A Comparison and Guide to Crypto Trading Apps
Getting involved with cryptocurrency can be daunting, especially when it comes to all the crypto networks, exchanges, traders and brokers to think about. The truth is, the decision about all of these should be made around the individual and their own circumstances.
Looking at crypto trading, specifically, this is ordinarily the first step to make when venturing into the crypto metaverse. It is also the most overlooked. Oftentimes an investor can make the mistake of buying and trading on the first app that they find – or the most convenient – believing them to be almost identical in how they run and what they offer.
But there are key differences between trading apps which should be considered. Some are optimum for beginners, others are good for experienced investors, funding, communities, efficiency, practicing trades, and so on. As mentioned before, it all comes down to the individual and what they are looking to gain.
What Does It Mean To Trade Cryptocurrency?
To understand how to begin, it is first important to examine what it means to trade crypto. Trading crypto essentially means you are speculating on the potential price of a particular token, purchasing the crypto token on a trading app and then trading it for – hopefully – a higher price.
Take Bitcoin, for instance. When the whitepaper was created by Satoshi Nakamoto in 2009, it was worth $0. You didn’t read that wrong. While Bitcoin was once worthless, it is now worth over $20,000 – and suspected to rise to over $200,000 by 2030 – meaning investors who purchased it at the beginning and hodl’d until today could trade Bitcoin for $20,000 more purely down to strategy alone.
Although no coin is worthless right now, the same principles still apply. Many investors now trade cryptocurrency in the hope that the market will swing in their favour and leave them sitting on something far more valuable. Alternatively, there are other investors who will short-sell tokens if they believe the value will fall.
What Are Crypto Trading Apps?
A crypto trading app is where the magic happens. Most apps are the place where you can buy, trade, send, receive, hold and invest all of your crypto assets. They are used by both beginner and advanced traders – although, as mentioned previously, some are better for one than the other. Most apps will allow you to trade with a credit or debit card, as well as bank, SEPA, wire or other methods.
As an investor, it is important to research these apps and decide which works best according to the individual. For instance, some will offer a way to invest and trade simply and cleanly but with high-interest rates. Others have a membership ecosystem, trading guides or investment strategies. Some have a wide range of crypto collections for a good price, others not so much.
As with anything on the internet, there are optimum routes to go down and routes that will not work for the specific investor. With this in mind, here is a comparison and guide to the best crypto trading apps right now and how they might work for different traders:
For Beginners: Kraken
Being one of the oldest crypto trading apps, Kraken has had a fair amount of time to update and forge itself into one of the best crypto trading apps on the market, especially when it comes to beginners. It supports more than 120 crypto coins, with a high liquidity exchange and a simple user interface.
The pricing and features also make it perfect for a novice who is dipping their toes into the water. For instance, the standard deposit on Kraken is $5, which means if you were to deposit an amount of $500, you would only have a 1% fee – although it should be noted higher fees should be expected if you are not using Kraken Pro.
For Portfolio Builders: Coinbase
Coinbase is a good option for both beginners and experts alike. It is easy to use, with a main website and mobile app, which makes buying, selling and exchanging cryptocurrencies smooth and efficient.
Like Kraken, it has a good number of crypto, with over 100 tokens on the app ready to be traded. For those who are looking to build their portfolio, Coinbase is one of the best apps out there. As a user, you can earn interest on eligible balances and even earn an amount of cryptocurrency through Coinbase Earn.
For Experts: Moneta
With a monthly trading volume of over $100 billion, Moneta is one of the largest trading platforms worldwide, with a scaling system that allows professionals to access higher leverage. There is commission-free trading and a variety of educational resources – all free.
It is important, however, that users of Moneta know what they are doing. Demo accounts expire after thirty days, and all live accounts need a minimum deposit of $200. That being said, its size and accessibility make it a highly trustworthy app with a number of positive reviews from users.
For Efficiency: Markets.com
For investors who are looking for speed, speed, speed, Markets.com is a perfect app which is renowned for fast deposit, withdrawal and account opening. There are plenty of tools for learning and research, too, with a solid customer experience.
At $100, its deposit fees sit in the middle between Kraken and Moneta, but there are over 2000 trading instruments available, making it a good choice for those looking for options. It is important to note, however, that Markets.com does not let you buy and own cryptocurrencies. You can only trade. Coins available to be traded include BTC, ETH, DASH and XRP.
For Community: eToro
eToro is one of the strongest social trading networks right now. Unlike the other trading apps already mentioned, it has unique social trading capabilities which allow users to match the moves of other traders.
Users of the app have the ability to refine their knowledge and learn some trading wisdom from fellow investors. Whatsmore, you can gain exclusive perks simply by sharing your own trading strategies, which encourages users to communicate and create a community. This makes eToro a great option if you do not want to be left in the dark about the market.
For Assurity: Plus 500
Plus 500 has an easy-to-use platform which allows users to trade a number of cryptocurrencies. It is regulated by the FCA, which proves its credibility and has guaranteed stop-loss orders, which ultimately protect the trader from market gap risk. As well as this, Plus 500 also offers negative balance protection, meaning that clients cannot lose more than they have put into their account.
For investors looking for assurity in this instance, it is certainly a solid platform. However, it should be noted that trading platforms cannot be paired, and, as a platform, Plus 500 leans more towards investors who have strong experience and are willing to take the risk of losing out due to leverage.
For Funding Options: CEX.IO
For a cryptocurrency trading platform, CEX.IO has an exceptionally high rating, with 4.7 out of 5 stars on Trustpilot. It has strong security – protection from DDOS attacks, cold storage and full data encryption – as well as 24/7 support for anyone who has any questions about the app and their investments.
CEX.IO currently has over 4 million registered users worldwide, making it a trustworthy app for users who have had a bad experience or are looking to avoid one. Funding options are also diverse and designed to cater towards any user. For instance, users are able to pay using PayPal, which gives you the option of funding your wallet without adding bank information or card numbers.
For Account Options: PU Prime
Founded in 2015, PU Prime is a platform with over 200,000 users and is supported by MetaTrader, which has a proprietary mobile app and demo versions of their account types. There are 40 cryptocurrency tokens, including BTC, ETH and ADA.
In terms of their account types, a user can opt for a standard account – providing investors with zero commission and trading across the full range of markets – a prime account – requiring a $940 minimum deposit – a cent account – which is provided for smaller stake trades – and a demo account – recommended for users who want to trial the application before committing to a live account. Having four account types gives an investor using PU Prime the ability to accurately seek out the kind of application they want to be using, offering a useful transparency to let you know whether PU Prime is for you.
For The Casual Trader: Skilling
Founded in 2016, Skilling is a fintech company that supports more than 55 cryptocurrencies, including BTC, ETH, XRP and LTC. They do not necessarily specialise in crypto, but Skilling is certainly a good option for the more casual crypto trader who is looking to add some digital assets to their portfolio.
Trading options are relatively limited in comparison to other apps such as Kraken and Coinbase, but it is a solid platform which is renowned for its speed and ease of use. Just don’t be expecting to find a load of altcoins on there any time soon.
For The All-Rounder: Binance
Any crypto investor, novice or expert, will have heard of Binance. It is one of the most popular trading apps out there for a reason, with an easy, user-friendly interface to collect and trade crypto. Compared to other trading apps in this list, Binance feels like the perfect all-rounder, with a distinct similarity to Kraken and eToro.
It allows beginners to feel at home with a fast and practical layout, as well as an ability to become part of a wider crypto community. Having exploded onto the scene only five years ago, it has quickly climbed its way to the top of the market, proving its accessibility, trustworthiness and innovation when it comes to how the majority of crypto investors want to trade.
How Do I Know Which Of These Trading Apps Is For Me?
This is a comparison guide to the best crypto traders on the market, but, as mentioned previously, it is all about the individual. If you spot an app on this list which seems right for you, then delve deeper into it and see if you can try a demo. Remember, in order to understand the ideal trading app, you need to understand what you are looking to get out of the crypto market, why you are investing and how you would like to trade. Take your time and make an informed and educated decision.
What Are The Advantages Of Trading Crypto?
There are many advantages to trading crypto. For starters, the world is steadily heading into Web3, meaning cryptocurrency will likely play a big part in all of our lives very soon. Crypto offers a fair system with an emphasis on efficiency and practicality, and trading it right now offers a good possibility to garner a return.
What Are The Negatives Of Trading Crypto?
There may be negatives to crypto trading if you do not choose your trading app responsibly. As mentioned before, it is important to look into each platform and what they offer, ensuring that – if you are a beginner – you are not jumping into a world which is catered more towards the experts. As well as this, cryptocurrency is subject to high fluctuations, meaning there is risk involved, and you need to have a good trading strategy and understanding of the market.
Is It The Right Time To Buy And Trade Crypto?
The cryptocurrency market is hard to predict. Of course, right now, the market appears to be heading into a crypto winter, meaning prices are going to be low, but no one knows how long this winter will last. It might be a great time to gather a portfolio for a lower price and hodl until things begin picking up again.
According to experts, those who trade Ethereum could see a return of $5,906.10 by 2027, with Bitcoin also predicted to reach around $175,500 by the same time. As mentioned before, however, nothing is certain. For now, if you are looking to be invested in the metaverse, it is important to find the right application which will allow you to access it in the best way possible.