Crypto Academy Season 3 Beginners’ Level - Homework Post for WEEK 6: [Cryptocurrency Investment Tools. ] by @reddileep for Professor reminiscence01

HOMEWORK WEEK 6

Entire Question

1 )

• a) Explain CoinGecko and why it is a good cryptocurrency investment tool.
• b) Explore CoinGecko and explain at least 5 unique features of the platform (Take a screenshot of the page).

2 )

• a) Give a brief explanation of Tradingview platform.
• b) Explain the steps involved in adding indicators on Tradingview chart. You can add any indicator of your choice except moving average. (Screenshots required)
• c) With relevant screenshots, illustrate how to modify the indicator you have added to your chart.

3 )

• a) In your own words, explain cryptocurrency Portfolio and Watchlist.
• b) Explain the need for Portfolio management.
• c) Select 5 cryptocurrency assets you wish to add to your Watchlist and explain your reason for selecting each of them. (Show screenshot of your Watchlist. It can be any platform).

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• INTRODUCTION OF COINGECKO

At present, cryptocurrencies have become one of the most valuable currencies in the world. So CoinGecko is a valuable platform that provides detailed information about these cryptocurrencies and this platform was founded in 2014 by TM Lee and Bobby Ong. As of today, there are about 8799 different cryptocurrency types listed here and across more than 400 exchanges. With a very clear interface, this platform provides a lot of information in addition to basic cryptocurrency information. All this information is very important for investors to make the right decisions about cryptocurrency and for further analysis. Below I've explained detailed information including added features of this platform.

• WHY IT IS A GOOD CRYPTOCURRENCY INVESTMENT TOOL ?

This is really a good cryptocurrency investment tool. Because, if someone wants to invest in any cryptocurrency, he can select the desired coin through this platform and simply track it with detailed information including 24H minimum and maximum range, Trading Volume, Chart, Historical Data and even crypto news. And also, if someone is new to the cryptocurrency field, he can select any coin according to the coin Ranking feature. So even though he didn't have enough knowledge about any of these coins, he could easily enter into the trade through the detailed information provided by this platform.

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Basically, https://www.coingecko.com/ is the main page of this website. So, we already know that CoinGecko is a good platform that we can use as a cryptocurrency investment tool.

Then, we can get access to this platform using above mentioned website URL. After that, we can see a well-organized web page with many features. Below I've attached a screenshot of this website main page.

Above we can see the interface of this platform is very simple. But, at the moment 8815 types of coins and 487 exchanges are included in this website with adequate details. So, if we go down to this main web page, we can see every coin in order from one to one hundredth. Furthermore, in addition to these features, we can also see some of the unique features of this CoinGecko platform. Below I've explained them separately.

• THE SOCIAL MEDIA PRESENCE OF A COIN

Its popularity is a very important factor in increasing the value of a coin. At present, social media is the best way to promote anything quickly and to a large population. Therefore it is very important to find out the popularity of the project on social media for a particular coin.

Furthermore, this platform provides better information about the social media popularity of a coin and. Below I've included a screenshot to explain it easily and here I've selected Cardano (ADA) Coin to demonstrate it.

First of all, we have to select a coin from the main page. Then we can click on "Social" to open Social Media presence details.

After that, we can see all the social media related details of our selected Coin. So, according to my example, there are about 552,840 REDDIT Subscribers and 535,972 TWITTER followers present in Cardano (ADA) project. Below I've attached a screenshot of ADA Coin Social media details.

• INFORMATION RELATED TO THE DEVELOPMENT OF A COIN

Having a good development team in a coin is a good foundation for the future of a coin. Here we can find all the information related to the development of this coin including Forks, Contributors and Merged Pull Requests.

Furthermore, this platform provides better information about the Development details of a coin and. Below I've included a screenshot to explain it easily and here I've selected Cardano (ADA) Coin to demonstrate it.

First of all, we have to select a coin from the main page. Then we can click on "Developer" to open Development related details.

After that, we can see all the development related details of our selected Coin. Below I've attached a screenshot of ADA Coin development details.

• CRYPTOCURRENCY EXCHANGES RANKING BY TRUST SCORE

Although we can choose a good coin to trade with, it is very important to choose the right exchange to buy that coin. Because no matter how well analyzed and traded in a coin, we will not be able to get our profit if the exchange used for the trade is fake. Therefore, this platform allows us to choose not only a good coin but also a good exchange to trade that coin.

Furthermore, This platform provides a trust score of 1 to 10 with the help of information related to all the exchanges considering Liquidity, Scale, Cybersecurity, API Coverage, Team and Incident. So, we can select a better exchange according to these details.

Below I've attached a screenshot of the first 10 centralized exchanges according to CoinGecko Thrust Score.

• TOP CRYPTOCURRENCY CATEGORIES BY MARKET CAPITALIZATION

This is a new feature for this platform. When we select this feature, we can clearly see all the coins by category. As an example, if someone needs to search for an Exchange-based Token, he can simply use this "categories" feature. This is a very useful feature in this platform. Below I've included screenshots to explain it easily.

First of all, we have to select "coin" from the main page. Then we can click on "Developer" to open Development related details.

After that, we can see all the top Cryptocurrencies Categorized by Market Capitalization. So, below I've attached a screenshot of the top 10 Cryptocurrency Categories.

• TOP DERIVATIVE EXCHANGES BY OPEN INTEREST & TRADE VOLUME

At present, leverage trading is a very popular and profitable trading feature. As an example, if someone has 100$ in his trading account, he can open the trade with 1000$ as a 10X leverage. But, we have to select a proper exchange to do leverage trading. So, CoinGecko has categorized these Exchanges according to Open Interest & Trade Volume. Therefore, we don't need to search for it individually as this platform provides that information properly. Below I've included screenshots to explain it easily.

First of all, we have to select "exchanges" from the main page. Then we can click on "Derivatives" to open Derivative related details.

After that, we can see all the top Derivative Exchanges Categorized by Open Interest & Trade Volume. So, below I've attached a screenshot of the top 10 Derivative Exchanges.

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• INTRODUCTION OF TRADINGVIEW PLATFORM

TradingView is one of the most important platforms for trading cryptocurrencies and fiat currencies. Actually, most of the time we trade on any exchange like Binance and KuCoin. But this TradingView site works as a chart and indicators provider for almost all of these platforms. So, if we use the Tradingview site directly to analyze our charts, we can get a lot of additional benefits including trading ideas and customized premium moving average indicators.

• BENEFITS OF TRADINGVIEW PLATFORM

As I explained earlier, the TradingView platform provides additional services in addition to simple chart analysis. However, if we have an account on this platform, it is very useful for chart saving and following qualified and experienced traders. Furthermore, below I've included some of the special benefits of this platform.

• Explore Trading ideas published by experienced and professional Traders. And also, we can post our opinions and find out what others have to say about it.

• Use Customized Trading Indicators from Public Library (Here we can use advanced trading indicators that are customized by professional traders.)

• Ability to analyze Real-Time graphs using advanced indicators (This platform provides charts to other exchanges as well, so first of all it is more likely to be updated about coins.)

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When we open the indicator window throughTradingview site, we can see a lot of indicators including customized indicators in the public library. So, below I've explained step by step how to add the required indicators to a chart.

STEP 1

• First of all, we should get access to the https://www.tradingview.com/ site. Below we can see the main page of this platform.

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STEP 2

• After that, we can select any Coin pair according to our requirements. So, here I've selected BTC/USDT pair to demonstrate my steps. Simply, we can type it in the search bar. Then, we can select "Launch chart" to open the full-featured chart window.

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STEP 3

• Now we can see the full-featured Chart window of the BTC/USDT coin pair. Then we can click on "Indicators and Strategies" to open the indicators window. (Check the below-attached screenshot to get an idea)

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STEP 4

• After that, we can see that the "Indicators and Strategies" window is opened. Then, we can select our required Indicator from the search bar. Here I've selected Bollinger Bands Indicator to demonstrate my steps.

Below we can see the Bollinger Band indicator according to BTC/USDT chart.

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As I mentioned earlier, here I've added the Bollinger Bands indicator to my chart window. So, below I have mentioned all the steps to modify this indicator.

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STEP 1

• First of all, we should click on the "settings" icon to change the settings in the indicator. ( See below - attached image to get an idea )

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STEP 2

• Now, we can see a popup window that consists of every modification related to the indicator. From the "Style" menu, we can change settings related to the appearance of the indicator. Here we can change Basis Line colour, Upper Line colour, Lowe Line colour, Background colour and thickness of the line. So, I will change the Upper Line colour to a Green colour and increase the thickness of the Upper line and Lower Line.

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STEP 3

• Then, we can change the internal settings of the indicator from the "Input" menu. Here I've changed Length to "20" and finally we can click "OK" to apply settings.

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• CRYPTOCURRENCY PORTFOLIO

Basically, Cryptocurrency Portfolio is a collection of our selected coins. We already know, there are more than 8000 coins in the market. Among them, we have to find out good coins for our daily trading purposes. Because, if we can analyze and select some fundamental strong coins, we can invest our entire investment in several of these selected different types of coins without investing them in a single coin. So, if we have a collection of coins that we use for daily trading, we can use them easily without wasting our time. Furthermore, if we can manage all the information related to our invested coin collection including daily profits, it is a better idea to identify our profits and losses without wasting time. So the Cryptocurrency Portfolio can be described as something that is used to meet all these needs.

• WATCHLIST

Actually, a Watchlist is a useful feature that we used for instant access to our prefered coins. A watchlist is created according to one's favourite cryptocurrencies. Furthermore, we can add a few selected coins of our choice to this list and easily monitor them without wasting our time to find the required coins. These are the coins we trade most often so we can add them to our portfolio whenever we want.

Below I've attached a screenshot of my Watchlist that I have taken from Tradingview site

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As I mentioned earlier, Portfolio management is a good opportunity to keep our prefered assets collection by identifying daily profits or losses. Therefore, we can invest our allocated capital in several coins without depending on a single coin. So, even if we lose one or two coins, this is the chance to minimize the risk as we can take advantage of the remaining coins listed in the portfolio.

However, when we select coins for our portfolio, it is important to choose coins of different categories without choosing the same type of coins like Exchange Based Coins, Decentralized Finance coins (Defi) and Centralized Exchange coins. Because, if we select the same types of coins to manage our Portfolio, all coins belong to the same category and falling prices can also affect all the coins together.

Additionally, we can be updated on real-time profits for every transaction that we listed in our Portfolio. Therefore, we do not need to examine the coins invested individually.

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Below I've added a screenshot of my Watchlist that I have taken through the TradingView site.

Above we can see my Watchlist and I've added 5 coins according to my choice. Furthermore, below I've explained the reason for selecting each of them separately.

• Bitcoin (BTC)

Bitcoin is the main cryptocurrency that I use to monitor market behaviour. We all know that most other coins are guided by bitcoin. That is, when bitcoin increases, all those coins increase, and when bitcoin decreases, the price of other coins decreases even faster. Therefore, personally, I've added this BTC coin to my Watchlist to analyze it before entering for a trade.

• Tron (TRX)

This is another fundamental strong coin. Actually, I expect to see a big uptrend movement from this TRX coin. Because these days, Bitcoin is in a continuous uptrend movement. It means BTC Bull run. Therefore, we all know that from the previous BTC bull run, TRX could gain a better peak price. So, from this Bull run, we will see a big uptrend in TRX again.

Below we can see a screenshot of TRX simple chart that I taken from Tradingview site.

• STEEM

I've added this Steem coin to my Watchlist as this is the main cryptocurrency in the Steemit platform. So, according to my knowledge, this is another strong coin and we will be able to see good uptrend movement in this Steem coin. Also, there are a lot of investors for this Steem coin. Therefore, it is a good opportunity to keep the value of the Steem coin.

• Cardano (ADA)

According to my analysis, Cardano is a good fundamental Strong coin. Sometimes we could see that the price of bitcoin has come down but the price of ADA has gone up. Furthermore, if we look at the price increase rate here, we can see an increase of 909.3% this year.

Below I've attached a screenshot of ADA coin price increase rates that I have taken from Coingecko site.

• Axie Infinity (AXS)

This is a coin that I use personally for Futures Trading. If we look at the chart, this coin has been rising since its inception. So, I guess investing in a coin like this can be very lucrative.

Below I've attached a screenshot of AXS coin Line chart that I have taken from Coingecko site.

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Before, invest in cryptocurrency, we should have a better idea of our desired coin. If we invest without having an idea, it can be a reason to lose our whole investment. So, there is a lot of platforms that provide better service to analyze any coin without wasting time. Furthermore, a Portfolio is a good option to recognize our desired assets and profits. Therefore, we can be updated on every coin that we have invested in the crypto market.

This is all about my homework and I really appreciate Professor @reminiscence01 for your valuable lesson and your dedication to creating a very essential lesson for us. As I said earlier, this lesson is really important to my life as I am still trading in the cryptocurrency market.

Thank you..