CryptocurrencyScripts

Tag: decentralized exchange

IS DexCheck token (DCK) set to go up in Q4 2023? Fundamentals says Yes!

The last quarter of the year is usually a dramatic one for the crypto space. One to look up to. I’ve been going through the assets in my portfolio and also looking into other assets and applying analytics to estimate their different potential going into the last weeks of the year. I’m personally not so much into TA analysis, fundamentals have consistently proven to be the most trustworthy metrics, especially for prolonged periods, say 4 weeks or more.

The whole year is setting up the tone for a green 2024, the whole market has been in consolidation for the majority of the year, and with so much silently bullish news coming up in the past few months, even the last months of the year looks promising.

My biggest bet for Q4 is the DexCheck token. Surprisingly, I got into DexCheck just last week, and have been doing deeper research on the whole project. I will be surely writing more about it in the coming weeks as I learn more. Apart from the technology, which is pretty solid, I’m looking at the potential of DCK, the project’s native token.

DexCheck token is at the heart of the DexCheck project and is positioned to grow even faster than the project itself. DexCheck token currently trades at $0.022 per token, the whole project is valued at just $3 million. For such utility, these figures might not last for so long.

Looking at the fundaments, these are some of the reasons why DexCheck token is set for an uptrend in Q4 2023 and Q1 2024;

Long-term Consolidation

DCK has been trading between $0.04 and $0.02 for the past three months. During this period, the daily trading volume has stayed above $150,000 on average. The strong market interest and balanced price fluctuation are strong indicators of long-term accumulation. Despite the project making significant breakthroughs during this period, the price has remained stable around this range. An interesting part is the accumulation pattern that has followed the short-term pump in the early weeks of October 2023. The charts look to be headed for another uptrend. Due to the long accumulation period, this could last longer than the last two peaks. This translates to up to 100% gain in the next three months.

DCK has shown built a strong support around $0.02 which is just a little above the recorded ATL, it is very unlikely that it will drop below this level. How the rest of the market moves might affect this, but if Bitcoin remains stable and doesn’t go below $27,000 during this time, DCK could be on its route to price recovery in the last quarter of the year or early in the first quarter of 2024. A price of $0.05 puts the whole project at an FDV of just $5 million and a total market capitalization a little below that. For a decentralized application that actually works, there is still so much room to grow at $5 million.

New Updates coming to the platform

DexCheck announced a new staking pool for the DexCheck token with up to 36% APY. DCK token Holders can earn some good rewards by locking up their tokens in the pool. But this is actually the least update from the project. DexCheck has announced a handful of exciting updates.

I’m personally excited about the Initial Private Sale Offering (IPSO) feature. IPSO is a launchpad for new crypto projects powered by DexCheck. IPSO allows investors to buy into new projects before they start trading openly. This is reserved for DCK token stakers and is another way the project attempts to boost the utility of its native token. DCK holders can now invest in promising projects before anyone else and enjoy the full privileges.

The Beta version of the Smartfolio feature has also been launched and the roadmap hints at even more exciting releases in the last quarter of the year. On the technological grounds, this is good news for the project and the investors. how this affects the DCK token price depends on how the rest of the community reacts to the update, but price growth is likely if the new features work as promised.

The AI and Trading bot narrative

AI-powered trading utilities made the headlines in the mid-quarters of the year. Some notable ones include Unibot, PAAL AI, and for a shorter term, DexCheck. DexCheck token, unfortunately, gained pace when the wave already started settling down. But this is normal in the crypto space, every trend gains an initial wave, settles down, and returns with an even bigger wave. We have witnessed the first wave of AI and messaging-app trading bots. But while the wave appears to be settling down in terms of the price of these projects’ tokens, the technology is actually growing and even more people are embracing the technology.

DexCheck’s Telegram bot has grown to over 2,500 active users in the past three months. This growth is continuous. Other Telegram bots have seen significant growth as well, but DexCheck seems to be catching up faster, relatively. With this growth pattern across AI and trading bot projects, both could experience another wave. DexCheck fits into both narratives, coupled with the current low capitalization, this is one to watch going into the last months of the year. The number of DCK token holders has also grown to over 4,800 at the time of writing, showing strong signs of adoption.

Exciting partnerships

Between October, 10 and October 20, 2023, DexCheck has announced a handful of very interesting partnerships on marketing and technological grounds and doesn’t show signs of stopping any time soon! First, the marketing partnership with Kucoin Exchange is set to run for a couple of weeks. We will see the DexCheck token and project being marketed to traders on the exchange during this period of time, this could grow traders’ and users’ interest and an overall growth in the token value is not out of the line.

Apart from marketing partnerships, DexCheck has partnered with USDD to bring the stablecoin to the platform, as part of this partnership, USDD will also integrate the DexCheck trading bot into their platform. With the two projects pursuing mutual growth, we could see some benefits from this partnership. The partnership between DexCheck and Syncswap will also enable DexCheck to make an entry into the ZkSync Era network. This follows the expansion into the Binance Smart Chain.
DexCheck has also announced a partnership with InterSwap to bring more AMMs into the platform. DexCheck is growing its community by expanding into new communities. This is yielding returns in terms of adoption, it is only a matter of time before the DCK token catches up to these developments too.

Bitcoin ETF

A fake Bitcoin ETF approval news caused a rapid price jerk throughout the crypto market earlier this week. Even though this didn’t turn out how every crypto investor wanted it, the price movement is a micro show of what could happen when the first Bitcoin ETF gets approved. How the news unrolled is yet to be fully diagnosed, but from developments around the ETF fillings, the first Bitcoin ETF could be around the corner, the last quarter of the year could be the time. This is a wild guess, but has some backing to it, judging from how things have unfolded in the financial space.

Bitcoin ETF as a factor here is from the widely known “bitcoin pumps and others follow” pattern. If Bitcoin finally moves big, the DexCheck token will be one of the best-positioned assets to move even harder. The Bitcoin effect is hardly avoidable, the whole space appears to be tied to its movement and the DexCheck token isn’t different. If Bitcoin moves, DCK is the token to watch closely.

Final Thoughts

There is a lot on the line for the DexCheck project, and its utility token is certainly not being left out. To get the best out of the platform, the DexCheck token is a must-have, the tokenomics is in the best interest of the investors. The market usually moves toward the real builders and the team has been working hard behind and on the scene.

However, Predicting price developments for crypto assets is tough. Fundamentals are the best bet, but this could also go south. DexCheck is being run by a dedicated team, which is one of the most important clues for investors. While the team strives to grow the project, the market could also react differently or less than expected to some new developments. That being said, always do your own research before investing.

Here are some resources to assist you;

My previous post on DexCheck

See latest updates on X

Available utilities on the DexCheck Platform

Join the Telegram community

20/10/2023
I’m buying into DexCheck (DCK); Here’s why you should consider doing the same.

Alright, I get it; investing in a promising low-cap crypto project is a no-brainer and everyone knows this. So I guess you are wondering why I am making a fuss about this. But DexCheck is actually a bit special to me. The feeling is the same as when I bought Fantom (FTM) at $0.003 in 2019. I’ll save the long story for whenever.

I stumbled on DexCheck while researching cool low-cap crypto projects to invest in since the whole market looks like a black Friday discount right now. The potential for the $DCK token to moon in the near future is there, but the technology, the community, and the team (of course!) are what impressed me most. I’ll put an early disclaimer, this is simply a review by an impressed user and not financial advice. Having said that, I’ll reiterate the positive impression the application has left on me.

If you wonder what DexCheck is;

DexCheck is an investor’s best friend. It is a suite of investment utilities powered by Artificial Intelligence (AI) and blockchain technology. DexCheck utilities range from deep asset analysis to expert investment suggestions backed by strong data. With an integrated decentralized exchange powered by Kyberswap, DexCheck lets you implement your analysis by making a sale or purchase. It offers a full suite of trading utilities and tops it off with a Revenue sharing program that offers passive income opportunities to top users and community members.

Sometimes I’m not so good with words and I admit that this description is a bit shallow. I will take these features one after.
First, from my experience so far, DexCheck truly works!

I subscribed for a DexCheck Oracle account that allows me to enjoy all of the available privileges. To subscribe for a DexCheck Oracle account, you only need to stake 100,000 DCK tokens (luckily this costs less than $2500 at current token price!) and enjoy staking rewards as well!

Free-to-use DexCheck utilities include Token Analytics, Whale tracker (For NFTs and Fungible tokens) and the Token unlock features.

For traders who take the vesting schedule of assets into consideration before investing, the Token Unlock feature details the vesting scheme for every token. You can now see when the next big supply is getting released with a single click.
The DexCheck Whale Tracker.

I’m particular about the DexCheck Whale Tracker! The Whale Tracker screens through decentralized exchanges to detect huge transactions and the wallet behind these transactions. It offers a one-click access to a full analysis of the wallet. Considering the prevalence of whales in the crypto space, this is a must-have. I snipped up a couple of giant PancakeSwap and Uniswap Whales with realized PNLs of over $150,000 and set up an alert on their trades. This takes the bulk of my Whale watching duties!

Trading Features for Pros!

The upgraded version of the Whale Tracker feature is available for pro traders. The Top Traders feature screens through Dexes and NFT trading platforms to detect wallet addresses with the highest ROI on trades. Using the top traders feature lets you see what the best traders are trading and how much they commit to their trades. This is available for NFTs and Fungible tokens as well.
Alright, I’ll get to my favorites, the Telegram bot and DexCheck’s trademark insightGPT.

InsightGPT: In-depth Trading Analytics powered by Artificial Intelligence!

In case the whale trackers and the Top trader’s features don’t cut your workload enough, insightGPT is what you’ve been looking for! InsightGPT is a next-level automated trading analytics application. According to DexCheck, InsightGPT leverages Artificial Intelligence to analyze vast data in real-time, enabling it to provide actionable insights. InsightGPT offers smart money alerts and details on winning traders.

InsightGPT is your loyal transaction and big operation sniper! The dashboard is an all-around optimized interface that allows you to get regular delivery of interesting moves for specific tokens and take prompt action, you can quickly follow the featured wallet to get an alert when the trader moves again.

For most, InsightGPT is an advanced version of the wallet tracker and the top trader feature, but it is actually a way to augment the two. It combines the core functionalities of the two applications but the best trading will be made by the trader that is able to fuse the three utilities together.

DexCheck Telegram Bot: Advanced crypto trading Telegram bot

It gets even better with the DexCheck Telegram bot. I admit that sometimes, it could be tedious to swing between different decentralized exchange platforms just to make your trades. This is a time-tasking process as well. The Dexcheck Telegram bot is a fix for this. It offers investors a way to execute normal and advanced trading activities from the comfort of their Telegram Messenger.

The integration process for the Telegram bot is easy and requires no technical experience. Once installed, you can trade on decentralized exchanges, Track cryptocurrency wallets, and perform advanced trading operations like Sniping trades. I’m a bit excited about the potential of this particular feature.

The Snipe trading bot screens exchanges to detect profitable opportunities and trade accordingly. For instance, the snipe trading bot notices newly added liquidity pools and moves to make a purchase before anyone else does. This allows you to purchase tokens at the lowest price and trade them in for a profit when full trading starts. The Snipe trading bot is equipped with advanced trading and analytics algorithms that enable it to run trades better than the regular trader. One thing I left out, the Snipe bot is automated, you can simply set it up with funds and it runs on its own.

You could mention a handful of similar projects, but DexCheck stands out for a couple of reasons. I’ll list them;

A Truly working application

I took the time to go through the features on DexCheck. It is easy to draw up a prototype but harder to develop an application that works as stated on paper. DexCheck runs as stated and the positive first impression was sustained throughout the times I used the application. From the smart contract token analytics to the trader and wallet analytics to the advanced Telegram Bot and the AI-powered InsightGPT. Each application leaves you coming back for more. Even without subscribing to the pro-trader feature, DexCheck offers the utility that most normal traders lack and crave.

An intuitive interface

DexCheck might sound very technical and it actually is. But these complexities are packaged into an intuitive user interface. Regardless of your technical abilities and your knowledge of the crypto space, DexCheck is very easy to use. Each feature is distinct and easily accessible. In case of confusion, the DCK team has also shown dedication to guiding users through using the application.

Have a question? You can join the Telegram community and the MODs will be happy to help!

Investor-friendly tokenomics

The DCK token is at the heart of the DexCheck applications. The DCK token powers the DexCheck application’s economy and supports its ecosystem to promote application usage and incentivize user involvement. DCK is a BEP-20 token on the Binance Smart Chain. The DexCheck team has developed a scheme to grow the DCK token and also fast-track the project’s growth through its token.

Via a symbiotic growth scheme, the DexCheck application and its token are designed to grow in utility and value. DCK is used in the project’s governance through the DexCheck DAO. DCK holders vote on new features and changes to the project’s operations. DCK token is also used for purchases, subscriptions, and user reward schemes through the Revenue sharing program.

Check out active trading pairs for the DCK token.

A Promising Team

This should actually come first but I had to save the best for the last. The success of any project depends 60% on the team behind it. Looking at the DexCheck team, the advisory team, and the partners, we could see this project climb to higher highs in the near future. Partner projects are prestigious and DexCheck is integrating across notable blockchain networks and communities including Polygon and Fantom. The DexCheck advisory team is made up of top officials from Polygon, ChainGPT, Kucoin, and Maven Capital.

What’s Next?

I took a look at the DexCheck roadmap and it looks packed for the future, the last quarter of the year will surely see many exciting releases the AI-DexFolio and the AI-arbitrage scanner are some of the new features I am looking forward to. It is interesting to see how the project employs Artificial Intelligence in these two new features.

I’ve personally picked interest in arbitrage trading multiple times, but it is clear that arbitrage trading will be a very tough thing to do without some sort of automation, the AI-arbitrage scanner might just be the tool that finally unlocks arbitrage trading.

Closing up

The thing is, I attempted to go through every utility that DexCheck offers, but this whole article is in fact, a scratch on the surface. I’ll eventually follow this up with even more articles and possibly some user guides and personal tips. Not sure how soon this will be anyway. However, the project is evidence of the evolving trading culture and the role of advanced technology in improving trader’s decisions. As a cryptocurrency investor, you are already wondering how these features will boost the price of the DCK token, I do too. And while I already bought some DCK tokens, I’m focused on discovering the best ways to put the basket of utilities on the platform to use. The general design makes it easy to do this.

Loving DexCheck already?

Visit the Platform

Follow the project on Twitter

Join the Telegram community

16/10/2023
Snack Talk: The jump-off

Alright, I just got a sack full of snacks, it’s been a long day! The neighbour, just a block away is blasting some hip-hop music. Since this is crypto-related content, you’d guess the artist would be Soulja Boy or Lil Yachty; but coincidences aren’t as usual as we’ve made them be. Talking about those guys, we might see them return to the crypto space when the next memecoin season dawns on us. Soulja Boy led the marketing for the LimeWire token. Unfortunately, it couldn’t do a quick and temporary 10X before it crashed into obscurity. That $30 million ICO fundraiser will be enough to pay off Soulja and Bahd Barbie; since the latter is aboard the ‘content creation’ project as well. Well, time to move on, condolences to the ICO participants turned into bagholders.

Back to my neighbour’s music, it’s a 2009 Kanye, Jay Z, and Rihanna classic. A rich song…literally. But the inspiration for this article didn’t even come from there. Actually, there was no inspiration for this article. I just needed to slow down the half-life of this snack by talking crypto and web3 along the line. This is the first ever ‘snack talk’ (from me), new editions will be made anytime I stumble on a good snack. Good snacks aren’t so common in this area of the world, so, be rest assured that the next edition of this terrible series (might) take time.

Going ahead, UNIBOT is doing some face-melting on the charts, but that isn’t the main thing you should be worried about. There is a new Bitcoin in town, not the Satoshi one, the Obama one. Funny enough, Mr.44 wasn’t even a fan of crypto. He might have taken a few Bitcoin from that silk road seize, but that’s not enough to put his name in a top 300 crypto asset. Mr.45 was a more crypto person than his predecessor. He even runs a whole NFT project. Really significant, for the fact that he did bash Bitcoin. If Americans vote for another Democrat that isn’t Joe, then we might see a real Bitcoin fanboy in the Whitehouse. Heard he got two bitcoins each for his 7 kids. I’d give the best gifts to my kids too. W dad!

Hollywood is jumping between worlds. From the black-and-white world with Oppenheimer and then to the Pink world with Barbie. I’ll most likely pick a Chris Nolan movie, but this isn’t a recommendation. And this isn’t even any of our business, well, until Oppenheimer Memecoins start trooping in. Before then, we can only enjoy the current calm.

But it’s never calm in the crypto space. Just in case you live under a rock, FTX exchange is trying to make a comeback. If you dipped some cash into the troubled coin, you may have seen some pumps a few weeks ago. I’m sure you weren’t expecting that as the main gist from a guy with a sack of snacks. The news is, Sam is getting sued. I whispered those words, don’t shout! We can all pretend to be surprised when we hear that from a friend at work. Talking about friends at work, you should be planning a memecoin launch with your friends, you could just create the next Pepe.

Not sure if you are expecting another full paragraph, it’s just a snack-time talk. I just took the last bite. Last bites are like breakups. They leave a taste until your next meal. If you bought UNIBOT about a month ago, your next meal should be a steak, else, just have a burger and pray for a green candle. Been a good time, this is the Jump-off; title of the next edition will be inspired by the name of the snack. You don’t want to miss it, so just follow, even if it’s just for the sake of following. Yeah, that’s it for now…this Soda tastes bad…

Follow up with CRYPTOCURRENCY SCRIPTS to stay refreshed in the crypto space with comprehensive articles and important tips.

Hire a freelance writer

28/07/2023
What is cyclic arbitrage?

Arbitraging is as easy as buying from one end and selling for an assured profit on the other end because the sale point is positively ahead of the purchase point in terms of price development, or lagging as the case may be. Arbitraging is partially the reason why asset prices stay relatively the same across different markets and pairs. Manual arbitragers, arbitrage sniffing bots, and algorithms are lurking on centralized and decentralized exchanges to quickly take advantage of temporal shifts in asset values. Cyclic arbitrage is a common practice in arbitrage trading.

A number of decentralized and centralized arbitrage projects and even projects not directly related to arbitrage trading utilizes the mechanics of cyclic arbitrage to balance their trading system. Cyclic arbitrage could be a really handy theory for cryptocurrency and mainstream trading platforms, even ones that hope to develop an extra income opportunity for themselves.
Here’s the basic theory of cyclic arbitrage: The arbitrage trading algorithm sniffs three different exchanges or more with a special focus on a single asset. It collates the current trading price on these exchanges and compares them with respect to their pairs. Using information garnered this way, it simultaneously trades the asset in such a way that it yields a net profit, trades might end up with a different asset, but this asset must have an instantly redeemable value that is above the starting capital.

Protocols that use (or attempt to use) this theory, develop a trading bot that automates it trading in accordance with this theory. Depending on the design of the algorithm, this process is repeated as many times as possible, wither in the same direction as long as the trade remains profitable in a different and more yielding direction.

Here’s a scenario. Say the arbitrage bot detects a difference between the trading price of MATIC on Binance and Huobi with the price on Binance lower than that on Huobi. The bot detects a third exchange (say Kucoin) on which a MATIC pair (like MATIC/FTM) trades below the market value. This bot makes a MATIC purchase on Binance and exchanges the Matic purchased on Binance for FTM on Kucoin. To complete the cycle, it sells this FTM on Huobi for MATIC and realizes more profits in MATIC.

Cyclic arbitrage accumulates the profits from arbitrage trading as opposed to regular one-directional arbitrage trading. Further applications of the cyclic arbitrage trading algorithm will reveal more details about how it works.

Follow up with CRYPTOCURRENCY SCRIPTS to stay refreshed in the crypto space with comprehensive articles and important tips.

Hire a freelance writer

30/06/2023
Automated Market Maker Vs CEXes: The trading revolution!

Source

Ridiculous fees apart, using decentralized exchange services has been really fun! Using DeFi services on platforms where fees and efficiency issues are fixed brings a true feel of decentralization.

The comfort, the security, the speed…oh well, just many things! DeFi protocols are mavericks and make centralized exchanges look so ancient despite being just about a decade old, lol.

My frequency of using centralized exchanges has decreased over five times the initial. If we can get rid of fake volumes, centralized exchanges are obviously bowing down to decentralized exchanges; in terms of volume, user base, and application.

The fact is, centralized exchanges aren’t even real competition to contemporary decentralized exchanges the difference is clear. Mainstream trading system will probably get usurped by DeFi protocols.

In addition to decentralization, security, and efficiency; Automated Market Maker, the protocol powering trading on decentralized exchanges is the main technology poised to put centralized exchanges to rest. AMMs are built to ensure organic liquidity and create real-time trading effects. Unlike centralized exchanges, AMMs are all shades of good. In the real sense, it’s AMMs Vs CEXes!

Despite years of efforts and modifications, fake volumes have continued to bite down on the reputation of centralized exchanges. Aided by exchange officials or solitarily, cryptocurrency projects could easily fake buy and sell orders to lure investors who are attracted by high volumes as proof of demand and liquidity.

Source

This fake liquidity and high demand would quickly dry up as soon as the manipulation ends. Well, if the manipulation was able to lure enough investors and traders, then the decline will be gradual. If the project is unable to drive real demand, the liquidity dries up once again. Investors are only left to mourn their losses in cases like this…the ripple effect continues.

Apart from projects luring investors with these volumes, exchanges as well adopt this strategy to boost their numbers and attract users. Exchanges or cryptocurrency projects…I can’t tell who did this first.

Trading and liquidity manipulations on centralized exchanges also tarnish the organic effects of buys and sell. High volumes of huge buys, yet the very little effect on prices. Unfortunately, these positive effects are wiped away by relatively lesser sell orders. Everything looks programmed! For unstable projects, this phenomenon is even clearer.

The inability to estimate the depth of the liquidity pool and the effects of buys and sells on the price makes trading harder and less fun. I’m no trading expert, but being unable to access the originality of the trading activities for a particular token makes trading unthinkably tough.

Centralized exchanges and their technology have served for the time they dominated the space. No doubt, they flourished due to the incredibly handy services they offered. In essence, these services were the best available.

In contrast, Automated Market Markers, despite not being without their own shortcomings are programmed to be highly organic and responsive. Like a real-time trading system, every bit of supply and demand creates a relative effect. Traders and investors are handed efficient tools for making decisions and projects are represented for what they truly are…at least for that point in time.

AMM schema

Thanks to liquidity pools, AMMs provide a basket of exchangeable assets to enable unrestricted trading for the period in which the liquidity providers wish to leave their assets on the pool. The transparency of the liquidity pool allows traders to make their decisions.

AMM protocol ensures that every buys and sells effect reflect relatively on the asset price. AMMs are not completely resistant to manipulations, this is evident in the rampant rug pulls. But on the brighter side, these actions are transparent; an important feature of blockchain technology.

Smart contract technology also creates an avenue for ‘liquidity locking’. This solves rug pulls to an extent. Liquidity locking ensures that provided liquidity cannot be removed for the period of time specified in the locking process.

It’s not just centralized exchanges; trading systems around the world will surely adopt AMM strategies sometime in the near future. In my opinion, it is the future of trading and exchange.

20/02/2023
Arbitrage Trading: Exploiting price variations.
If you are a chart watcher, you’ll notice slight price variations on different exchanges. For the majority, this variation is too ‘small’ and ‘not tangible’. Trading price variation across different market pairs and different exchanges is known as Arbitrage Trading. These variations are usually due to differences in demand and purchasing pressure across these exchanges and pairs.

Usually, these variations last for only a short while before leveling up with the rest of the market. Unarguably, the offset in price is usually slight, but they could mean a whole lot…if used correctly.

The popular practice is cryptocurrency traders and investors trading against time and exploiting the periodic variation in values of cryptocurrencies to make gains. Traders are more actively involved in this race against time and demand.

Time and demand play a role in the overall value of an asset, this is a popular concept. But, the effect of time and demand on the value of an asset in different markets is relatively less popular, ‘ignored’ is a more appropriate term. Even in our everyday markets, the price of a commodity doesn’t stay the same in different markets, the cryptocurrency markets aren’t different as regards this.

Market-to-market price fluctuation is commonly overlooked, not just in cryptocurrency but also in mainstream trading scenarios. This market-to-market variation in the value of an asset form the crux of Arbitrage trading.

Differences in price across exchanges can be influenced by the purchasing power of an exchange, this is determined by the ‘wallet weight’ of the traders using these exchanges. The amount of ‘rich buyers’ (whales) in an exchange determines the purchase pressure on the said exchange. This is evident in the impressive spread and high transaction volumes. Such pressure could result in the order books moving slightly faster on the concerned exchange.

Whale influence drives price, more buy force from whales in the market slims down the sell orders while driving the buy orders up and creating good liquidity. This can also go either way, bringing prices down faster. When this happens at different speeds and at different times in different markets, price variation occurs.

This is normal and price variation can be up to 50%. Whichever way the variation goes, provided a difference is created, an Arbitrage trader can swing into action and take advantage of this.

Basically, Arbitrage trading consists of three processes:
1. Detecting variations in the value of an asset across different exchanges or trading pairs.
2. Purchasing assets at this reduced price.
3. Selling the purchased asset at a higher price on another exchange or trading pair.
Easy? Well, not really.

Arbitrage trading is a notably risky venture, just like any other trading activity. However, there seems to be an increased risk, probably why it hasn’t been able to gain huge popularity. Trading arbitrage involves managing a couple of risks. These risks normally arise due to the fast-changing prices and practices of exchanges.

Sometimes the price differences level up after a very brief moment, things could go either way too. Many times, these differences don’t actually exist and the noticed variation is only due to an uneven spread between the buy orders and the sell orders. In the quest to act fast, an arbitrage trader stands a chance of not noticing this development. When this happens, the most possible event is selling at a loss or playing a longer game of time. Sometimes an arbitrage trader could get stuck due to this.

When trading arbitrages across different exchanges for assets that attract tangible withdrawal fees, the risk of losses is increased, relative to the fees. As an arbitrage trader moves assets across exchanges, more spillage and expenses are incurred. To cover up these technical losses, an arbitrage trader must generate a positive net profit. One way to do this is by increasing the purchasing power to maximize the gains. Purchasing power however depends on what the trader can afford, there are strict limits to this.

Arbitrage trading is a game of numbers, speed, and cleverness. Quantity influences the chances of making profits from an arbitrage trade. Acting ‘fast’ is also a vital quality of a good arbitrage trader. Net arbitrage return is obtained by deducting the exchange withdrawal charges and other technical costs from the gross profit. Increasing purchases to compensate for trading and withdrawal charges could also be a good practice. Capitalizing on price variation is profitable practice, however, the sale and buy orders in both markets should be considered.

Thin buy orders on the target market could lead to substantial losses. Inability to win the race against time also results in losses. Best practice would be targeting wide arbitrage in low withdrawal fee assets. This doesn’t come frequently. But when done right, arbitrage trading could prove lucrative.
31/01/2023
Cryptocurrency mass adoption: One big lie?

Three big cryptocurrency exchanges pumped literal millions into the super bowl to have their commercials aired during the prestigious event’s commercial breaks. Not so big when you consider the fact that two of these exchanges are buying up the naming rights for prestigious American sports centers. Tezos have partnered with the famous English premier league club — Manchester united; at least we are finally seeing that big ICO money come to life.

With arguably the greatest soccer player ever wearing those training kits with ‘Tezos’ written boldly on them and Lebron James getting buckets at the crypto.com arena, one thing comes to mind; “crypto is taking over the world”. From a small group of nerds working on ‘the future of money’ to millions of people holding cryptocurrencies…for mainly an odd reason, cryptocurrency and blockchain have walked a long path in just twelve (12) years.

Twelve years of struggle for relevance; like a stubborn attention seeker, cryptocurrency has snuck its head in every nuke and cranny. From social media to billboards and television commercials; cryptocurrency marketing strategies are almost as brilliant as the technology itself.

But there is one big lie along the line…

Cryptocurrencies’ are presented as a portable and more convenient means of exchanging value. The biggest perks over traditional alternatives are decentralization and privacy. Speed and transaction cost used to be on the list; not sure if they can be boldly enumerated anymore. It costs over $4 to move Ethereum and about three times more to move smart contract tokens, bitcoin transactions would require similar fees too…

Despite these issues, cryptocurrency’s popularity has been on the climb and isn’t slowing down anytime soon. Bitcoin particularly has seen huge political breakthroughs and has become one of the hottest economic and political topics in the past five years. This relevance isn’t really due to some technological advantages it possesses but mainly due to its tokenomics and mode of operation.

Bitcoin’s distinction over fiat as a store of value is its limited supply. Governments are however reluctant to acknowledge it as a legal tender due to presumed support for illegal financial activities, supply algorithms…and carbon footprint. These reasons are valid, the back and forth on legalization and ban continues. You could anger the Chinese president by simply screaming ‘bitcoin!’.

Bitcoin fits best as a store of value and a payment solution, even though it is currently not very efficient in the latter. Other cryptocurrencies and blockchain projects attempt to solve numerous other problems. Artificial intelligence, oracle solutions, decentralized internet, comedy (yes, comedy!); a number of altcoin projects fit into these categories and more as they attempt to solve more real-world problems and possibly replace existing options. Each of them has earned themselves tons of believers and investors…but again for an odd reason.

When news? “Huge or not”? Investors couldn’t care less about the relevance of any of these projects. Major updates, and (huge) partnerships; regardless of the relevance of these to the actual development of the project, investors fly in with different emotions. Buy the rumor, sell the news; you’ve surely heard that too many times in this space.

If you’re truly here “for the technology”, then you are actually one out of a very scarce few. For a space filled with thousands of very volatile assets and clever marketing strategies, speculators are sure to flock in and tap from the fast-flowing streams.

Getting rich quick is actually the most appealing ability of cryptocurrency.

These adoptions are rarely for the technological advantage cryptocurrencies have over fiat. Even El Salvador has competent plans to redeem their crypto profits in fiat and channel these profits to national development. It’s safe to say that the central American nation didn’t adopt bitcoin because it is a better option to fiat but because in contrast, it is in constant growth in value. This is the same with other institutions adopting blockchain products.

Mainstream celebrities jumping into the NFT trend rarely understand how the technology works and what NFTs really are. Simple process; mint the arts, sell to speculators, and take the loot…in stable coins or actual dollars, lol. How the blockchain actually works and why it is a better option? You can save those long lessons for anyone who cares!

Cryptocurrency adoption comes down to a need for inclusion and the need to be a part of an enriching ecosystem. Very different from the reason presented in our thoughts.

The big lie is, cryptocurrencies are not adopted for technological advantages, and neither is blockchain technology. NFTs are shiny and popular brands are seeing them as a major avenue to improve their financial conditions. Celebrities dishing out NFTs and chasing out in stablecoins and dollars is the most crypto thing you’d ever see.

Companies too are finding ways to include a two trillion dollar opportunity into their purchasing option. The inclusion of crypto payment options into commercial platforms comes as a result of this. Firms looking to expand their purchasing power include the crypto payment as a good marketing strategy. It will be interesting to see the percentage of these merchants that keep a majority of the cryptocurrency they realize in their reserves.

Cryptocurrency is reaching out to people, and speculators. Investors are more dedicated participants. A majority of people putting their money on cryptocurrencies are speculators who envision short-term gains and are keen to leverage the enrichment possibilities of the most volatile assets ever.

Shill me the next altcoin to go 10X! worry less about what they are actually building. It is the normal sequence. Institutional and individual adopters are mainly speculators who consider the technological superiority of cryptocurrency and blockchain. The big lie? It continues.

14/01/2023
Newbie to “crypto rich”: 4 tips for your journey.

You know those ‘zero to crypto rich’ stories? Yeah, they are very common in the crypto space. A couple of them are obviously bloated and there’s more to the story. Growing your portfolio is not rocket science anyways and through clever strategies, one can go from zero to ‘crypto rich’. How fast this happens is, however, dependent on a number of factors without one point of control.

Whether you’re here for the technology or for the ‘riches’; one thing for sure is; you’ll surely be gladdened by an improved position in the few projects you’re invested in. Regardless of how much you wish to diversify your portfolio, missing out on tons of brilliant projects is inevitable. Well, you only need to get it right with your few investments. Over-diversification hasn’t really worked anyways.

First, a start, then improvements and growth. The first step is to make your move into the crypto space. You’ll be amazed by the number of enticing projects that greets you. Depending on factors personal to you, you can only invest in just a few of them.

And do you really need capital to start? If you consider time as an important resource, then yes. Else, time and dedication are all it takes to make a head start.

Financially buoyant investors can simply go ahead to seed cash on any crypto that impresses them enough; otherwise, here are four tips to grow your cryptocurrency portfolio with little or no capital.

Invest your skill and knowledge.

Unlike more other investment spheres, the crypto space is home to unimaginable opportunities. Like a world of its own, there’s room for almost anything and anyone. One way to hasten your growth is to get involved. Putting your skills to work can avail you of opportunities to earn even more cryptocurrencies. From crypto-earning blogging platforms like hive, steem, and publish0x to freelancing and full-time opportunities. It’s a whole new zone, you should explore and improve your positions at the same time.

Airdrops can be life-changing.

Apart from the infamous lucrative DAO airdrops, cryptocurrency airdrops might seem uninteresting to most. $20 worth of tokens as a reward for performing a basket of social activities. Before airdrops became ‘free’ and instantly life-changing, this was the state of things. But this kind of airdrop can still be worthwhile regardless. The majority of them fail to make it out, but in some cases, they grow to very profitable heights. Participating in ‘promising’ airdrops is something you should consider giving a try.

Embrace passive income opportunities.

Leaving your tokens in your wallet is a safe practice, but for someone looking to grow their stakes, this, in fact, defeats the goal. Most cryptocurrency projects give holders a chance to benefit from the emissions and grow their stash regardless of the price. Staking programs and liquidity mining are popular passive income opportunities in cryptocurrency and DeFi. At least one of these is worth a try. Decide which passive income opportunity is best suited for you and put your investments to work. Cryptocurrency lending platforms are also good passive income opportunities.

Preserve your capital.

Risk management is also an essential skill. Cryptocurrency prices are prone to rapid fluctuations, accidents are common too. Ensuring that you don’t run into grave losses is important. As a micro investor with a ‘small bag’, your risk threshold is very little and any tangible loss is a huge setback. Try and preserve your profit and be slow to take uncalculated risks.

Your route to cryptocurrency wealth will be well simplified by following these pretty easy tips. Human behavior is somewhat erratic and cryptocurrency itself is hardly predictable, varying conditions might make it hard to adhere to some of these. Most importantly, always do your research.

25/12/2022
Admit it; you’re doing crypto the wrong way!

Like a merchant, you’ve repeatedly bought and sold a number of cryptocurrencies. It’s fascinating, digital assets have created a space of equal access to objects of financial improvement. Regardless of your social caste and financial hierarchy, there is only a little barrier between you and your next cryptocurrency purchase…or sale. Millions have trooped in and in only a decade, the number of cryptocurrency investors has grown as fast as bitcoin’s price. In the right sense, it’s a bit faster.

Buzzwords apart, cryptocurrency and blockchain are both impressive stuff. The solutions and how everything is structured are welcoming. Well, crypto Twitter can be toxic but isn’t it the same with social media as a whole?

You’ve been fortunate enough and your net cryptocurrency investment has been greatly profitable for you. Congratulations, if there’s anything the past month has thought us, it’s that making profits in crypto isn’t as easy as it seems.

As long as you make profits, the conviction is that you’re doing it right. That’s exactly how it looks. If it’s the other way around; you feel you’re not getting it right, in short term. Investors who have mastered the art of ‘flipping’ can relate to swinging profits for profits…sometimes.
But if you can relate to any of these, then you are doing crypto wrongly. Regardless if you’re in profits or not.

Doing any of these is in fact the wrong way:

Fear of missing out [FOMO]

So, you just heard that this project is about to announce a ‘huge’ partnership; maybe they already did. Price is going haywire and the Twitter thread is going in the same direction. You’re scared, scared to miss out on the next 1000x. you’re not alone, we are all in this together.

The most ridiculous cryptocurrency price rages are fueled by investors jumping in with little or no resistance. The DYOR rule is quickly forgotten and the dumb money keeps flowing in. sometimes this works. Other times, the dumb money becomes exit liquidity for earlier investors, and bag holders are made. Well; someone needs to take the shot, “scared money makes no money” anyways.

Buy high, sell low.

Alright, you just aped in. the Fear of missing out won. Now you’re sitting on a bag of a token whose price keeps dropping. Sometimes the price is only stagnant and it’s easy to get impatient when those long green candles aren’t coming. What’s the move? Time to move on? I guess so; unto the next ‘gem’. This move is common and sometimes could save your investment, other times…well, the bloodbath continues.

Cryptocurrency investments require well-thought patience and deliberation. Good research should also influence your decision to move on and test different water.

Fear of getting stuck [FOGS]

Pretty much like the above; you simply don’t want to be the last holder of this token. The charts aren’t looking great and most importantly, the community isn’t looking impressed anymore. The most anticipated move is more dumps. Price is already down, you’re probably in loss or reduced profits. Without due research, holding on to your bags doesn’t feel like the right thing to do. Cryptocurrency is ‘cruel’ and getting stuck is a very possible situation. Oh well, if your fears win, you take the dump otherwise, bagholding will continue. Whichever one, you’re probably not wrong.

Living on delusions

For some memecoins, a $50 purchase gets you millions or even billions of tokens. For some investors, this is a sure bet to the millions. If the token ever hits a dollar, you’ll be on the same list as Jeff Greene. Delusional, a popular hopium. For a project with over a trillion tokens, reaching one-tenth of a cent is a face-melting move. As face melting as that of dogecoin and Shiba Inu. Well, many Shiba Inu holders are waiting on the dollar mark to cash in on their millions.

It’s risky to use the word ‘impossible’ in crypto but some outrageous expectations are simply not thoughtful and wrong. Who doesn’t wish to turn 50 into a million? If $8,000 could grow into over $5 billion, then anything can happen. But accepting reality is more relaxing than living in delusions.

Admit it, you can relate to at least one of the above. Fortunately, investing in cryptocurrency doesn’t have any known formulae. The only thing that exists are tactics that work most of the time. In the real sense, even the cleverest strategies could fail and the dumbest ones could end in mind-blowing success.

25/12/2022
Bear market: A real test.

You saw those red candles, right? It’s the bear market and they could get ugly, very ugly and this is the actual time they get too bad. 2021 was the proof that investing in cryptocurrency can be life-changing, 2022 is otherwise. Anyways it isn’t actually proof that investing in cryptocurrency could be life spoiling… well I don’t know how correct it is to say that, but the obvious fact is that this is a trying time for everybody dipping their feet into cryptocurrency and digital asset investment. From an all-time high of over 60,000 dollars, bitcoin has slipped and has lost its support at 30,000 dollars. It is on a free fall, not just Bitcoin but even your favorite cryptocurrency… and my favorite cryptocurrency.

Ethereum has a whole lot of things in the pipeline, many upcoming upgrades, and enhancements, but even these are not able to hold the price from falling. It hit a notable high of over $4000 but thanks to a widespread fall, it has fallen massively to a current price of just below 2000 dollars. Other cryptocurrency projects have seen double-digit falls; each of them records a percentage price loss of over 90% of their value at an all-time high. Unfortunately, this scenario seems to be just the beginning of an even bigger event. It is the bear market there’s no need to hide it anymore, it’s crashing, everything. remember the Lambo boys and the moon boys as well? well, they just submitted an application at McDonald’s, you might meet them on your daily shopping… pun intended.

The bull market is a very interesting time, even the worst digital assets record mind-blowing gains. You probably thought you already mastered the art of trading cryptocurrencies and making huge gains in a very short space of time; well I used to think so too. I thought I was a legendary cryptocurrency Trader who could easily spin money and make gains… once again I was wrong about myself and probably this applies to you as well, it’s very unfortunate I didn’t get to buy that Lambo anymore. Maybe next year, maybe in the next bull run; I am optimistic.

While cryptocurrency prices are prone to variations from time to time; it is no doubt that these variations are what actually make digital asset investment interesting. The fact that you could be rich today and poor tomorrow is mind-blowing and makes you want to come back and try again next time. You could make a fortune here and you can also lose a fortune here. The interesting thing is that there is no specified time to make these gains and losses. But unarguably, times like this are tougher. It could be heartbreaking watching your portfolio lose value; most times you have no control over these things and you can’t even stop your own assets from being valueless. Bear market warnings should sound louder, many traders are still unable to fathom the fact that prices can vary and they can go in any direction at any time… sorry, you used to be rich, but that’s not the case anymore.

But it is no story that even the biggest winners are made in a time like this. Prices of even the most reputable cryptocurrency assets are in the dust currently. Considering an all-time high of over 60,000 dollars you can currently buy bitcoin for less than half this price and double the amount of Bitcoin with the same cash. The discount across every asset makes for a very good purchase period and a time for investors to make even more gains if the market ever recovers. But that’s the issue; is the market even going to recover? Well, I wish I had a definite answer to that question but even your favorite Twitter analyst has called the return of the bull run a number of times but here we are dabbling in the red candles and losing cash as fast as possible, I wish there was a fix for this. But this is the test, the real test. Paper-hands and leaving the market as fast as possible but even if the diamond hands are getting bombed it might take just a while before they become loose and sell-off.

Consider this period a real test of your belief in the ability of cryptocurrencies to hold up against widespread sell-off and an army of investors looking to offload their investments and leave the space. There are discounts everywhere, every crypto asset is down badly and you can buy some of them for a penny… they used to sell for over $100. It’s test time, feel free to make use of this low price, but this is not financial advice.

25/12/2022