How to trade Tron online
Trading Tron could be a good option for you. This page, along with our educational Tron guides and courses, will explain the key lessons you’ll want to absorb before you get started to ensure you know everything you need to know before you start trading.
Compare the best platforms for Tron trading
Check out the table below if you’re ready to buy Tron (TRX). Need more time to learn about Tron trading? Then keep reading.
Before you get into TRX trading, there are a few things you need to understand and consider when it comes to Tron trading. Here’s a quick run-through of what you need to know.
What do I need to trade Tron?
An Internet connection, a willingness to learn, and an eye for good investment opportunities. On the learning front, you should dive into the key terms and principles that go with online crypto trading, as well as Tron’s historical and recent price performance. When it comes to cryptocurrency trading, gaining as much knowledge as possible will always help give you an edge in the market.
Speaking of key crypto trading terms, get to know these three:
- Exchange – A cryptocurrency exchange is a platform that enables you to trade Tron in exchange for other currencies, be it fiat currency or other cryptocurrencies. Exchanges are recommended for more advanced traders, though, as they’re not always easy for beginners to navigate.
- Broker account – A tron broker account is any account you can open which allows you to facilitate investments, be that holding shares or actively trading cryptocurrencies. There are many variations with minor differences. However, the most important thing to know is: A CFD (contract for difference) broker allows you to trade assets without actually owning them. This means that you can trade Tron, but you wouldn’t be able to withdraw and spend the TRX. Rather, you’d withdraw profits in your local currency.
- Wallet – A crypto wallet is a digital device, program, or service which stores the keys used to receive, spend, and track ownership of cryptocurrencies, including Tron. Having your own wallet provides a more secure platform for your Tron than just leaving it in the custody of an exchange. If you’re trading a significant amount of Tron, this level of extra security can be a worthwhile step.
Should I trade Tron?
That’s up to you, our job is to give you enough information so that you can make an informed choice. Like other cryptocurrencies, trading Tron can result in making money, but can also lead to losses if you’re unprepared or unlucky. If you’re a beginner getting into Tron trading, then we recommend you find a broker that allows you to simulate trades with a demo account, so you can get to grips with everything before risking your capital.
What is the best way to trade Tron for a beginner?
If you’re a beginner in the crypto space who wants to make money trading Tron, using a CFD broker could be the way to go. Not only do these offer the ability to learn the ropes with a demo account (as explained above), but they also allow users to trade Tron without having to own and manage the coins themselves – so you won’t need a cryptocurrency wallet.
CFD trading enables you to own a contract related to the value of Tron, but without owning actual Tron coins. That way, you don’t have to worry about the hassle of finding a place to store your Tron coins securely, and also enables you to make faster trades. You can always move onto trading on a crypto exchange after you gain more experience, as exchange-trading allows you to trade different cryptocurrencies for each other and hold a variety of cryptocurrencies at once, but crypto brokers are a great place to start when it comes to crypto trading.
When trading Tron through a CFD broker, you can choose to trade with leverage, but beginners should be cautious of this. Trading with leverage means that you can make large trades while only putting down a small percentage of the overall trade amount. The size of that leverage can be smaller (such as 2x or 5x the size of your stake) or much larger (up to 100x the size of your own stake, or more). So you could potentially, by a CFD representing £1,000 of Tron while only having to stake £10 of your own money.
This sounds very attractive, but it does come with sizable risks. Leveraged trading can maximise profits when you guess correctly on the direction of a Tron trade, but it also multiplies losses when things don’t go your way. For this reason, we don’t recommend that beginner investors trade with leverage.
How to trade Tron using a broker
If you want to trade Tron with a broker, you’ll first need to find a brokerage platform that offers Tron trading, and then follow these simple steps:
1. Open an account with your broker
Choose a crypto broker that offers a simple and secure platform, as well as the narrowest possible spreads between bid and ask prices. Key in your contact and security information to confirm your identity. You’re then ready to move onto the next step.
2. Deposit funds into your account
You can make deposits by debit card, credit card, PayPal, bank transfers, or all of the above – depending on your broker’s deposit guidelines. If you want to have a specific deposit method available to you, you should verify that the broker you’re eyeing offers that option before you sign up.
3. Plan your Tron trading strategy
There are many different strategies you can employ when trading Tron with a broker, and you can make use of the broker’s demo account to experiment with these. Here are four ways to execute trades of Tron, with a shorter time frame in mind:
- Day trading. Day trading refers to the practice of buying and selling shares on the same day. The goal when day trading is to land a quick profit, sometimes even in a matter of minutes. To day trade successfully, it pays to learn how to read patterns within charts, a practice also known as technical analysis.
- Swing trading. Swing trading is also a short-term trading strategy, but one that involves positions being left open for more than a day (in most cases). The goal is to profit from the price swings that can occur during that period. Here too, learning the art of technical analysis will increase your chances of success, but it’s worth noting that most CFD platforms will charge overnight fees for positions that are left open.
- Scalping. Scalping aims to take advantage of market inefficiencies in order to produce profits, as not all brokers will set the same rates. Examples of scalping are arbitrage and spread scalping. In arbitrage you’re looking for discrepancies between the bid and ask spread of two different brokers, then taking advantage of that discrepancy to produce a gain. Spread scalping is the same concept as arbitrage, except that it’s with the same broker. Scalping tends to produce small gains, so you’ll generally need to pull off a lot of trades to generate any significant profits.
- Automated trading. Automated trading uses computer-generated algorithms, driven by technical indicators and statistical arbitrage, to make trades. Also called robot trading, it seeks to eliminate a lot of the distracting emotions that can lead to human error when making trades. It is good to be cautious with these platforms, however, because not all are legitimate – always beware of anything promising huge amounts of money in short timeframes.
These are all short-term trading strategies. If you’d like to explore a longer-term investing approach, you can try to buy and hold Tron instead. That strategy can yield big long-term gains, if you can buy at the right time and keep a steady hand through market fluctuations. You can learn more about various trading strategies in our cryptocurrency courses.
4. Place your first trade
You’ve done your research on the methods you can use to trade Tron, picked a crypto broker you like, deposited money into your trading account, and picked the type of trading you want to pursue. On top of this, you’ve had a play around with the demo account to familiarise yourself with the process if necessary. Time to make your first trade!
That was easy, what should I do next?
Practice makes perfect; keep working on your trading skills, after which point you can move onto more complex methods for trading Tron. To learn more about trading strategies, managing risk, and maximising profits, check out all of our crypto trading articles on this site.
Additional hints and tips
Trading Tron on an exchange can be harder to navigate, have fewer deposit options, and be harder to understand than trading with brokers. If you’d still like to try exchange trading, keep reading and we’ll take you through what you need to know.
How to trade Tron using an exchange
If you’re thinking about trading Tron on an exchange, here are the steps you want to take:
1. Decide which exchange you want to use
You’ll want to compare different exchanges’ trading fees, as well as the different choices that exchanges make available to crypto traders. Some exchanges allow you to buy just a few cryptocurrencies using fiat currency, and might not include Tron on that list. Others offer more trading options, such as trading a wide variety of crypto pairs that include Tron.
2. Set up an account
To open a trading account, punch in your contact and identity information, then link to the accepted method of deposit that you prefer.
3. Select which cryptos you want to hold and trade
Many (but not all) crypto exchanges will allow you to trade Tron. When you trade Tron on an exchange, you’re doing so in crypto pairs such as Tron with Ethereum (TRX/ETH), Tron with Bitcoin (TRX/BTC), and Tron with British pounds (TRX/GBP).
4. Place your trade
When it comes to placing a trade on a crypto exchange, there are a few options available. Here are some of your trading options:
- Buy order. This is when you buy a specific number of crypto units, such as coins of Tron. This can either be at the current market rate, or you can specify a lower amount at which you want to buy the coins and the trade will take place if the price falls to that number.
- Sell order. This is when you sell your Tron coins, with the goal of either making a profit or to cutting your losses. Your coins will be sold at the rate you set (usually the current market rate).
- Put/call. When trading Tron options, you can bet on its price going up (a call) or going down (a put). You’re granted the option to buy or sell Tron at a specified strike price, before or by a certain date.
- Market order. This is when you want to buy Tron immediately, at the current fair market rate.
- Limit order. A limit order refers to a buy order that only executes up to a certain price threshold. Essentially you put a maximum price at which you’re willing to buy Tron and a maximum budget you wish to spend, and the exchange facilitates the trades.
- Stop-loss order. This is when you buy a cryptocurrency such as Tron, then put in an order to limit the size of your loss. The exchange will automatically sell your coins to others if the price falls to the level you specify. So for instance you could put in a stop-loss order 10% below your Tron buy price, to limit your potential loss to no more than 10%.
5. Receive your coins
When you’ve bought your coins, then they will be transferred into your account on the exchange. This enables you then to keep trading, leave the coins there, or move them to another wallet.
6. (Optional) transfer your coins to a separate wallet
If you want a better security option than the wallet in which your coins are stored on the exchange, you can transfer your Tron to your own wallet. This is highly recommended for security purposes if you’re not planning on trading the coins in the near future.
Which exchange should I use to trade Tron?
Follow any of the links below to take you to the top-rated exchange to trade Tron today.
Unfortunately, no – at least not directly. The brokerage or exchange you pick will instead allow you to use your PayPal account to make deposits into your trading account, and you can then trade after those deposits are made. Check out our PayPal guide to see which brokerage platforms and exchanges allow you to use PayPal to fund your Tron trading account.
As with PayPal, you can’t trade Tron directly with a credit card or debit card as these cannot hold and spend cryptocurrencies. Some brokerages and exchanges will allow you to use credit and debit cards to make deposits into your trading account, though. Our credit card trading guide details which trading platforms allow credit card and debit card deposits for Tron trades.
You can’t simply buy Tron directly from your bank account because these can only store fiat currencies and not cryptos. Instead, you use your bank account to make deposits into your brokerage or exchange trading account. There will often be a waiting period of a few days before you’re approved to start making deposits using bank transfers. After that, you can start trading Tron. Our bank transfer trading guide offers more details.
You might suffer some losses when trading any asset, so yes this can be the case with Tron. This is why it is important to read up on all the relevant information to give yourself the best chance of success. Use our educational guides to improve your trading skills. We also recommend using stop-loss orders to limit the size of your losses when you do guess wrong.
In the sense that it’s a recognised form of trading, then yes. But in terms of the risks, then no commodity is 100% safe. Tron and other cryptocurrencies have also been extremely volatile in early 2020, which can increase your risk of losses if the market suddenly falls. On the other hand, volatility can work in your favour when it occurs in the form of big price swings to the upside.
You can trade Tron seven days a week, 24 hours a day. Trading on a round-the-clock schedule gives cryptocurrencies such as Tron an advantage over most other kinds of financial markets, which usually trade on more limited schedules.
Yes you can. Simply choose a crypto broker that offers a reliable, easy-to-use, trustworthy mobile app. That way you can trade Tron on the go, anywhere, anytime.
This depends on your broker/exchange, but in general withdrawals are fairly easy to execute. Please note, however, that it can often take a couple days or more before you can access your funds. Also note that you’ll sometimes have to pay a fee to make a withdrawal from your crypto trading account, so make sure you factor that into your analysis.
A crypto wallet is like a bank account for cryptocurrencies. A crypto wallet consists of two ‘keys’. The first is a public key (which is like your account number), which can be used by other people to send you Tron – and the second is a private key (which is like your PIN number, but much more secure), which you use to access your wallet and transfer cryptos elsewhere. A crypto wallet is a safer platform for you to store cryptocurrencies than leaving it in the custody of an exchange.
There are four types of cryptocurrency wallets you can use to store Tron, away from an exchange:
- A hardware wallet. This is a hardware device not connected to the Internet, often resembling a standard USB stick. A hardware wallet stores your private keys away from danger, and is the most secure option available for storage of Tron coins.
- A paper wallet. This type of wallet allows you to store your private keys and public addresses on a piece of paper, which you can then use to store your coins.
Hardware wallets and paper wallets are called “cold wallets,” as they are not accessible on the Internet and thus not at risk of being hacked. (Conversely, an exchange-based online wallet is called a “hot wallet.”)
- A desktop wallet. This is a piece of software that works with Mac, Windows, and Linux operating systems. You can store and access your Tron coins with a desktop app.
- A mobile wallet. This is similar to a desktop wallet, except that it’s accessible through an app on your phone. A mobile wallet enables you to store and access Tron coins through iOS- and Android-based mobile devices.
Mobile and desktop wallets are more secure that exchange results, but because they still store your private keys on devices connected to the internet, they’re not as secure as cold wallet options.
Trading with leverage entails putting down just a small percentage of the capital needed for a trade, with your broker putting in the rest. The advantage of trading with leverage is that if you guess right, you make more money. The downside is that if you guess wrong, you lose a lot more. Given the risk involved, we strongly advise against trading cryptocurrencies with leverage if you’re a beginner trader. Take some time to get used to trading Tron before considering leveraged trading.
You’ve already found the right place! Check out all of our cryptocurrency educational courses, analytical articles, and news reports, right here at Invezz.com.
- 1. How to trade Tron online
- 2. Compare the best platforms for Tron trading
- 3. What do I need to trade Tron?
- 4. Should I trade Tron?
- 5. What is the best way to trade Tron for a beginner?
- 6. How to trade Tron using a broker
- 7. That was easy, what should I do next?
- 8. How to trade Tron using an exchange
- 9. Which exchange should I use to trade Tron?
- 10. FAQs