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When opposites attract

The financial world always works with the law of supply and demand, and between buyers and sellers, opposites yet essential to each other. Whereas the dynamic showdown of both in the trading of assets is so much visible in the order book of the crypto ecosystem. It is important that you understand the four pillars or an order book, and they are: bid, ask, amount, and price. They all appear on the sides of an order book, called the buy-side and the sell-side.

Market Order and Limit Order

As an order book is a ledger of outstanding orders, two primary order types exist: One type is the market order, which is an immediate buying or selling for the best price available at the moment. This is the immediate pairing of current buyers and sellers on the books. The other type is the limit order in which there is a buying or selling of a set number of cryptocurrencies at a specific price or higher. …


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Considered the best trading strategy for bullruns, or is it?

“Buy the dip” is a commonly used phrase in the financial market especially due to the high volatility of cryptocurrencies, that you buy when the price is low, and sell when the price is high. Actually, it can be a smart move when crypto prices are increasing and if you feel like participating but you were late in placing your orders. Then you can wait for a while until a price correction, or a hiccup, happens and then you buy during the dip before the price stabilizes back again.

That’s the way it is with our digital investments. You can be a dip watcher since even the most stable cryptocurrency can suddenly crack a slumber and spring up the price or tumble over at certain periods. The graph can testify to this. …


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Can it guarantee data safety?

Most times you may be encountering the acronym API. What is an API? API stands for Application Programming Interface. API bridges the interaction of one software application to another. API acts as a messenger that receives your requests and then tells a platform, and then the platform gives you back its response. It is so much the same as booking a flight online with your desired departure date and place of destination together with the number of passengers. The platform’s API would search for different airlines that including the price and you can choose the one that suits you and finalize the transaction. Or have you tried booking for hotel accommodations? The API of the comparison site will do the shopping and all you have to do is choose the accommodation that will fit your schedule and the amenities you want to avail. …


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Can it equal its immense popularity in the slow forex market in the fast crypto realm?

The popularity of margin trading can be found in forex markets with low volatility and slow market movement but is now hugely popular in the fast-moving crypto realm. Margin trading in the cryptocurrency market makes it possible for traders to borrow and inject capital into their account balance to increase its buying power and open choice positions that are far larger than what they presently have in their trading capital. Crypto margin trading is an allowable trading practice so that traders can expose themselves better against their choice asset by borrowing added capital from traders, exchanges, or the exchange itself. As opposed to regular or spot trading where you use your own capital to fund your trades, crypto margin trading enables you to multiply your capital to the desired amount through borrowing. In other words, you increase your leverage position in the trading bloc. That is why it is also called leverage trading where you can multiply the amount of your position by, say 100 times of leverage, exposing you to a potential profit by 100 times. Multiplying your leverage, however, can increase your risk. …


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As in the Wild West, a crypto exchange that is quick and fast to the draw can hope to stay alive a little longer

Liquidity can spell the difference between the success and failure of a cryptocurrency exchange. Liquidity means that a trader can easily buy or sell assets on the platform without the price being affected. A trader will choose an exchange platform where transactions can be completed quickly in a cost-effective manner. Without it, chances are, the platform may be struggling with low liquidity which can effectively lose traders. Liquidity has two aspects: ease and price. Ease refers to the speed and effort, while price refers to the slippage or the difference between the executed price and the expected price. …


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The argument never ends

Proof of Work and Proof of Stake are both requirement models called consensus mechanisms that confirm every transaction that takes place on a blockchain without any intermediaries needed. Well-known blockchains have adopted either of them that allows people to earn extra cryptocurrency by becoming miners. We just have to understand each to understand which model is better for you.

History

It was always in Mr. Satoshi Nakamoto’s mind that no intermediary or third-party should intervene in the transaction of his Bitcoin between parties. He then achieved a feat by creating the Proof of Work System to determine how to reach consensus in the Blockchain. All transactions need to be verified through consensus to make sure there are no shady deals such as double spending. Proof of Work relies on advanced mathematics known as cryptography, the reason why Bitcoin and other digital coins are called cryptocurrencies. Cryptography is the art of using very difficult mathematical equations that only very powerful computers are able to solve. …


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One of two major features to look for before investing in a blockchain project

Mainnet is the central blockchain network of a final project for it to realize its claims on its whitepaper. Mainnet is the full development of a blockchain protocol where cryptocurrency transactions are launched, broadcasted, verified, and recorded on a DLT, that is, distributed ledger technology.

Testnet

But before a project is launched in full capacity on the mainnet, it will be run first through a testnet for troubleshooting purposes. Developers and programmers are tasked to test a blockchain network project first on the testnet to make sure the system is secure and prepared for a mainnet launch. …


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The language standard that made Ethereum the most popular ICO platform

ERC20 is Ethereum’s technical token standard used for smart contracts within the whole Ethereum blockchain ecosystem. It provides a set of rules that every developer has to implement for their tokens to be bought, sold, or traded within the Ethereum ecosystem. ERC-20 designed tokens, thus, can represent a plethora of digital assets from IOUs, vouchers, and even tangible objects or real estate properties. The simplicity of the token contract implementation made cryptocurrency rise in popularity among crowdfunding-based companies through the Initial Coin Offering, or ICO.

There are six mandatory and three optional rules for a developer to implement in designing their ERC20 token so that it can be traded, exchanged, or transferred to a crypto wallet solely within the Ethereum blockchain. …


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Is there something more beyond merely a promotional tool?

Every type of business applies certain kinds of promotional advertisements to get noticed in the market. The cryptocurrency industry also employs marketing tactics, and one of them is the airdrop. An airdrop is a process of sending of free tokens or coins to different wallet addresses of active members of the blockchain community to make it known that there is a new digital currency being introduced in the market. Small amounts of the new cryptocurrency are freely received by the wallets and sometimes small promotional acts are asked from wallet owners such as simply retweeting the posts sent by the issuing company. The free tokens are worth a bitcoin percentage. …


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Is regulation good for the overall health of the cryptocurrency market?

Decentralized cryptocurrencies existed long enough to prove itself competitive against the mighty centralized fiat. Its unregulated nature frees it from any manipulation and control from any central authority and enjoys a rather independent navigation of the market it has created for itself. But too much freedom can also cause some downsides that, if left unchecked, could derail cryptocurrency’s aim for mass adoption, which, up to this day, remains elusive.

Regulating the Unregulated

Regulators have already attempted to define the asset category of cryptocurrencies and continue to observe and study its movement and impact. But interpretations of observations differ in each country of adoption. Some regulations started off with declaring coin ownership for tax purposes, while others categorize initial coin offerings, or ICOs, as securities subject to the same regulations. Regulatory intentions for these purposes may be lauded to identify and uproot fraud, which is highly possible to exist within the walls of ICOs, exchanges, and trading itself. Moves to regulate can initially hamper any potential value cryptocurrencies are holding, but deemed so, in the long run, beneficial to finally arrest the volatility issue these cryptocurrencies are notoriously known for. …

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eQapital Banq

Your fiat and digital asset custodian. Bridging the gap between Banking and Blockchain.

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