What is – P2P exchange? P2P crypto-exchanges (over-the-counter trading) are usually denoted simply: they are an easier and faster way to buy and sell cryptocurrencies. Such a resource enables traders to interact directly in deals. The user can:
- quickly exchange fiat funds for crypto (buy cryptocurrency) at the most advantageous offer;
- in a few clicks exchange cryptoassets for regular currency (sell).
It is because of this functionality that such sites are most often referred to simply as crypto exchanges. At the same time, the platform acts only as a guarantor of security. That is, it does not interfere in the process if it is not asked for (for example, if a challenge is needed, etc.).
But trading platforms alternative to cryptocurrency exchanges are not always limited to such functionality. There are also those that expand their functionality with working trading tools that do not imply a deep understanding of technical analysis tools. So, today we will talk about a specific case – Bitcoin Global P2P, and its unique tool – crypto trading using a given formula. The spoiler is very simple and what is blockchaing used for.
Without TA, orders and risks
The more varied orders a cryptocurrency exchange offers, the better – after all, this definitely gives more opportunities to the trader and provides customer interest – to the platforms themselves.
For example, in order to sell or buy cryptocurrency on the spot on WhiteBIT, you can place one of the proposed six orders: limit, market, stop limit, stop market, and copyrighted orders – condition limit and condition market. Any of these orders will be executed upon reaching the conditions that the user sets. Somewhere these conditions are simpler, somewhere more complicated. In any case, in order to set the parameters of an order not at a loss, you need to understand how they affect the final result of trading and the market as a whole.
Another trading challenge faced by cryptocurrency exchanges is asset volatility. The price of bitcoin, ether, litecoin, etc., can change every second. Hence the problematic for a beginner or not a particularly advanced trader: any type of trading (spot, futures, margin) requires the ability to catch trends, analyze assets using technical analysis tools.
Important: As a rule, it is Bitcoin that leads other coins. You can read more about what affects its pricing in a separate article on this topic.
Here we are talking about P2P not as a trivial exchanger, but as a simplified way to trade cryptocurrencies. To post an ad to buy or sell a cryptocurrency, you do not need to [necessarily] understand trends, be able to read signals and use technical analysis tools. The user chooses a favorable offer for himself and carries out the transaction. The Sales Asset Owner sets the margin for his ad – and this is his benefit.
How to trade on the cryptocurrency exchange
To trade on the cryptocurrency exchange, compare the current and previous rates of individual cryptocurrencies and fiat currencies, and transfer funds into the form that suits you. The services provide fairly complete information and an excellent set of tools – they perform charting, keep records of transactions performed, their volume, and provide detailed trading data. When trading, consider:
- volume of cryptocurrency in circulation;
- the dynamics of changes in this volume to the limits of the total volume of emission (for bitcoin – 21 million units, for litecoin – 84 million units);
- the volume of transactions made on a specific exchange and “neighboring” ones (often indicated not only in bitcoins, but also in USD).
Most popular cryptocurrency exchanges
One of the most popular and demanded cryptocurrency exchanges in the trading market, Bitfinex. In the stock market, the volume of its turnover is quite high. In terms of trade volume, it is one of the largest in the world.The following cryptocurrencies are traded – BTC and LTC. The directions of exchange of BTC for US dollars, BTC for LTC and LTC for US dollars are available. The Bitstamp exchange is also in demand among clients. This exchange works only in the b2b cryptocurrency, there is a single pair for exchanging currencies. The BTC-e company is widely in demand among Russian-speaking clients, it is one of the five largest bitcoin exchanges in the network. Allows its clients to participate in trades without going through the verification procedure.
