Making $100 a day consistently trading cryptocurrency is difficult and not recommended for beginners. Here's why:
- High Volatility: Cryptocurrency prices can swing wildly, leading to significant losses if you're not careful.
- Market Risk: The entire cryptocurrency market can experience sudden downturns, wiping out potential gains.
- Requires Knowledge and Experience: Successful trading involves understanding technical analysis, risk management, and market psychology.
- Time Commitment: Active day trading can be very time-consuming, requiring constant monitoring and potentially quick decisions.
Here are some alternatives to consider if your goal is to make money with cryptocurrency:
- Long-Term Investing: This involves buying and holding cryptocurrencies for an extended period, aiming to benefit from potential long-term growth. This approach requires less frequent monitoring and carries lower risk than day trading.
- Dollar-Cost Averaging (DCA): This involves investing a fixed amount of money into a specific cryptocurrency at regular intervals, regardless of the price. This strategy can help average out the cost per coin over time and reduce the impact of volatility.
- Earning Interest: Some cryptocurrency platforms offer interest on your holdings. While the returns might not be as high as with day trading, they can be a more stable way to generate income with crypto.