Crypto is appealing, there is no doubt about that. Who hasn’t heard of the returns of early Bitcoin investors, who are now either millionaires or potential billionaires depending on how many coins they hold. The allure attracts all walks of life who seek to strike it rich themselves.
The only problem is, cryptocurrencies didn’t become as valuable as they did without volatility. Volatility is the measure of the difference in an asset’s price across a specific time period. Volatility can release to the downside or the upside, resulting in wild price swings in speculative assets like crypto.
This volatility, however, can be painful for newcomers to adapt to and lead to extreme losses especially when one’s only strategy they know of is to HODL. HODLing is what you do when you have no other options and can’t trade yourself. But that won’t be a viable excuse much longer, as the Covesting copy trading module provides an alternative to trading that has to be seen to be believed.
Easy To Use Tools Designed By Covesting
The Covesting copy trading module is available at the award-winning multi asset margin trading platform PrimeXBT. The advanced trading platform offers index trading with CFDs, crypto, forex, commodities, and more. It was chosen as home for the Covesting copy trading module due to the long and short positions that allow strategy managers the most control over positions.
Without such tools, a strategy manager would be stuck with a solution not much better than HODLing, as there is only a way to profit with one direction of the market. Long and short positions let traders profit whichever direction the market turns next, and allows for strategic hedge positions.
All such tools are available to the strategy managers that use the Covesting module to attract followers. Strategy managers can do so by rising the Covesting leaderboards which rank more than 400 strategy managers by total profits. Deeper metrics on risk and success are also included, should followers want more granularity.
Followers can use that granularity and intel to choose the right strategy manager for them, then follow them to copy their trades. Trades are copied win or lose, so followers must set a stop loss and max drawdown level, and occasionally should take profit and close out any earnings.
Followers can also look for any traders with four or five stars, which each denote a specific condition met that suggests the strategy manager means business. This can represent proper margin allocation or win to loss ratio.
Using all the information, followers can build a diverse portfolio of followings, both spreading risk around and increasing the chances of success. Recent strategy managers made their followers more than $1 million.
Strategy managers have incentive to keep on trading successfully, because they get a cut of followers’ success fees. Followers can improve their own cut further by staking COV tokens, which also unlock a variety of other account level utilities.
COV tokens also unlock an increase in following limits, and eliminates the initial following entry fees that are charged for each new following. These utilities are unlocked only with the COV token and allow followers and strategy managers alike to get the most out of the experience. Strategy managers even get a trading fee discount by staking COV tokens.
How Novices Can Excel In Crypto With Covesting
With the Covesting copy trading module fully detailed, how it might be of service to new crypto traders starts to become apparent. Without any skills or knowledge, or any way to prepare for the notorious crypto market volatility, newcomers are better off becoming followers and allowing more experienced traders to do it for them.
With Covesting, such novices can keep their exposure to the crypto market, but allow others to manage the markets themselves, perform all the technical analysis and take on all the stress. It also takes all the guesswork out of getting into markets early on, and can help reduce early investor and trader losses that most experience when getting started.
Followers can rest assured that a well researched strategy manager with a track record of success has a high probability of bringing their followers profits. If they can’t, the peer-to-peer trading module makes it easy for a follower to ditch that strategy for another one.
Followings can be stopped at any time, and stop loss levels can be set to prevent against unwanted drawdown. Take profit orders also secure any outstanding PnL without stopping the following completely and losing the spot.
Newcomers and novice crypto traders will no longer suffer as dramatic losses due to a sudden change in the trend, because they won’t be responsible for managing their own positions. More experienced traders tend to have seen it all and are unphased by any type of market volatility. In fact, the more experienced traders thrive on volatility, as this is how the most profits are made.
How Strategy Managers Keep Newcomers Profitable
Covesting strategy managers commonly reach as much as 20,000% in total profits, showing the world through the fully transparent global leaderboard system that they can handle any situation markets throw their way. And with long and short positions, stop loss and take profit orders and more at their disposal, they have an arsenal to go to war with.
Also in the Covesting strategy manager war chest is PrimeXBT’s built-in technical analysis tools, which ensures that any strategy managers are equipped with all they need to strategize, and get the job done for their followers.
Such tools might be overwhelming or challenging in the hands of a novice, but Covesting strategy managers are familiar with such tools and know it is the key to success. Strategy managers also know proper risk management which helps keep capital protected.
Knowing where to set stops, to go long or short, and when to take profit can mean a world of difference between winning and losing, and this only comes with experience and time in the market. Until that time comes, novices are better off letting Covesting strategy managers do it for them.