It is fair to say that cryptocurrency has really started to hit the headlines recently. This is certainly true for investors who see not only the positive media attention that major coins get but also the potential for big returns that the crypto market can offer. When people see stories such as Bitcoin hitting an all-time-high price earlier in October 2021 and going past the $65,000 mark, they tend to take notice!
While this is great news for the crypto market in general, it has seen a flood of new traders enter it lately. This can start to make trading opportunities harder to come across and leave more experienced crypto traders feeling a little cramped for space. Rather than letting this stress you out, a good tip is to put the knowledge you have built up from trading digital currency to use in other financial markets.
All trading essentially works on the same basis, and you should find the skills you have as a crypto trader easy to transfer to other assets. Which new markets could more experienced crypto investors head to though?
Forex
Perhaps the most comparable market to look at for crypto traders is forex. If you do plan to delve into this asset, just remember to find a safe and secure broker to use first. AskTraders is a reliable source of information in this area and has a list of top forex brokers to peruse. While there, you may also want to look at the stacks of expert guidance offered to FX traders.
Why is this market a good one for crypto traders to try? To begin with, it is open 24 hours a day, five days a week, which offers plenty of action and trading opportunities. In addition, it is a huge market with lots of active traders globally. This gives it excellent liquidity, especially in the most popular currency pairs. Like crypto, FX is also pretty fast-moving and can bring quick profits. All this combined means that it offers a similar experience to crypto trading and also sees you dealing in money (though the traditional kind).
Stocks
Bitcoin remains the best coin to invest in for many people, but what if you want to get out of crypto altogether? While you will not be trading in money on the world’s stock markets, it is still a place where the knowledge you have picked up already comes in handy. As with trading crypto, for example, you will need to analyze charts and make decisions based off this analysis. As with crypto, stock trading can be impacted by financial news, and this means that your ability to interpret breaking headlines comes in useful.
Although many people think of stock trading as being slow and long term, this is not always true. You can trade on shorter timescales and with fast-paced scalping strategies. This means that your experience of volatile crypto markets and fast-moving action can come in handy again. The real kicker is that stocks can make a great investment and offer lower risk if the digital currency market gets a little too crazy.
Equity Crowdfunding
If investing in stocks doesn’t quite grab you, equity crowdfunding offers a different way to put money into other people’s businesses. In simple terms, it sees you invest money directly into a business via online crowdfunding platforms. This sees you own part of the company and benefit as such from its success. Of course, you do risk losing all your money if the venture fails.
The beauty of using popular sites such as AngelList is that it gives the same buzz that crypto investing offers. In addition, it also feels like you are doing something cooler or more unique than traditional investment choices. For people who have been drawn to crypto first, this could make it very appealing. As this type of investment can be higher risk, it might also appeal to crypto traders who like the thrill that this brings.
A world of choice for investors beyond cryptocurrency
While you might have started your trading journey with crypto and built up knowledge there, you do not have to limit yourself to only investing in digital currency. There is actually a large choice of other markets you could put money into if you find the influx of new traders into crypto too much. Whether you go for forex, stocks or equity crowdfunding, you should find that what you have learnt already can be reused. You should also find these other forms of investment just as much fun to get involved with as crypto.
