learn how to read Charts any way thanks for reading and i hope my homework is explained well.

Thank you Prof @stream4u