Cryptocurrencies have changed the financial world, and governments, institutions, and individuals alike are still trying to keep up with the wide-ranging impact these digital currencies are having on economies across the globe.
Some are doing better than others—India, for example, is ranking first in the world in the latest edition of Chainalysis’ Global Crypto Adoption Index. Among locals, crypto has gained popularity because it is a decentralized financial tool that can be used as a hedge against inflation.
You may be familiar with investing as a way to transact with crypto. Backing the digital currency Bitcoin, for example, can grant portfolio diversification and security. But there isn’t just one path to success with cryptocurrencies. You can also trade them—which has higher risks and greater rewards. Pick this path, and you’ll like to get returns sooner rather than later and face the ups and downs of the crypto market to a greater extent.
If you’re willing to try, you’ll want to be well-equipped with the proper tools on your financial journey. One of the most useful is the MetaTrader 5. Read on to learn everything you need to know about using it to trade cryptocurrencies.
What is MetaTrader 5?
To trade cryptocurrencies, you’ll want a powerful tool that can give you an edge in this competitive market. For this reason, you should try MetaTrader 5—the widely popular successor of MetaTrader 4 and, with its arsenal of features, one of the most popular tools offered by trading platforms worldwide. This all-in-one software allows you to trade crypto contracts for difference or CFDs, meaning you can reap returns by speculating on a digital currency’s price movements without having to own tokens. Along the way, it’ll provide charts, time frames, and analytical tools you can use to improve your positions.
Benefits of trading crypto with MetaTrader 5
It provides sophisticated trading indicators
You want the best information to base your crypto trades on, and MetaTrader 5 has all the top indicators you need. That includes linear regression channels that can determine a crypto price trend’s upper and lower limits, as well as economic calendars that inform you about significant news releases that can affect crypto values. You can even make your own indicators using its MetaQuotes Language 5 programming language.
It has a variety of cryptocurrencies
Cryptocurrencies experience alternating periods of success. That’s why you’ll want to diversify the ones you trade with for better stability and more consistent returns. MetaTrader 5 allows you to have your pick of the crypto assets. With it, you can trade big names like Bitcoin to lesser-known tokens that occasionally outperform the crypto giants, like Cardano.
It offers desktop, mobile, and web capabilities
The crypto market is famously volatile. You’ll want to act fast when the indications of a crypto winter or a black swan event appear. MetaTrader 5 answers that need by letting you operate anywhere with its mobile app and website. Even if you’re away from your computer, you can quickly shift gears with your trades.
How to trade crypto with MetaTrader 5
Set up your MT5 account
Find a reliable trading platform that hosts MetaTrader 5. Preferably, it should offer above-market trading conditions to ensure high trading volumes and cybersecurity measures like VPN hosting to secure your trades. Register your account, choose a funding source—and you’re ready to trade crypto.
Finetune crypto trading strategy
You’ll want your crypto trading strategy to be as polished as possible before it hits the market. To do this, test it through backtesting. ABP Live notes that most algorithmic trading platforms have this function, and you’ll find it on MetaTrader 5 as well. Leverage it to test your chosen trading plan using historical crypto market data. That way, you can ensure your strategy’s potential for success before trading.
Automate your trades
The cryptocurrency market acts fast and ruthlessly. To succeed in this environment, you’ll want to leverage MetaTrader 5’s automated trading features. With it, you can set up a program to rapidly execute trades based on your indicators for success—even when you’re not present—and exit trades when your possible losses become too great.
You’ll want the best tools to trade in the crypto market. For this, MetaTrader 5 is one of the best options available.
