Reading articles about the crypto industry is not enough to be engaged with it. To become a successful trader or investor, you need to understand how this market works. It is impossible to do without practice. The truth is that we learn lessons from mistakes we make, but what if every mistake can lead to losses? There is the answer - practice crypto trading on a demo account.
The crypto trade practice option is available on several large crypto platforms:
WhiteBIT
Binance
KuCoin
The Advantages And Disadvantages Of Practicing Demo Crypto Trading
First of all, you will understand if this scope suits you at all. Many want to trade but don't know all the difficulties they may face. Thinking that trading is easy may lead to disappointment and frustration when facing the first complicated situation in an actual market. For this reason, it is worth trying yourself in this scope.
The next benefit of crypto demo trading is practicing all the exchange tools. You can try simple swaps and even the most complex futures or trade with leverage. Such experience will open all the pitfalls and weak sides of your skills, and you will know how to react quickly and efficiently.
Experienced traders often use bots to simplify their work. Demo trading is valuable in this case.
One of the disadvantages of demo crypto trading is it's main advantage. It is the absence of risks. Practicing on a crypto trading simulator allows you to make mistakes and see the consequences. On the other hand, you can develop such a habit of making trades without fear of losing funds, which can cause trouble in actual trading. So when you switch to the real market and invest money, make sure you understand this is no longer a simulator.
Another disadvantage of crypto demo trading is that demo accounts usually work faster than the actual market.
The next benefit of crypto demo trading is practicing all the exchange tools. You can try simple swaps and even the most complex futures or trade with leverage. Such experience will open all the pitfalls and weak sides of your skills
