update 1 September 2021

8 Must-Have Tools for Trading Cryptocurrency in 2021

Trading cryptocurrencies is becoming a lucrative investment sector thanks to the increasing prices of crypto tokens with each passing day. Bitcoin increased by an incredible 170% in 2020 alone, indicating the rapidly expanding crypto space’s massive profitability. While investing in the crypto space is quite profitable, not everyone can realize lucrative returns and create a fortune. 

Having the proper investing mindset and the right set of crypto tools is crucial for success in the crypto space. Cryptocurrency trading tools such as portfolio managers, wallets, market watchers, portfolio balancers, crypto news aggregators, and exchanges make crypto trading seamless and profitable. Here’s a look at the eight must-have tools for trading cryptocurrency in 2021. 

Crypto Exchanges

The first step in investing in cryptocurrencies is choosing a reputable crypto exchange. Three essential factors to consider when choosing a crypto exchange are security, transaction fees, and liquidity. The leading crypto exchanges you ought to consider are: 

  • Binance – Binance is a leading crypto exchange with the most market volume. The exchange boasts of a user-friendly interface with a reliable team. Binance trading fee is the lowest among crypto exchanges at 0.1% and supports a wide range of crypto assets. Users have also been rewarded a 50% discount if they use the platform’s BNB tokens to pay for the trading fees. 
  • Coinbase Pro – Coinbase Pro is another outstanding US-based crypto exchange ideal for large crypto investors. The exchange is FDIC insured, where US users are insured if they lose up to $250 000 on the platform. 

Trading Platforms

Trading platforms streamline cryptocurrency trading by providing a single platform to trade crypto coins across multiple exchanges. Trading platforms eliminate the need to sign up on several exchanges or having multiple exchanges on a single platform. Some of the best trading platforms are: 

  • Tradedash – Tradedash integrates both Binance and Bittrex and other popular crypto exchanges. The platform is based on the desktop, meaning users have to store their encrypted and private keys. The app was designed with high-volume digital asset traders in mind.
  • Coinigy- Coinigy is a popular trading platform in the crypto space launched in 2014. The platform supports over 45 crypto exchanges and integrates trading charts as well. It’s web-based and displays historical data making it one of the trading tools needed by any crypto traders.   

Charting Tools

Charting tools enable you to establish trend lines and trading indicators to determine the market direction. Charting tools are essential in technical analysis for profitable trading decisions. The best charting tools are: 

  • TradingView- TradingView is arguably the best charting tool in the crypto space with comprehensive features, including live trading charts and prices. The platform offers both free and premium features plus added technical indicators.  
  • Cryptowatch- Cryptowat.ch is a product of Kraken exchange and comes completely free of charge. The exchange gives users access to up to 10 trading charts in a single view. It’s an excellent platform for analyzing the crypto market using technical analysis

Market Data

Since the crypto prices are very volatile, every trader needs a constant update with accurate market data such as trading volume, coin prices, and supply. Two of the leading market data source tools are: 

  • CryptoCompare- CryptoCompare has been in the crypto space for quite some time now. The platform offers reliable market data, enabling crypto traders to date with market changes and track their portfolio.
  • CoinMarketCap- CoinMarketCap offers market data as well as crypto price charts. The platform claims to be the world’s leading crypto market data authority, offering crypto traders lots of data, including data authority, prices, exchanges, volumes, and even currency conversion.

Crypto Tax Tools

The implementation of cryptocurrency regulations in several countries led to the taxation of crypto investments. Being a new entrant in the world of investments, most traders are yet to understand crypto taxation models. Crypto tax tools enable traders to understand the model of taxation or how much taxes they owe the state. 

  • Token Tax– Token Tax is well-designed to calculate crypto taxes and total income from crypto investments. 
  • Cointracking.info- This is a sophisticated crypto tax tool that allows users to import their crypto transaction record via an API. The platform then analyzes the transaction records and then comes up with a tax report. In addition to being a crypto tax tool, the platform also has crypto portfolio tracking capabilities.  

Crypto News Aggregators

Apart from technical analysis, fundamental analysis is also a critical factor in predicting market direction. Crypto news aggregators make fundamental analysis seamless by aggregating all news to a single platform. Top crypto news aggregators are: 

  • FAWS- FAWS offers the latest news in the crypto space from various sources thanks to an API connection. It features a sleek user-friendly interface with easy-to-read content. 
  • CryptoPanic- CryptoPanic is an all-in-one crypto news aggregator available for free. It keeps you up to date with the recent happenings in the crypto space. 

Crypto Trading Bots

Trading bots are essential software in the crypto space that assist traders set particular parameters for trading. This software can execute trades automatically and trade on your behalf as you sleep or are busy with other things. You need to set your trading strategy. Some of the best crypto trading bots are: 

  • Gekko- Gekko is an open-source crypto trading software that can execute trades on over 15 crypto exchanges. The bot is available for free, but you need to have some experience to use it. 
  • HaasOnline- HaasOnline is a reputable crypto trading bot and features a user-friendly interface with handy features and over 600 commands. The bot allows you to execute trades in dozens of crypto exchanges in minutes, rapidly. Users can monitor trade in real-time plus generate and auto interprets trading signals. 

Portfolio Trackers

Portfolio trackers are a vital crypto trading tool to assist traders in keeping track of their crypto investments. Portfolio trackers monitor the 24-hour change in the investment, determine the total investment, and monitor each coin’s performance in the portfolio. They are all in one solution for being in touch with your crypto coins. Leading crypto trackers are: 

  • Blockfolio– Blockfolio is the most used crypto tracker. It features a sleek user-interface, real-time trading signals as well as a news section. Blockfolio allows you to track over 10,000 cryptocurrencies across 500 exchanges. 
  • Cointracking– Cointracking is another outstanding crypto portfolio tracker with automation features. The platform allows you to track over 8000 crypto coins over 70 exchanges with real-time coin prices. Outstanding features of the platform include trade imports, tax declaration, and coin charts & trends.  

Final Word – 8 Must-Have Tools for Trading Cryptocurrency

Btc
Bitcoin
$42.791
price
2.86835%
price change
BUY NOW

Cryptocurrency trading is a lucrative business and can create a fortune if correctly done. Crypto tools for trading cryptocurrency come in handy to assist investors in making profitable investment decisions and reduce the risk associated with crypto trading. The best crypto trading tools will make your trading seamless and comfortable plus assures you of constant profits. 

More posts

Can You Gamble with Crypto in Las Vegas

Las Vegas is best known for gambling with an enormous concentration of world-class casinos and hotels. This entertainment hub situated in the State of Nevada attracts thousands of tourists across the world to experience the glamour and gambling life. Following the massive growth of Bitcoin in recent years, Las Vegas has increasingly embraced it, with widespread use, especially as a mode of payment for dining, rent, cars, etc. Over fifty businesses in Las Vegas, Nevada accept cryptocurrency as a mode…

Cases of the Longest Bearish Price Trends in the Crypto Market

The crypto world's decade-long existence has not been flawless. Like in any other market, there is always a bear trend that leads to massive losses. The 2008 market crash is one of the biggest bear markets in the financial world, and others occurred in the following years.  Crypto has seen cases of long market crashes as well, some lasting over a year. This guide will be looking into 5 of the must-know crypto market crashes. Furthermore, it will highlight the…

Who will enter the CryptoSphere first: Amazon or Facebook?

Amazon and Facebook are some of the biggest technology companies in the world and have long been the main drivers of tech innovation across the globe. These two companies have substantially impacted billions of internet users, whether it's through Facebook's pioneering and massively successful social media platform or Amazon’s enormous e-commerce platform and cloud computing services.  Both Amazon and Facebook have made several steps in the cryptosphere pushing for the adoption of cryptocurrencies and blockchain technology. In fact, Facebook and…

What Really Happens When Swapping Cryptos?

The process of swapping cryptocurrencies can be somewhat complex. Sometimes, you may end up lacking the exchange assets you need. For instance, you may want to exchange BTC for ZIL. Generally, there are very few exchanges that support direct BTC to ZIL exchanges. Therefore, in many scenarios, an individual will have to find a BTC trading pair. Exchange the BTC to another pair connected to ZIL, then complete by exchanging the second asset to Zil. Generally, following the whole exchange…

Could Brexit be the Underlying Reason for Developing The Digital Euro

After the election in December 2019, the British Parliament decided to ratify the withdrawal from the European Union. Factors that influenced Brexit included immigration, sovereignty, anti-establishment politics, among others. Could Brexit have influenced the development of the digital Euro? Read on to find out as we break down factors that led to the development of digital currency. The Growth of Digital Assets The concept of digital assets is not novel; its penetration and influence have left no stone unturned. The…

What Are Crypto Validators and How do They Work?

Crypto Validators are new "payment processors" in decentralized networks, and as such, they produce blockchain rewards. It sounds simple, doesn’t it? However, the definition of validators in crypto is much more complex than that. Also, the role of a validator may change depending on the consensus mechanism that each blockchain uses. In this guide to validators in blockchain, we take a closer look at this entity and its indispensable role. Furthermore, we analyze four validator use cases in different blockchains…

How Many ETH Will Burn After the London Fork?

Since its launch in July 2015, Ethereum has grown exponentially to be the second leading cryptocurrency in market value after Bitcoin. The platform’s growth has primarily been attributed to its smart contract feature, which powers the deployment of a wide range of applications, including oracles, decentralized finance (DeFi), decentralized exchanges (DApps), marketplaces, crypto-collectibles (NFTs), and developer tools.  Despite its growth, Ethereum faces numerous challenges that hinder its usability. The scalability challenge is one of the biggest ones that Ethereum faces. The current state…

The Impact of Adoption of Cryptocurrencies on E-commerce Business

E-commerce is the short form of electronic commerce. It is the buying and selling of merchandise over the internet networks. It also involves the transfer of funds and the keeping of records to certify the transactions made. E-commerce is of three types; business-to-consumer (B2C), business-to-business (B2B), and business-to-government (B2G). The main reason for using cryptocurrencies in e-commerce is to get rid of third parties that control the transactions. This relationship can make online shopping much easier and safer since blockchain technology that backs up cryptocurrencies is…

What it Means to Make Bitcoin a Legal Tender

June 9, 2021, marks the first move that would make history in Bitcoin's timeline. El Salvador passed a bill where 62 of 84 congressional voters would make Bitcoin a legal tender. Fast forward to September 7, and El Salvador became the first country to make Bitcoin a legal tender. In this article, we shall look into what it means for Bitcoin to be a legal tender in detail; What is Legal Tender? "This note is legal tender for all debts, public and…

The Correlation Between Blockchain Activity and Transaction Fees

Miners and validators are essential cogs in any crypto project. They're the ones who process transactions on a blockchain (BC) activity. For their efforts, crypto projects compensate them for their efforts from transaction fees. A transaction is only valid when it has undergone validation. The process ends in the validators adding it to the BC. Mining consumes a lot of computing power. As such, it's an energy-intensive exercise. The motivation for the miners is the block reward that consists of…