Ethereum 

This one is going to go through some intermediate-level stuff. So I'm going to tell you how to read a trading screen. How to read a chart, just gonna go through some very simple technical analysis techniques that you might want to use, and then how to go through and place a market order and a limit order on a trading system. I'll be using finance for this tutorial, not to say that finance is better or worse than others, but it's going to be the same no matter what professional service you use; you'll get a chart and some trading options as well. I will link to finance in the description if you want to click on there, sign up for an account, and follow along with me. If you're looking for a beginner's method on how to buy Ethereum. Let's come through to the trading screen for Binance, so you can click that link in the description, you'll come through to this homepage, then what you need to do after you sign up for an account is come up to this trade screen. 

Trading 

This is the intermediate or advanced way of doing it; we can come down to advanced, but I wouldn't click on a classic. That's just an old version of the system. So we can go through to advanced here. And then we come to the trading screen. And if you're not using Binance, if you're using something like Coinbase Pro, then you're going to have a similar layout. So they're not the same, but the layout will be similar overall. But the first thing we're going to do is just look at the chart and learn how to read it. So on Binance, you have a few different options for the chart. You can have the original, which takes away all the technical analysis drawings for you, or you can have trading views. So I want to look at the trading view first. The first thing you might want to do with the chart gets the timescale correct. So we're on a four-hour schedule right now, but you can choose maybe one day or more you can go over to one week. Now this will be the timeframe for each of these candles. So we've got this graph on a candlestick graph right now. So each candle represents a period, so let's just change it to one day. So each candlestick is one day of trading. If it's red, that means that day was down. And if it's green, that means that that day's price movement was up. So essentially, the bottom of the candlestick will be the lowest price traded. And then, at the top, it will finish this update. 

The Art of Price Movement 

This is an art movement; here it will be in green, and that is where the day finished. So the colored-in bit is where the day started and finished in terms of trades. You can see there are some small lines that are intraday price movements. So actually, during this day, the price moved way up, but then it finished a little bit below that. So the collision, or fifth part of the graph, is where the day started and finished in terms of the price. Next, we want to go ahead and choose a currency pair. So when you trade cryptocurrencies or any currencies, you trade in pairs. So I've got Bitcoin against the US dollar tether. The US Dollar Tether is a cryptocurrency that is tethered or linked to the US dollar. So for every one US dollar, there is one US dollar tether. And this just gives you a very easy way to essentially trade cryptocurrencies against the US dollar. So everything will be against that. As you can see, when you choose it, you're trading against the US dollar tether. You can go into your account, change from US dollars, and deposit US dollars into the US dollar tether. So we come down to eth against USD t, which is a theorem against the US dollar tether. And this will be the price chart for us. If you want to go ahead and trade Bitcoin against the theorem, you can do that as well. So you come up here, and you've got Bitcoin as one of the main assets right here. So you choose BTC. And then you search for "eth," which is Ethereum. and you can see it right here. So I'm just gonna cancel that eth right here at Ethereum against BTC. 

Bitcoin vs. Ethereum 

So now we are trading theorems against bitcoins. If you have some bitcoin on your account and you want to trade them into a theorem, this is how you would do it. The system now knows that you are selling bitcoin and trying to buy Ethereum. But let's just go back, and we will trade a theorem against the US dollar tether, so fit, and then eth, and then we'll choose Ethereum against USD, so now we will be buying Ethereum and selling US dollar tether. The way that you trade currency pairs is that you sell one to buy another. You, of course, can't use the same cryptocurrency to sell and buy because it's the same thing. But when you buy one currency and sell another, what you're essentially saying is that you think the currency that you're buying will outperform the currency that you're selling. They may even both go up in value, which is good if you hold both, but they're not going to go up at the same rate. And so the one that goes up more than the other is the one that you want to be in because you will, on a net basis, have a better return. So that is why people trade currency pairs and often sell one currency that they think won't perform as well as the currency that they're selling to buy the other one. Next, we'll have a look at the order book right here. So we are trading the spot market right now, and that is the market that you should trade when you go into the cross 3x and 10x. 

Margin-based trading 

This is margin-based trading. It is essentially borrowing money from Binance. If you have maybe $1,000 on your account, you can get some credit from Finance to go and trade bigger trades, but I would not recommend you do that at all. Cryptocurrencies are risky enough already. And this is the order book. So this is essentially a book of all the traders that have traded in the system. Right now, these people in green, right here, are buyers or bidders. So they have their orders in the market, and they are trying to buy the stock at a certain price. and you can see it floating around here. But generally, the price is 1288 points, and then something and it's gonna float around. And all of these up here are sellers, or they're on the offer, as we'd say in the UK, or they are on the ask, as you'd say in the States. And these are higher than the bids of the other bidders. So these are all people trying to buy stock cheaper than the market price. And these are people trying to sell stock for more than the market price. And when a bidder and someone offering stock match up, that is when a trade occurs, and that is the price in the middle right here. 

Buying Crypto Currency 

So if you want to go and put an order in the system, you don't have to use this price; you can come in at a lower price and then hope that the market moves down there. And if it does come to your price, then you will be filled. If you're a buyer and you will buy the stock at that certain price, we'll get on to placing an order in a second, when it comes through to the chart, and I'm just going to explain a few different very simple technical analysis techniques that you can use on the chart. The first thing I want to explain is simple moving averages; these simply take an average of the closing price of the cryptocurrency over a given period of days. And on this one already, so if you come to Binance, you will get these. So I have a 10-day, a 25-day, and a 99-day moving average. So obviously, the shorter the average, the closer it will follow the actual closing price of the cryptocurrency, and the longer the average, the more it will be smoothed out. So we can actually see in yellow that we have the 10 days in purple, and right here we have the 25 days. And then, in red, we have the 99 days. Now, simple moving averages don't tell you a lot, but they just give you a smooth outline of the charts and their movements. And people use these as a very rough basis for lines of support and resistance. So when the price moves, if you're in a downtrend, then you will look for certain moving averages for the price to maybe come to and then maybe bounce off. And if it bounces off, that's a good sign. And if it breaks through those moving averages, then people would assume maybe it's going to go lower and start a downtrend. You can come in and change these. So I'm just going to click on this one, the Format button on the 10-day moving average, and you can change the length of the moving average.