Trading

September 10, 2021

Cryptocurrency or Forex? What Should You Trade?

We have heard this question many times: “cryptocurrency or forex?.” No matter if you want to trade on a regular basis or not, you should know about these two markets and why they are important to you. 

We have heard this question many times: “cryptocurrency or forex?.” No matter if you want to trade on a regular basis or not, you should know about these two markets and why they are important to you.

Cryptocurrency became a very important market in recent years while forex has been actively traded by thousands of investors around the world for decades. Thus, the answer to the question of cryptocurrency or forex? should focus on your needs and financial activities. In this guide, we share with you the information you should know about both cryptocurrency and forex.

Disclaimer: the information shared by AltSignals and its writers should not be considered financial advice. This is for educational purposes only. We are not responsible for any investment decision you make after reading this post. Never invest more than what you are able to lose. Always contact your professional. financial advisor.

Cryptocurrency or Forex?

Cryptocurrency and forex are two different markets in which we can trade or cryptocurrencies or national currencies from different countries. Each of these markets has its own characteristics and each of them will be suitable for different types of traders.

While virtual currencies became popular in the last decade, the forex market has been a multi-decade market in which people and companies operate directly or indirectly. Both markets are good options for investors that want to make some profits with price fluctuations.

What is Forex?

The forex market allows users to trade national currencies from all over the world. You can exchange your EUR for USD, your GBP for EUR, or JPY for USD, and vice-versa. These trading pairs mentioned are just some of the most popular ones (larger volumes), but there are many other trading pairs with currencies from emerging countries.

The goal in the forex market is to exchange currencies and make profits with these price fluctuations. If the EUR appreciates 10% against the USD dollars and you were able to exchange USD for EUR, now you made a 10% profit.

What are Cryptocurrencies?

Cryptocurrencies instead were created in 2008 with Bitcoin (BTC) and expanded all over the world throughout the last decade. Nowadays, users can exchange more tha 10k virtual currencies in different platforms called exchanges.

The cryptocurrency space has also evolved in many different aspects. While in the past it was just a market for retail investors, it now became a market for both retail and institutional investors.

Considering that there are now new solutions offered by different protocols and blockchain networks, the possibilities to make profits with this market are certainly large.

Is Crypto more Profitable than Forex?

It might be possible for cryptocurrencies to be more profitable than forex in the short term. Indeed, cryptocurrencies are more volatile than national currencies. If we take that into consideration, traders could open and close trades on a daily basis in order to profit from these fluctuations.

Despite that, users that follow AltSignals trading signals would be able not only to trade in the cryptocurrency market but also forex. This would make it possible for users to be part of the market and enjoy the profits that these markets could generate.

Can you Trade Crypto like Forex?

Yes, you can trade crypto like forex. However, there are some differences between these two markets. To trade in the forex market, you will need to use a forex broker. Instead, when you trade virtual currencies, you will have to use an exchange.

For both markets, you can apply both technical analysis and fundamentals. Everything would depend on the type of trader you are and which strategy suits better to you. Remember that these markets are different and would require you to execute different trading strategies.

Is Crypto Considered Forex?

Cryptocurrency is not considered forex. Users can trade virtual currencies in different markets than forex. That means that you should open a cryptocurrency exchange account to start handling the virtual currencies you want.

To trade in the forex market, as we mentioned before, you will have to use a broker account. These are different platforms with different services, fees and functionalities. Depending on the type of trader you are, you would be able to select between these two markets.

In recent years, a large number of individuals considered Bitcoin a currency. Nonetheless, this virtual currency is considered by governments a commodity, which is different from a currency. El Salvador has been the only country to make Bitcoin legal tender for transactions and payments.

AltSignals Team

Proficient authors guiding you with transparency, integrity and education through the finance international markets

The AltSignals writing team consists of experts dedicated to the world of finance and technology, with a particular focus on cryptocurrencies and forex. Our writers bring a broad range of knowledge and experience, cultivated through years of arduous and direct involvement in financial markets, as well as intense technological collaboration.

Editorial approach

At AltSignals, we believe that transparency and education are the key to empowering our readers. Therefore, our content is meticulously researched to ensure its accuracy and thoroughness. Each of our articles is created with the aim of providing educational insights and in-depth analysis, helping both beginners and experienced traders.

Commitment to quality

Integrity is certainly the foundation of our editorial process. The team follows rigorous journalistic standards with careful review, all to ensure that each publication is meticulously researched and exceeds our readers’ expectations.

Our mission is to provide analysis that informs as well as guides users and enthusiasts through the complexities of the cryptocurrency and forex markets. In line with our motto of “quality over quantity”, we guarantee that only the highest quality trading signals are published.

In addition to our commitment, which extends beyond the simple transmission of useful information, our in-depth analysis focuses on profitability and effectiveness squarely, avoiding the common industry habit of prioritizing profit over accuracy. Our traders are strategic experts who offer personalized help to those seeking worthwhile portfolio management tactics.

Diverse knowledge

Our authors are proficient in a variety of topics across the financial spectrum, from emerging trends in blockchain to the nuances of forex trading. This diverse range of knowledge allows the team to cover several topics, ensuring our content is always comprehensive and deeply specialized.

Interactivity and support

We understand that the world of trading can be complex for many. Therefore, alongside producing informative articles, our team is also committed to interacting with the community. Through comment sections, forums and direct support, we encourage our readers to seek clarification and sharpen their understanding, promoting an environment of continuous learning.

Future vision

Looking to the future, the AltSignals writing team is imbued with a vision that transcends regular publishing, and continues to dedicate itself to discovering and reporting on the latest innovations and trends available in the market. We are constantly seeking to improve our skills and expand our knowledge, with the ultimate goal of being a reliable and respected source in digital financial journalism.

There is great commitment to discovering and reporting not only the latest news and trends in the market, but also to equipping our readers with the tools they need to navigate volatile markets with confidence. We firmly believe that, with the support of an appropriate platform coupled with accurate guidance, our readers and traders can turn market volatility into a competitive advantage.

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