Aware about Cryptocurrency Trading/Investment Keywords? Must Read

Hey friends,

Are you aware about cryptocurrency trading/investment related keywords?.  If you are a beginner or a new comer to start, then you must be aware about these keywords. And if you have already invested and trading cryptocurrency, then must have heard about these keywords but do you really know the definition?. Lets explore some popular cyrptocurrency keywords which may help to understand this market in a better way. It will also help you while reading cryptocurrency news or blogs because they use lots of keywords listed below:

1. Altcoin – It stands for alternate coin. Altcoin can be any coin other than Bitcoin(BTC) such as Ripple, Tron, Iota, NEO etc.

2. ATH – It stands for “All Time High” which refers to the highest price of a crypto token/currency for all the time.

 

3. Bearish Trend – When the price moves towards downward in the market price graph. 

 

4. Bullish Trend - When the price moves in upward direction in the market price graph.

 

5. Day Trading – A kind of trading where people buy/sell daily various times to make profit.

6. FOMO - It stands for “Fear of Missing Out”. It is a kind of feeling that a trader creates in the mind that if he will not buy now then he may lose the opportunity to get high profit. In such a case, a trader is ready to buy even at a higher price where he thinks that it may go much higher than current price.

7. FUD - It stands for “Fear Uncertainty Doubt” which is basically named as Rumour. It is a situation where a person, group of people or any community starts spreading the news with no real evidence or sources which may lead to high spike or high downfall in the prices of that cryptocurrency.

8. Whales/Market manipulators – These are rich investors who invests millions of dollars and have bigger impact and control over the market prices.

9. PUMP and DUMP – Any Altcoin which price spikes and crashes within very short time.

10. Fiat Currency - It is a centralized currency for a particular country such as EURO USD INR JPY etc.

11. Arbitrage Trading– It is an opportunity to buy when there is a price difference for the same currency on two or more exchanges.

12. Stop Loss – It is a feature given in an exchange to reduce the higher losses. If a trader will use this feature, he need to set a price value for stop losses and a Buy/Sell order get placed and executed automatically once the current price matches the stop loss price.

13. Portfolio – It is a collection of coins in which a trader had invested.

14. To the Moon/Mooning – It is a phrase used when the price is expected to reach at very high price.

15. Volatility – It is another word used for market price fluctuation.

16. Tokens – These are such cryptocurrencies which are using the Blockchain platform of some other such cryptocurrencies. For example, there are many tokens which uses Ethereum Blockchain  platform and smart contracts technology which are well named as ERC20 tokens. Few tokens are 0X protocol(ZRX), Golem(GNT), Polymath(POLY) etc. that runs on Ethereum Blockchain  

17. Bull Run – It is a period when market price going higher for longer duration.

18. Bull Trap – Market is going up but an inaccurate signal shows that it will be reversed.

19. Bagholder – An investor who is holding a coin for a longer duration to recover from the losses. It generally occurs when a coin pumps and dumps just within hours or a day.

20. Market Cap – Total Supply of coin X(multiplied by) Current price. Coins are purchased by their market cap.

 

21. ICO – It stands for “Initial Coin Offering”. It is somewhat like IPO in stock markets. In ICO, Crowd funding is achieved by the company and tokens are privately available (just on their website) at discounted price. Once these tokens Publicly available (get listed on exchanges), initial investors who participated in ICO, make good amount of profits. A good analysis needs to be done before participating in any ICO about its team, concept and groundwork.

 

22. HODL – It is used for term "HOLD" where an investor hold a coin for long term gains.

23. Cold Storage/Wallet – It is a Hardware device or paper wallet to store the cryptocurrency offline.

24. Blockchain – A decentralized distributed public ledger to store all the Cryptocurrency transactions. For example, all Bitcoin transactions can be seen on Blockchain.info and all Ethereum and ERC20 token transactions can be seen on Etherscan.io

25. FORK – When Blockchain splits into two separate chains. There are two types of FORK: Hard Fork and Soft Fork.

Hope you found this post useful for the future in Cryptocurrencies. You can add some more to it in below comments or can give valuable feedback.

Thanks

Team Success Perks