- Crypto trading can be overwhelming and time-consuming if you don’t implement a proper approach and schedule.
- Trading digital assets yourself and keeping control over them is safer than the alternative.
- Taking breaks and enjoying your life is not only allowed but encouraged in crypto, just like with any other financial activity.
The world of crypto is new and exciting, and when you’re a beginner, it’s easy to find yourself getting reeled in by promises of unmissable opportunities and huge paydays. However, it can also become overwhelming and time-consuming, wreaking havoc on your work-life balance, anxiety and stress levels. In this article, we share with you some tips and tricks for navigating the world of crypto and, most importantly, setting some boundaries.
Conventional stock markets tend to open for the hours of the working day, whether that’s 9:00 to 5:00, 8:00 to 4:00, or a variation thereof, with some markets offering additional after-hours trading periods. What is unique about the crypto market is that it is open 24 hours a day.
This 24-hour period encompasses the activity of 3 working days. This means there is three times as much information to absorb and digest compared to stock trading, and traders need to monitor the market’s movements around the clock.
This brings new challenges for even the most experienced traders, accustomed to the 9 to 5. How can they maintain their focus, energy and concentration, no matter the time of day? Every eight hours, entire continents wake up and begin their working day, marking huge market activity surges. The crypto market is based entirely on trading patterns with little to no outside influence. The key to successful trading is studying these trading patterns in detail. To be successful, it means that all day hours should be seen as trading hours.
There are two options to truly be present on the market at all hours of the day.
Is trading 24/7 a good option?
Kiss goodbye to work-life balance and devote yourself to spending 24 hours a day glued to your screen, truly becoming what’s known as a 24/7 trader. This is not a realistic option for the vast majority of people, but sticking to a strict schedule is worse than being open to doing some trading at any hour of the day or night. This means you don’t need to work 24/7, but you need to stay informed and up to date because things can change quickly in crypto.
How helpful are Trading Bots?
If it’s not possible to do it all yourself, maybe some automated algorithms can help you.
Many traders resort to bots because there is a wide range of trading bots out there. Trading bots can be programmed with your trading strategy, identifying particular patterns and buying and selling when required. There are still risks with this strategy because you are forfeiting control over your assets to some algorithms, which might work well or not, so doing things yourself, but wisely, is still your best bet.
Some Good Practices for Beginners
- Set Trading Hours
Remember, you’re only human. Unlike a bot, you can’t work 24 hours a day. To strike a healthy balance, set trading hours for yourself, using the aid of bots out of hours. Treat it like any other business and trade from 9–5 before going about your usual daily routine.
- Diary Planning
Be sure to create a schedule for yourself, using a daily, weekly and monthly planner. You can set goals and objectives for the short term and long term, just like you would in any other job.
Mapping out your intentions like this means you can set clear limits for yourself and your potential losses and gains. Once you reach these predetermined limits, you know it’s time to call it a day.
Making these plans in advance when you are cool, calm and collected means you are not making impulsive decisions in the heat of the moment. One tried and tested approach is pinpointing all of your entry and exit points in advance and then stepping away from the screen and leaving your trades to run their course.
Compare this approach with making last-minute decisions, mid-trade, and it sure seems like the safer option.
- Remain Emotionally Detached
Keep a clear head, focussing on carrying out your preassigned strategy and the movements you have mapped out. You need to remain emotionally unattached, although many traders with first-hand experience will admit this is easier said than done. Losses are inevitable, and you need to be able to accept them as part of the learning process and move on.
- Take Your Downtime Seriously
It’s generally good practice to split your day into segments and give whatever you’re doing at the time your full attention. The same rules apply when it comes to crypto trading. If you want to be at your desk with a clear head on Monday morning, 100% focussed on your charts and analysis, you’ll need to have taken a break from crypto at the weekend. Take your time off from crypto seriously, forming healthy habits by taking a break from your phone, the screen and crypto-related news, pages and posts.
- Diversify Your Income
Ideally, crypto trading shouldn’t be your only source of income. If your entire livelihood depends on these trades, the pressure will simply be too high for you to make good decisions. This pressure can lead you to chase the gains and losses, getting further away from your predetermined strategy and spiraling out of control.
- Remember to Live Your Life
Although crypto is a revolutionary way to earn a passive income, don’t forget that there is life outside of crypto. Don’t let yourself get too caught up in the highs and lows of crypto trading. Time management and identifying your priorities are fundamental when it comes to crypto trading. Watch out for these red flags and be sure to implement these tactics, even if only as preventative measures.
Now that you are aware of these time-management techniques, you can spend your time wisely with Your Friendly Crypto Exchange. IXFI is the perfect place to try out crypto trading because the platform is reliable, safe and easy to use. Register now and start your exciting journey.
Disclaimer: The content of this article is not investment advice and does not constitute an offer or solicitation to offer or recommendation of any investment product. It is for general purposes only and does not take into account your individual needs, investment objectives and specific financial and fiscal circumstances.
Although the material contained in this article was prepared based on information from public and private sources that IXFI believes to be reliable, no representation, warranty or undertaking, stated or implied, is given as to the accuracy of the information contained herein, and IXFI expressly disclaims any liability for the accuracy and completeness of the information contained in this article.
Investment involves risk; any ideas or strategies discussed herein should therefore not be undertaken by any individual without prior consultation with a financial professional for the purpose of assessing whether the ideas or strategies that are discussed are suitable to you based on your own personal financial and fiscal objectives, needs and risk tolerance. IXFI expressly disclaims any liability or loss incurred by any person who acts on the information, ideas or strategies discussed herein.
