The risks of trading cryptocurrencies are mainly related to the volatility of the cryptocurrency market, which represents a high risk, it is important that we understand the risks before starting an investment in cryptocurrencies. All financial assets carry high risk, whether through the use of leverage, susceptibility to cyber attacks and errors, unethical trading techniques, or target market volatility.
Here are the possible risks of Cryptocurrency Trading1.
Volatility - This is the difficulty in crypto trading, in this case you can earn immediately and can lose immediately, because the price
fluctuates and we do not know if it is after a few minutes, hours, days, weekly, or monthly.
2.
Wrong choice of token to play on the Trading platform - It is also important that we know why we are buying this token on an exchange, because if we just buy without doing any
research on the token, we will definitely eventually regret it and just ignore our investment in it.
3.
Incorrect selection of Exchange site platform - We should not use newly released Exchange platforms in the cryptocurrency industry, we should first do our own research to
make sure that the token we buy is safe, so it is still better to use exchange platforms that have been tested here in world of
cryptocurrency.
4.
Don't trade just guesses or because you just think the price will go up or down - Many did it then and even now, others even pretend to know how to read the price movement of cryptocurrency in trading but
the truth also depends on the hit or just he thinks. Which should not be the style of a traders.