Crypto Affiliate Basics: Volatility Creates Trading Opportunities
Cryptocurrencies are back in the news and attracting the attention of investors. Dogecoin (DOGE) surged on the news that Elon Musk finally acquired the social media platform Twitter. The media focus on Dogecoin is boosting the profile and trader awareness of other cryptocurrencies and creating exciting new opportunities. We’ll explore current Dogecoin trading opportunities in this blog post.
If you’re looking to make money as a crypto affiliate or a crypto trader – it’s important to know which digital currencies are most promising. There are many options out there, but not all of them are worth investing in. If you want to get in on the action without losing your shirt, here’s what you need to know.
What is a Cryptocurrency?
A cryptocurrency is a digital currency that uses cryptography for security and authentication. Some well-known cryptocurrencies include Bitcoin, Dogecoin, Ethereum, and Litecoin. Cryptos are gradually entering the financial mainstream but are still very much alternative currencies. They aren’t backed by central banks and are essentially unregulated.
How do Cryptos Work?
Network nodes verify cryptocurrency transactions through cryptography. This makes them secure and resistant to fraud or manipulation. Once a transaction is verified and added to the public ledger, known as the blockchain, it becomes unchangeable.
What is Crypto Volatility?
Cryptocurrencies are notoriously volatile. This means they can experience sudden and significant changes in value against other currencies. This is why they’re so exciting: they allow investors to make huge gains overnight—or lose everything. To the extent that any asset has a typical trader demographic, crypto traders tend to be aggressive younger men with disposable income and an above-average appetite for risk.
Social media and viral financial news reports can rapidly drive crypto trader sentiment and create powerful trends within a very short period. Skilled crypto traders have made huge profits, particularly on Bitcoin. The Bitcoin boom made overnight millionaires. Crypto trading can be extremely lucrative, but if you’re looking for a more stable way to invest your money, you should consider using CFDs instead of buying and selling cryptocurrencies directly.
What are Crypto CFDs?
CFDs are contracts for difference. They’re financial instruments that allow you to speculate on an asset’s price movement without owning it. That means you can trade cryptos without actually buying them, which could be good if you want to try out some new trading strategies without making a big commitment upfront. It also means you don’t have to worry about losing your entire investment if the market turns against you—you’ll only lose what you’ve invested in buying any specific contract.
The advantage of CFDs is that you can open a range of (risk-managed) trades on various assets and systematically explore the most promising cryptos. If this sounds complicated, don’t worry! It’s pretty simple once you get the hang of it.
CFDs have been around for decades and have become popular among traditional investors because they offer a way to profit from rising and falling markets without buying or selling assets directly. You need to make sure you understand how CFD trading works before jumping in headfirst!
CFDs for Crypto Affiliates
Suppose you’re planning to make money as a crypto affiliate. In that case, you need to understand how CFDs work and be able to clearly explain the key advantages of CFDs (and the potential risks) in your affiliate content and marketing materials. You don’t need to be an experienced trader or a financial expert to be a successful crypto affiliate, but you need to know the basics.
When you sign up as a crypto affiliate, it’s worth opening a free Demo Account and trying out some practice trades on the most promising cryptos. You’ll gain a fast understanding of the trading platforms and financial tools on offer and valuable insight into the broader trading experience. It’s essential to understand what motivates crypto traders and their issues and concerns.
5 Most Promising Cryptos in 2022 and 2023s
Cryptocurrencies are a hot topic, and it’s easy to see why. With their growing popularity, they’re becoming more accessible than ever before. However, with so many cryptocurrencies on the market, how do you identify the most promising cryptos and decide which ones are worth investing in?
One way to find out is by reading up on them. Most people have heard of Bitcoin, the leading digital currency, and it has dominated the headlines in the financial press for the last couple of years. Here are some more of our favorite coins and tokens from around the world:
- Dogecoin – Currently was initially launched as a ‘joke’ by software engineers Billy Markus and Jackson Palmer. As of May 2021, the digital currency had a market cap of $85 billion.
- Shiba Inu – The cryptocurrency uses a satirical meme similar to rival crypto Dogecoin and experienced similar rapid growth. It has an estimated market cap of $12.5 billion.
- Bitcoin (BTC) – The largest cryptocurrency by market cap, Bitcoin was created in 2009 by Satoshi Nakamoto as an alternative to fiat currency.
- Ethereum (ETH) – Vitalik Buterin created this cryptocurrency in 2015 as a platform for smart contracts and other applications built using blockchain technology.
- Ripple (XRP) – Designed for banks and other financial institutions, Ripple aims to improve the speed and efficiency of cross-border transactions through its blockchain technology.
Dogecoin and Elon Musk
The entrepreneur Elon Musk is a Dogecoin enthusiast and has publicly – and controversially – backed the currency to the extent that he was accused of manipulating its prices. Musk now faces a $258 billion lawsuit in a Manhattan court over claims that his social media promotion of DOGE artificially inflated its value.
Musk, Twitter, and Dogecoin
Elon Musk is one of the world’s most successful and high-profile investors. He is best known as the CEO of Tesla, SpaceX, and Twitter. According to Bloomberg, Elon Musk is also the world’s wealthiest man, with a net worth of $183 billion. Musk also has a reputation for eccentricity, grandstanding, and publicity stunts. In December 2020, Musk published a simple Tweet: “One Word: Doge.” The value of digital currency surged by 20%.
Over the next two years, Musk’s Tweets and public pronouncements continued to affect the price of Dogecoin. In December 2021, Musk announced that Tesla would accept payment for electric vehicles in DOGE, immediately leading to a 20% spike in the crypto’s value. Cryptocurrencies are unregulated, and there are no rules about promoting them or manipulating their prices – as there are with stocks. Musk alienated many people with his behavior but has done nothing illegal.
At the end of October 2022, Elon Musk formally acquired Twitter and fired the Board. He announced a radical overhaul of the left-leaning social media platform, with an emphasis on allowing free speech. Dogecoin more than doubled in value following the news, soaring from $0.07 to $0.16. These might look like small numbers compared to Bitcoin, but they were enough to raise the DOGE market value to $21 billion.
DOGE is a source of significant interest to the world’s wealthiest man and arguably the world’s most dynamic and driven entrepreneur. If Musk continues to publicize DOGE, it will continue to be highly volatile and create major opportunities for crypto traders and affiliates. The crypto markets are volatile and unpredictable, but Dogecoin is currently one of the world’s most promising cryptos.
Make Money as a Crypto Affiliate
Elon Musk and Dogecoin illustrate the volatility of cryptos and the massive public interest in alternative digital currencies. We’re currently experiencing highly unusual market conditions. The global economy may become even more challenging in 2023 if inflation continues, recessions bite, and the commodity crisis and food shortages escalate. Cryptocurrencies have the potential to become attractive alternative investments in a challenging economy.
This is a great time to become a crypto affiliate and earn high commissions for crypto traffic. Top online crypto brokers and their partner programs compete for new crypto traders and are keen to work with ambitious people who can bring traffic. AvaPartner is one of the world’s leading partner programs and has paid out a mind-blowing $250,000,000 in commissions to its affiliate partners.
If you have a website, a solid social media presence, or a business like a trading academy or call center, you can immediately exploit your resources and boost your income. Skilled traders and brokers can earn high incomes as Introducing brokers or IBs. The advantage of becoming a crypto affiliate in 2022 and 2023 is that you can drive forex traffic and make money by referring traders who are interested in commodities (especially metals and energies) as well as stocks, bonds, ETFs, options, and a variety of other assets.
Join AvaPartner today and choose a tailored commission plan!