List Of Abbreviations Commonly Used In Cryptocurrency Trading



In every industry, there is a special language to make communication easy and efficient. Those abbreviations have a great impact on the industry, lets understand what they are.

List of abbreviations commonly used in cryptocurrency trading and  CryptoSpace which are most helpful for the community:

  • Altcoins: Alternate cryptocurrency that is any cryptocurrency other than bitcoin
  • Bag Holder: A person who buys and hold coins in large quantity hoping to make good profits in the future.
  • Bear/Bearish: Negative price movement
  • BTFD: Buy The Fucking Dip
  • Bull/Bullish= Positive price movement
  • DILDO: Long green or red candles
  • Dump: To Sell off a coin
  • DYOR: Do Your Own Research
  • FA: Fundamental Analysis
  • FOMO: Fear Of Missing Out
  • FUD: Fear Uncertainty & Doubt
  • HODL: Hold/Hold a position
  • ICO: Intial coin offering otherwise know as IPO.
  • Long: Margin bull position
  • MCAP: Market Capitalization
  • Moon: Continuous upward movement of price
  • OTC: Over The Counter
  • Pump: Upward price movement
  • Shitcoin: A coin with no potential value or use
  • Short: Margin bear position
  • Swing: Zig zag price movement (Upwards and downwards)
  • TA: Technical Analysis
  • REKT: When you have a bad loss
  • Whale: Very Wealthy trader/Market mover.
  • Weak Hand: a coin holder prone to selling at the first sign of a deep in price.
  • AMA: Ask me anything
  • ATH: All-Time High
  • ASHDRAKED:  A situation where you lost all your money.
  • C2C: Crypto to Crypto
  • DLT: Distributed ledger technology
  • DYOR: Do Your Own Research
  • IMO: In My Opinion
  • JOMO: Joy Of Missing Out
  • Lambo: Lambo is the status symbol that becomes an elusive goal for most investors. It’s a car industry reference that makes people believe everyone who has entered the cryptocurrency business will buy a Lamborghini very soon.
  • Moon: To the Moon resembles the All-Time high.
  • Nocoiner: A Nocoiner can be any person who doesn’t own Bitcoins.
  • Noob: A person who is inexperienced/ new to a particular sphere or activity,
  • OTC: Over The Counter
  • SAFU: Secure Asset Funds for Users.
  • Shill: Shill is the holder/owner of altcoins who just wants to promote his digital currency for his own benefit.
Do you know any abbreviations used in Crypto Space not listed here? let hear from you.

How to maximize profit with Trailing Stop Loss?

 


A Trailing Stop Loss is a modification of a typical stop order that can be set at a defined percentage or dollar amount away from a security's current market price. For a long position, an investor places a trailing stop loss below the current market price. For a short position, an investor places the trailing stop above the current market price.

A trailing stop is designed to protect gains by enabling a trade to remain open and continue to profit as long as the price is moving in the investor’s favor. The order closes the trad

Now understand Trailing Stop loss with an example. 

Assume you bought a coin at the price of 100 and put the trailing stop loss at 90 (10 points below the buying price).

If the price drops to 90 then your stop loss will be activated and the trade is closed with a 10% loss. 

But if the price of the coin increase to 130 then the trailing stop loss automatically shifts to 120 (means 10 points below the current price). If the price drops to 120 then the trade is closed automatically (the 120 trailing stop loss will be activated), If the price continues to increase the trailing stop also increase with it and remains always 10 points below the current price. You need to do it manually. 


Currently, Binance only supports trailing stop loss for the Futures market but sooner we will see the feature for spot trading also.

Binance Exchange

HOT vs COLD Wallet CryptoCurrency?


 

Security is still the main concern in Crypto Industry, during the past couple of years we saw various Hacking, Theft or Even Exchange Shuts Down.

For an individual is keeping funds on exchanges or internet-connected wallets is no safer, we must have to know what is COLD & HOT Wallets are?

HOT Wallet: The Wallet which is connected to the internet is HOT Wallet, such as Exchanges, Web Wallet, MEW, etc. The main issue with these wallets is that these are highly accessible due to that chances of hacking are much.

COLD Wallet: The Wallet which is not connected to internet is COLD Wallet, you can say these are offline wallets, you can store your funds offline, such as LEDGER Wallet, Trezor Or Paper Wallet. Due to their offline nature funds are more secure in the respective ways.

What are Algorithmic Stablecoins?

 

Algorithmic Stablecoins
IMG Source

Seigniorage or Algorithmic StableCoins is the stable coins that are designed to Expand or Contract their supply according to the Demand & Supply of the market. 

Before getting into Algo Stablecoins, let's understand what are stablecoins in short, 

Stablecoins are acting the same as a fiat currency in Crypto Space, you can say it a Fiat Currency of Crypto Space in Digital Form. These coins are generally backed by the Fiat Currency of the particular country like (USDT by Dollars) or other Cryptocurrencies or Some Precious Metals. 

USDT (Tether) is one of the most popular Stablecoin in #Crypto Space, One unit of a #Stablecoin equals $1.

Algo-StableCoins method uses ‘Smart Contracts’ that automatically expand and contract the supply using algorithms to maintain value.

Said StableCoin has a $1 value. The price drops to $0.80, indicating the supply of StableCoins is higher than the demand. The algorithm uses seigniorage to buy ‘said’ StableCoin, thereby decreasing supply and pushing the price back to $1.

Users are essentially investing in the coins. When said StableCoin trades above $1, the algorithm issues additional tokens increasing supply until the price returns to $1.

Source

YoBit Exchange