Cryptocurrency signals offer many advantages, and can significantly boost the performance of your crypto trading. However, you need to know how to understand them, how to use them properly, and above all how to choose the right crypto trading service.
This guide will therefore explain everything you should to know about cryptocurrency signals, including how you can get started, which crypto signal providers to choose, and the main tips you can follow to maximize your returns.
The best crypto signal services for 2021
This section will review several providers, trying to determine who is the best crypto signal service.
1 – MyCryptoParadise: Best Crypto signals platform with extremely high success ratio
2 – eToro: Good broker for beginners
3 – Bitcoin Trader: Automated cryptocurrency signals
4 – Learn2Trade: Reputed crypto signal provider
Before we explore the offerings of these crypto signals services in more detail, let’s start by explaining in more detail what crypto signals are, how they work, and what their specifics are.
What is a crypto signal?
Cryptocurrency signals refer to a set of instructions sent by a signal provider to an individual to tell them what cryptocurrency to buy, at what price to buy, what the selling targets are, and finally, at what price to set the stop loss. These signals are trading ideas based on multiple parameters that depend on the cryptocurrency signal provider.
A signal usually contains the following information:
- The cryptocurrency to be bought (or sold) – The signal will specify which crypto is to be bought, e.g. BTC, ETH, XRP
- The buying price – The price at which you should try to buy the cryptocurrency
- The target – The price at which you should sell the cryptocurrency to make a profit
- Stop-loss – The threshold at which you give up a losing position to limit losses
How do bitcoin and crypto signals work?
The operation of cryptocurrency signals is quite simple and is usually based on either emails, SMS, or groups on social networks, often Telegram.
Telegram is an instant messaging service application that has the look and feel of WhatsApp. However, Telegram has some unique features that set it apart, making it a popular tool in the world of cryptocurrency signals.
Another method of receiving crypto signals is via email. Often, people who want to generate returns by subscribing to a group of signals do not have Telegram, which is why some providers choose to send signals via email. The big drawback to this method is that you may miss a signal unless you check your email very regularly. On the other hand, you are immediately informed when a signal arrives from your provider. This is certainly not the most popular method of receiving cryptocurrency signals, but it works for some people.
Finally, it should be noted that cryptocurrency signal providers often offer the option of receiving signals via different channels.
How can crypto trading signals help you trade?
In this section, we will detail the benefits of cryptocurrency signals.
Can be very profitable
The obvious advantage of subscribing to a cryptocurrency signal provider is that if they perform as they say they will, they can be very profitable. Even though people becoming millionaires through these signals are probably rare, it is still a great way to add an extra $1000 or $2000 to your monthly salary. That said, it all depends on the provider you work with, so you must choose them carefully.
No need to monitor the markets yourself
The second big advantage of using a cryptocurrency signal provider is the time you can save. You no longer need to spend hours looking at charts or doing the research yourself. As long as you can generate a return greater than the amount you paid for your signals subscription, it is more than worth it.
Subscribing to a cryptocurrency signal provider allows you to learn from those who know how to spot interesting trades better than you. Most of the providers provide technical analysis explaining the reasons behind every signal they issue, you still need to do your own research. Gradually, you will get better at spotting trade opportunities, so much so that you may not even need a cryptocurrency signal provider.