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Trade Ripple 2019
Ripple is a decentralised payment network with its own currency (XRP). You may be thinking to yourself that this is just another version of Bitcoin; truth is, Ripple was created to actually aid banks and major institutions.
What is Ripple?
Cryptocurrencies like Bitcoin and Litecoin were created to revolutionise the banking system, making it impossible for one central entity to have all of the power so to speak. Ripple is very much the opposite of this philosophy; it was created as a centralised system to aid banks and major financial institutions to facilitate faster and cheaper payments. The important thing however is that you can start trading on Ripple like any other cryptocurrency.
How to Trade Ripple
Once again, Ripple is different to currencies like Bitcoin in that you can’t actually mine to earn more. The number of coins in circulation is controlled by Ripple themselves, meaning there are only two ways to get involved with this currency. First of all, you could go to a crypto exchange and buy Ripple - but there may be a fee involved and the inevitable ups and downs of a cryptocurrency.
The second option is to speculate on the value of Ripple versus something like the US dollar. This comes with quite a number of advantages that may not seem apparent at a first glance.
No coins? No problem: If you choose to trade Ripple then good news - you don’t have to actually own any XRP! Instead you are speculating on the value of the currency and this gives you a lot of freedom that owning the currency doesn’t actually give you.
Go Long or Short: When you own a cryptocurrency, the only place you want it to go is up. And sometimes, it can absolutely skyrocket in value - just look at what happened to the value of Bitcoin in December 2017. But with Ripple trading, you can also profit from downward trends as well.
Maximise profit potential with leverage: In the same way that you don’t have to own the actual asset to trade, with leverage you also only need a fraction of the capital to open a position. It is worth keeping in mind that while leverage is an extremely powerful tool, it can also create significant losses without an appropriate risk management strategy in place.
Ripple Trading Strategies
With a trading strategy, you can follow the example of other traders and profit using tried and tested methods. Here’s a few of the most popular to test out - if you’re new to trading we recommend opening a free demo account; all of the brokers on this page will let you open an account in seconds so you can start practicing right away.
Day Trading: Open a position based on short term movements and close at the end of the day - simple! This flexible form of trading is perfect for taking advantage of movements in the volatile crypto market.
Scalping: An even more flexible strategy which allows you to take advantage of even more short term price movements. Perfect for anyone who likes the idea of small but continuous profits.