Top-5 Popular Assets for Trading | The Most Promising Cryptocurrencies | Resonance

Problematic

You’ve probably met on YouTube or news resources catchy clickbait headlines: ‘The best 10 coins you should buy into right now’, ‘The most profitable coins of 20XX year’, and so on. Creators create such selections, promising that the selected ‘most promising cryptocurrencies’ will certainly grow. But the future is not predetermined, and any forecasts, even backed by the ‘opinion of experts’, can not guarantee price growth or stable income from investments.

What is usually traded?

Among crypto traders and stock market participants, a common approach is to choose the most popular cryptocurrencies based on three criteria:
Sufficient liquidity
Attractive transaction statistics
Information background: news, social media, video reviews.
Plus, the charts of such assets are ‘technical’, which, according to many, helps to determine where the favourable entry points are. Some go even easier - they sort coins by capitalisation or select pairs with maximum daily volume.
Why does this limit development?
We believe that deliberately avoiding the broad market turns into a small ‘trading cage’. Essentially, a trader who buys only one asset (e.g. BTC) or a narrow pool of ‘fast-growing pairs’ falls into a compulsive pattern of behaviour. Psychologists call this obsessive behaviour.

Obsessive compulsive disorder is a condition in which a person is disturbed by intrusive thoughts. Alien images and urges to certain actions arise involuntarily. The person tries to ward off these ideas, the condition causes anxiety and discomfort.
Digression: if trading is not the main source of income, but a part of life between the main job, family and hobbies, it is logical to concentrate on understandable instruments. But for those who want to grow, it makes sense to expand the horizon.

Advantages of trading the whole market

• Regular market monitoring. When you look at hundreds of charts of trading pairs, for example with Screener, you train your eyes. Over time you start to notice patterns and use them for scalping, trading intrade or opt for long-term investing.

• Continuous presence in the market. Even when there’s a doldrums on the tops, there’s a set-up for your strategy in another pair.

• Fast selection of ideas. By testing a combination of instruments, for example, FTT + BAS, you can find a selection of interesting assets for trading in the whole market faster, and thus save time.

I would also like to say a few words about BTC and ETH pairs. Searching for anomalies and trading to these cryptocurrencies can also be quite justified. Especially if you are systematically accumulating these assets. It’s one thing to have coins lying dead weight in your wallet and quite another when you not only periodically buy up, but also strive to increase their number. By using different strategies and approaches, whether it’s profitable short-term trades or long-term investing, you increase the efficiency of your capital.

Using volume analysis and correct risk management, you may well be able to increase your profitability, while getting better opportunities and much more profit. Of course, this will require much more effort than just looking at 5-10 assets once a day. But your experience and statistics will grow exponentially.

Conclusion

We deliberately do not call here ‘Top 5 most promising cryptocurrencies’ or ‘fast-growing and cheap assets of the month’ because this is essentially a trap for both a beginner and an experienced trader. Nobody knows which future cryptocurrencies of the next** month or year will give the maximum profit. It is much more important to develop the skill of searching for trading ideas in the whole market. If it is psychologically difficult to trade “unknown” or "cheap pairs", start with a demo account or a small deposit.

Let your investment in knowledge be sure to pay off. After all, you yourself decide which assets deserve attention, which coins to buy and sell, which strategies will be the best for achieving your goals.