Hover Phenix
Saturday, August 13, 2022
  • Business
    • All
    • Real Estate
    small business funding online

    Best Sources of Capital for Your Small Business

    Forex trading

    How to Make Money through Forex Trading

    Good Office Chair

    8 Tips How to Choose a Good Office Chair

    Deteriorating condition of trading cards

    How can you identify the deteriorating condition of trading cards?

    Why Should You Prefer To Enrol In Pmp Certification In India?

    Why Should You Prefer To Enrol In Pmp Certification In India?

    three tools for convert JPEG to TIFF

    Best three tools for convert JPEG to TIFF:

    3 Landlord Tax Classifications

    3 Landlord Tax Classifications

    comprar seguidores instagram portugal

    How to Use an Instagram Story Viewer Tool

    Indian Eyewear Market Report

    India Eyewear Industry Trends and Forecast 2022-2027

  • Tech
    • All
    • App
    The Future Of Machine Tools

    CNC – Is This The Future Of Machine Tools ?

    Heating Ventilating And Air Conditioning Repair Engineers In EL Paso Tx

    Heating Ventilating And Air Conditioning Repair Engineers In EL Paso Tx

    Few of the Challenges Faced by a Phone Repair Store

    Few of the Challenges Faced by a Phone Repair Store

    comprar seguidores instagram portugal

    How to Use an Instagram Story Viewer Tool

    Website Designer

    10 Things to Look For When Hiring a Website Designer

    Data Center Rack Market Share Analysis Report 2022-2027

    Data Center Rack Market Share Analysis Report 2022-2027

    Digital Asset Management Market Share Report 2022-2027

    Digital Asset Management Market Share Report 2022-2027

    How to fix the AC water leakage

    How to fix the AC water leakage

    Astrologer in India

    Get The Best Indian Astrologer Online

  • Cryptocurrency
    The Benefits of Conserving Cash

    The Benefits of Conserving Cash

    Trading App

    Benefits of Investing with A Trading App

    How Fast is Bitcoin Adopted?

    A Guide for New Crypto Investors on Buying Bitcoin

    Latest KuCoin Bitcoin price

    Latest KuCoin Bitcoin price

    coins to benefit

    Top 5 coins to benefit from in short term

    spot trading

    Planning to delve into crypto waters with spot trading?

    Crypto Billionaire

    A Crypto Billionaire Says Fed is Driving Current Downturn

    Core Features of Metaverse NFT MarketPlace

    What Are The Key Features of Metaverse NFT MarketPlace?

    Meme Token

    What Are Meme Tokens and How Do They Work?

  • LifeStyle
    • All
    • Fashion
    • Food
    • Travel
    Best Shoes for Plantar Fasciitis

    Best Shoes for Plantar Fasciitis

    Divorce attorney

    Things a divorce attorney can do for you

    Things To Do Before and after Workout

    Things To Do Before and after Workout

    These 5 Designer Flowers Bouquet Can Easily Grab Attention of Your Loved One

    These 5 Designer Flowers Bouquet Can Easily Grab Attention of Your Loved One

    Hair Conditioner

    How To Use Hair Conditioner The Right Way

    What Types of Fabrics are Ideal for Customized Shorts for Women?

    What Types of Fabrics are Ideal for Customized Shorts for Women?

    Top-Rated Attractions and Things to Do in Hartford

    Top-Rated Attractions and Things to Do in Hartford, CT

    Giving Hoodies a Good Name Again!

    Giving Hoodies a Good Name Again!

    A birthday present that will make your boyfriend

    A birthday present that will make your boyfriend

  • Celebrity
    Soap Boxes

    All Rounder Packaging with the Pillow Boxes

    Jonathan Kimble Simmons

    All You Need to Know About Jonathan Kimble Simmons

    Water Filter Cartridges Manufacturers

    Do Your Clients Deserve More from You?

    Everything You Need to Know About Goblin Slayer

    Everything You Need to Know About Goblin Slayer

    _Gary5

    _Gary5 Releasing his New Hit Song “Nothin To Somethin”

    marisol yotta

    Who is Marisol Yotta? Age, Height, Bio, Net Worth

    genevieve mecher

    Genevieve Mecher Bio, Age, Height, Net Worth, Facts

    kalecia williams

    Kalecia Williams Death, Bio, Wiki, Complete Truth

    Lyla Aranya Wilson

    Lyla Aranya Wilson (Owen Wilson Daughter) Bio, Age, Career, Real Truth

  • Entertainment
    • All
    • Games
    TikTok Shadowban Problems

    Trollishly: 3 Ways To Fix TikTok Shadowban Problems

    Everything to know about Picuki – Instagram Viewer and Editor Application

    Everything to know about Picuki – Instagram Viewer and Editor Application

    Wpit18.Com: Login And Registration Process In 2022

    Wordle Game

    How To Play Qordle Wordle Game? Explained

    today's wordle

    Top Reasons Behind The Popularity Of Wordle Today

    Marvel movies in order

    What Are The 7 Best Websites For Entertainment?

    Cara Mengunduh Video Tiktok Tanpa Tanda Air

    Cara Mengunduh Video Tiktok Tanpa Tanda Air

    hoverboard

    What is the most suitable location to purchase a hoverboard?

    Webtoon xyz

    Webtoon Xyz – Review Comic Books in Foreign Languages

  • Digital Marketing
  • More
    • Education
    • Health
    • Home Décor
    • Sports
    • Automotive
No Result
View All Result
  • Business
    • All
    • Real Estate
    small business funding online

    Best Sources of Capital for Your Small Business

    Forex trading

    How to Make Money through Forex Trading

    Good Office Chair

    8 Tips How to Choose a Good Office Chair

    Deteriorating condition of trading cards

    How can you identify the deteriorating condition of trading cards?

    Why Should You Prefer To Enrol In Pmp Certification In India?

    Why Should You Prefer To Enrol In Pmp Certification In India?

    three tools for convert JPEG to TIFF

    Best three tools for convert JPEG to TIFF:

    3 Landlord Tax Classifications

    3 Landlord Tax Classifications

    comprar seguidores instagram portugal

    How to Use an Instagram Story Viewer Tool

    Indian Eyewear Market Report

    India Eyewear Industry Trends and Forecast 2022-2027

  • Tech
    • All
    • App
    The Future Of Machine Tools

    CNC – Is This The Future Of Machine Tools ?

    Heating Ventilating And Air Conditioning Repair Engineers In EL Paso Tx

    Heating Ventilating And Air Conditioning Repair Engineers In EL Paso Tx

    Few of the Challenges Faced by a Phone Repair Store

    Few of the Challenges Faced by a Phone Repair Store

    comprar seguidores instagram portugal

    How to Use an Instagram Story Viewer Tool

    Website Designer

    10 Things to Look For When Hiring a Website Designer

    Data Center Rack Market Share Analysis Report 2022-2027

    Data Center Rack Market Share Analysis Report 2022-2027

    Digital Asset Management Market Share Report 2022-2027

    Digital Asset Management Market Share Report 2022-2027

    How to fix the AC water leakage

    How to fix the AC water leakage

    Astrologer in India

    Get The Best Indian Astrologer Online

  • Cryptocurrency
    The Benefits of Conserving Cash

    The Benefits of Conserving Cash

    Trading App

    Benefits of Investing with A Trading App

    How Fast is Bitcoin Adopted?

    A Guide for New Crypto Investors on Buying Bitcoin

    Latest KuCoin Bitcoin price

    Latest KuCoin Bitcoin price

    coins to benefit

    Top 5 coins to benefit from in short term

    spot trading

    Planning to delve into crypto waters with spot trading?

    Crypto Billionaire

    A Crypto Billionaire Says Fed is Driving Current Downturn

    Core Features of Metaverse NFT MarketPlace

    What Are The Key Features of Metaverse NFT MarketPlace?

    Meme Token

    What Are Meme Tokens and How Do They Work?

  • LifeStyle
    • All
    • Fashion
    • Food
    • Travel
    Best Shoes for Plantar Fasciitis

    Best Shoes for Plantar Fasciitis

    Divorce attorney

    Things a divorce attorney can do for you

    Things To Do Before and after Workout

    Things To Do Before and after Workout

    These 5 Designer Flowers Bouquet Can Easily Grab Attention of Your Loved One

    These 5 Designer Flowers Bouquet Can Easily Grab Attention of Your Loved One

    Hair Conditioner

    How To Use Hair Conditioner The Right Way

    What Types of Fabrics are Ideal for Customized Shorts for Women?

    What Types of Fabrics are Ideal for Customized Shorts for Women?

    Top-Rated Attractions and Things to Do in Hartford

    Top-Rated Attractions and Things to Do in Hartford, CT

    Giving Hoodies a Good Name Again!

    Giving Hoodies a Good Name Again!

    A birthday present that will make your boyfriend

    A birthday present that will make your boyfriend

  • Celebrity
    Soap Boxes

    All Rounder Packaging with the Pillow Boxes

    Jonathan Kimble Simmons

    All You Need to Know About Jonathan Kimble Simmons

    Water Filter Cartridges Manufacturers

    Do Your Clients Deserve More from You?

    Everything You Need to Know About Goblin Slayer

    Everything You Need to Know About Goblin Slayer

    _Gary5

    _Gary5 Releasing his New Hit Song “Nothin To Somethin”

    marisol yotta

    Who is Marisol Yotta? Age, Height, Bio, Net Worth

    genevieve mecher

    Genevieve Mecher Bio, Age, Height, Net Worth, Facts

    kalecia williams

    Kalecia Williams Death, Bio, Wiki, Complete Truth

    Lyla Aranya Wilson

    Lyla Aranya Wilson (Owen Wilson Daughter) Bio, Age, Career, Real Truth

  • Entertainment
    • All
    • Games
    TikTok Shadowban Problems

    Trollishly: 3 Ways To Fix TikTok Shadowban Problems

    Everything to know about Picuki – Instagram Viewer and Editor Application

    Everything to know about Picuki – Instagram Viewer and Editor Application

    Wpit18.Com: Login And Registration Process In 2022

    Wordle Game

    How To Play Qordle Wordle Game? Explained

    today's wordle

    Top Reasons Behind The Popularity Of Wordle Today

    Marvel movies in order

    What Are The 7 Best Websites For Entertainment?

    Cara Mengunduh Video Tiktok Tanpa Tanda Air

    Cara Mengunduh Video Tiktok Tanpa Tanda Air

    hoverboard

    What is the most suitable location to purchase a hoverboard?

    Webtoon xyz

    Webtoon Xyz – Review Comic Books in Foreign Languages

  • Digital Marketing
  • More
    • Education
    • Health
    • Home Décor
    • Sports
    • Automotive
No Result
View All Result
Hover Phenix
No Result
View All Result
Home Cryptocurrency

Planning to delve into crypto waters with spot trading?

by Alex Hales
June 29, 2022
in Cryptocurrency
0
spot trading
153
SHARES
1.9k
VIEWS
Share on FacebookShare on Twitter

AnyDogecoin took the crypto industry by storm by rising up by a spectacular 40% over just 3 weeks from mid-March to first quarter of April in 2022. The surge happened after a famous DOGE owner, a celebrity business tycoon, announced about owning 9.2% stake in a popular social media site. Now, imagine the incredible amount a crypto trader would have made in the first half of April had he done a crypto spot trading on DOGE, say, in the early days of March! DOGE is one of the most popular cryptocurrencies and the coin is available for spot trading in any major crypto spot market. Read more about at MultiBank.io.

Overview of crypto spot trading

Spot trading, essentially, refers to a trading process where traders purchase as well as sell an investment asset at real-time market prices. It is called crypto spot trading when the investment asset is a cryptocurrency. The current or real-time price is officially termed as “spot price”.

In crypto spot trading, the transactions are handled right “on spot”, almost immediately, after the seller and buyer agree to complete the trading order.

In crypto spot trading, traders are able to trade cryptos in certain pairs, say BTC and USDT. For those new to the zone of crypto spot trading, it must be stressed that traders mostly prefer coins that command high liquidity. High liquidity translates to greater trading volume, and eventually improved scope of profit in crypto spot trading.

How does crypto spot trading work?

The process of crypto spot trading will commence with a trader placing an order to trade crypto in his/her preferred pair on the crypto spot market. A crypto spot market is a platform where spot trading takes place. Based on his/her buy order, the platform will  match up the buyer with a potential seller on the same crypto spot market. If both parties agree to the offer, the trader will purchase at an agreed price. The buyer will have to make an upfront payment to buy the cryptos. As the spot market involves an upfront payment structure, it is sometimes also dubbed as “cash market”.

A crypto spot trader opts for market order to buy or sell his/her coin holdings. The goal is to sell off the coins as fast as possible at the best possible spot price.

In regard to delivery of the asset, it had traditionally been T and 2 days. The term “T” implies “trade date” and “2 days” refer to “2 business days”. But, that has mostly been the case with traditional investment assets.  Crypto markets are open 24/7, thereby facilitating instant delivery for crypto spot trading.

After the purchase and delivery of the crypto asset, the crypto trader will wait for a while for a hike in the coin price. If the coin shows a surge, s/he would sell it off immediately for profit. It’s to note here, crypto spot traders largely focus on short-term holdings and frequent trades for faster yields within a  brief time span. This is one reason why crypto spot trading mostly prefers coins that boast high liquidity.

Difference with HODL

HODL is a common jargon in crypto investment and trading scenarios. HODL aka Hold On for Dear Life refers to a form of investment in the crypto scene where investors purchase coins at a low price and hold on to them for a longer period. They surely sell those off after a certain point of time but the wait time is usually lengthy. The HODL process generally assures large profits and hence investors are ready to wait for an extended time.

On the contrary, in crypto spot trading, the whole process happens really fast. Crypto spot traders do not prefer to wait for long and they generally sell off their holdings as soon as possible- whenever the coin shows a profitable surge.

Overview of crypto spot market

As mentioned previously, a crypto spot market is a place that hosts and executes the entire process of spot trading. Whether you are a buyer or a seller in the crypto spot trading, you will have to create an account with a crypto spot market.

Now, the crypto spot market involves 3 main types- Crypto exchanges, OTC market, as well as P2P crypto spot market.

Crypto exchanges

Crypto exchanges are the most popular crypto spot market platforms.

Now, there are two types of crypto exchanges for crypto spot trading- centralized and decentralized.

  • Centralized exchanges

As the name says, the centralized exchanges for crypto spot trading are completely controlled by a centralized authority, say, the owner of the exchange. These crypto spot market platforms operate as a middleman between buyers and sellers who facilitate the trade. This crypto spot market deploys “order-book” protocol for matching buyers with sellers in crypto spot trading.

Another important aspect of this crypto spot market is that it extends custody services to traders. In other words, if you opt for a centralized exchange for crypto spot trading, you will have to store your holdings in the exchange platform for trading.

There are several benefits of using this crypto spot market for crypto spot trading-

  • Faster crypto spot trading
  • Higher liquidity
  • Less risk of fraud traders as these crypto spot market platforms have made KYC mandatory for traders

However, these centralized crypto spot market portals also charge way higher fees compared to other counterparts.

  • Decentralized exchanges

Any central authority will not govern a decentralized crypto spot market platform. As a result, the rules are a little more flexible with this crypto spot market in comparison to crypto spot trading on centralized exchanges. For example, in a decentralized exchange, there is no need to submit KYC. Also, the crypto spot market platform allows the flexibility to trade directly from a trader’s own wallet.

Decentralized exchanges generally charge low fees. However, these problems also suffer from problems like slow crypto spot trading and low liquidity.

OTC market

In the OTC crypto spot market, the crypto spot trading is conducted through the help of brokers and dealers. It’s to note here that OTC crypto spot trading incurs lesser fees in comparison to exchanges.

P2P platform

A P2P crypto spot market takes place without the intervention of intermediaries.

The P2P platforms generally assure more flexibility to traders in various aspects of the trading process. It includes settlement time, selection of seller/buyer, payment methods etc. However, these platforms cannot offer the high security assured by exchanges.

  • Trending
  • Comments
  • Latest
Wwxxiv Facebook Music

Wwxxiv Facebook Music – Explore Information Here!

June 2, 2022
Momix APK Download

Momix APK Download (New Version) for Android

June 2, 2022
ian reviews

IAN Reviews Download APK in 2022

June 2, 2022
What to do in Cincinnati if you’re a first-time visitor

What to do in Cincinnati if you’re a first-time visitor

June 6, 2022
What Time Does Ross Close

Ross Hours 2022: What Time Does Ross Close?

0
Lyla Aranya Wilson

Lyla Aranya Wilson (Owen Wilson Daughter) Bio, Age, Career, Real Truth

0
autozone hours

Autozone Hours – What Time Does Autozone close and Open

0
ramneek sidhu

Ramneek Sidhu Entrepreneur Instagram and Digital Marketing

0
small business funding online

Best Sources of Capital for Your Small Business

August 11, 2022
Forex trading

How to Make Money through Forex Trading

August 11, 2022
Neighbor’s Gutters Enter into Your House in Waldorf

Can Water from a Neighbor’s Gutters Enter into Your House in Waldorf, MD?

August 10, 2022
Good Office Chair

8 Tips How to Choose a Good Office Chair

August 9, 2022

Recent News

small business funding online

Best Sources of Capital for Your Small Business

August 11, 2022
Forex trading

How to Make Money through Forex Trading

August 11, 2022

Categories

  • App
  • Automotive
  • Business
  • Celebrity
  • Cryptocurrency
  • Digital Marketing
  • Education
  • Entertainment
  • Fashion
  • Food
  • Games
  • Health
  • Home Décor
  • LifeStyle
  • Real Estate
  • Sports
  • Technology
  • Travel
  • Uncategorized

Site Navigation

  • About Us
  • Privacy Policy
  • Contact Us
  • Write for Us
Hover Phenix

Hover Phenix is a blog which is created to provide useful and valid information to its readers. The team of writers and editors behind our blog site are determined and dedicated to providing the readers with a platform where they can learn new information and gain knowledge on different subjects.

© Hover Phenix Copyright 2022. All Rights Reserved.

No Result
View All Result
  • Home 3

© Hover Phenix Copyright 2022. All Rights Reserved.