There is an ongoing cryptocurrency bull market, and even most traditional markets are still hot with volatility, and therefore, opportunity is still available around every corner.
Not everyone knows how to fully take advantage of this once in a lifetime chance for wealth, however. It is a little late for investing, and trading can be risky for those that don’t understand technical analysis, or don’t have the time or skills necessary to manage positions, risk, and become consistently profitable.
This step-by-step guide will show you how to instead get started with the innovative Covesting copy trading module, exclusively on the award-winning multi-asset trading platform PrimeXBT, to copy trade your way to success.
Covesting Copy Trading Explained And How To Get Begin
The Covesting copy trading module is a peer-to-peer platform full of some of the world’s most successful traders, who create Strategies to compete and rise the ranks of the global leaderboards, and maintain certain success metrics to earn a five-star rating.
Read How To Start Forex Trading: The Ultimate Beginners Guide.
Users of the Covesting platform can become Followers and follow any number of Strategies available within the Covesting module, and copy any trades made by the Strategy Manager.
When the Strategy Manager closes a profitable trade, the Follower earns a portion of the success fees. These fees, along with trade fees and entry fees, can be improved in favor of the Strategy Manager or Follower by using the COV utility token, but more on that later.
To get started, you must first be registered to PrimeXBT, and make a deposit using any of the currencies the platform utilizes for margin accounts, including BTC, ETH, USDC, and USDT.
Scope Out The Ranks Of The Global Covesting Leaderboard
Just like you wouldn’t just immediately open a trade without first performing some technical analysis to learn where support and resistance may exist, or how powerful the strength at hand is, you also wouldn’t simply just start following Strategies without some research first.
Thankfully, the fully transparent global leaderboards on Covesting make it easy to know which Strategies are the right ones to follow, based on each individual Follower’s risk appetite or profit goals.
Follow The Stars Or Pick Your Strategy For Profits
Another way to improve the chances of profitability, is to seek any traders who have earned a five-star rating. These are rare, and only awarded under the strictest conditions, including certain win to loss ratios, margin allocation, and much more.
Following a five-star trader will provide the least risk overall, however, even the best traders have losing streaks so it is important to actively manage which Strategies are being followed at any given time.
Still Unsure? Learn More With The Telegram Community Channel
Any users that would like to see more regarding the Strategy Manager behind each Strategy, can take a look at the Covesting community telegram channel and see if there’s any chatter related to them, or if they are actively posting themselves.
Several top traders visit the channel to post their thoughts about markets, share trading strategies with other top traders, and more. There’s plenty of watercooler talk and speculation, but you can certainly learn a lot about the Covesting community and its traders in general by spending some time chatting in the channel.
Diversify Your Covesting Portfolio To Spread Risk, Increase Opportunity
For the absolute best chances of success and to further limit risk overall, Covesting users are encouraged to diversity their trading portfolio and spread capital across several different Strategies rather than going all in on just one.
The same theories apply to trading portfolios in general, where investors are encouraged to diversify across several assets and asset classes, so that performance isn’t solely dependent on just one source, and capital isn’t impacted as significantly if any particular asset reaches any extremes. This also allows traders to access more chances for profits, all while reducing risk.
Certain limits are also imposed on Initial Followers’ Equity to encourage more diversity across the Covesting community.
Keep A Sharp Eye On Strategy Success
It might seem like Strategy Managers are doing all the work, so you can simply sit back, relax, and make money hand over fist, without risk. But that’s not the case. As mentioned, even the best of the best traders can have a bad day, or long losing streak.
Any Followers must keep a close eye on the ongoing success metrics of the Strategies they follow, as it is still up to the Follower to manage their capital, and make sure they are copying the trades of the right, regularly winning traders. This does take some time, effort, and research on the Follower’s end, but it still sure beats what’s required for detailed technical analysis and position management.
Maximize Covesting Module With The COV Utility Token
As we called attention to above, both Followers and Strategy Managers can improve their profitability by unlocking the full utility of the COV token through the Covesting copy trading module.
Followers can avoid entry fees totally, and improve the share of success fees in their favor from profitably copied trades. Strategy Managers can also get a discount on trading fees by spending COV tokens to further unlock utility.
The COV token itself offers holders a host of benefits beyond the Covesting module, which is further enhanced by its use as a utility token on the platform. For example, Covesting burns a position of COV tokens based on their usage on the module, which in turn increases the long-term value for investors.
Become Profitable With Covesting and PrimeXBT V2.0
The Covesting copy trading module is only one way users registered to PrimeXBT can turn a profit. There’s a four-level referral system that drives revenue in any new users driven to the copy trading platform as well.
But most importantly, PrimeXBT is an award-winning trading platform, offering traders the ability to long and short CFDs on crypto, forex, commodities, stock indices, and more, all from margin accounts based on BTC, ETH, USDT, and USDC.
By accessing so many trading instruments and features all under one roof, users looking to move beyond the copy trading experience on Covesting have the rest of PrimeXBT at their disposal, which includes technical analysis software, advanced trading tools, and much more.