Covesting is a social trading tool, or Copy Trading, that can be used to copy trades of other investors.

This is a popular tactic used by novices, due to the fact that you can learn how to trade cryptocurrencies and also earn passive income using various techniques. It is also used by many experienced investors.

Trading at Covesting is automated so that you can trade with little effort, although you can also opt for manual trades.

The objective of social trading is to open positions in various financial markets and then close them as soon as the value of their assets has increased.

Of course, as with any trading method, this can result in gains and losses.

Why did we need a tool like Covesting?

The complexity of cryptocurrency trading strategies has led many to look askance at the crypto space.

This has led to digital currencies remaining a reserve for those with a high-risk appetite, so exchanges are simplifying trading by introducing new features.

A clear example of this is PrimeXBT, a cryptocurrency exchange, which allows traders to copy trading strategies of more experienced traders in a transparent manner, using what is commonly known as copy trading.

While copy trading is not new in the traditional financial space, its application in the cryptocurrency world is gaining momentum thanks to Covesting.

This technology had been in development since 2017 and was being beta tested by selected users of the platform since April 2020, making PrimeXBT the first of what is likely to be many exchanges to incorporate this copy trading feature.

What is PrimeXBT?

PrimeXBThas established itself as a leading crypto margin trading platform, winning the ADVFN’s Best Crypto Margin Trading Award in 2020.

It has access to 30 trading markets, including forex, cryptocurrencies, indices and futures, currently operating in more than 150 countries.

PrimeXBT offers other benefits including:

  • Low commercial rates.
  • Tools and resources (a complete panel, graphics, etc.).
  • Mobile access.
  • 99.999% network availability.
  • Excellent customer support.
  • Referral fees and affiliate program.
  • A very active community.

Overall, this is the best platform for followers and marketers who are serious about social commerce, through Covesting.

You can start trading in just three easy steps:

  1. Register;
  2. Deposit to your account;
  3. Start Covesting.

By registering with this link and activating the code CMEI50, you will receive a 50% bonus on a deposit over $100.

Therefore, experienced investors can present their results to the public and monetize their skills.

While beginners can follow successful investment strategies and copy them automatically.

Benefits of Covesting copy trading

By copying business strategies, marketers and followers enjoy great benefits.

These include:

  • Easy for new traders: New traders don’t have to understand the strategy; all they need is an analysis of how the strategy has worked. If it is good for them, they copy and start trading.
  • Save time: the trader does all the research for you and you don’t have to research the markets.
  • Wide range of instruments: in addition to cryptocurrencies, PrimeXBT supports forex and gold trading. Therefore, the strategy is ideal even for traders who do not trade cryptocurrencies. Although, for now, it is only available for Bitcoin traders.
  • Leveraged trading support: as PrimeXBT is among the leading margin trading cryptocurrency platforms, hedging can be applied in leveraged trading.
  • Transparency: As in traditional fiduciary management, the manager’s performance is also available for Covesting. Simply click on the statistics and you can examine the historical performance, maximum gains, losses and the date of portfolio formation.

How to get the most out of Covesting?

Covesting offers the possibility to select and “hire” tradesmen to work for you.

But as with any “hiring” process, there are characteristics to look for and characteristics to avoid.

Therefore, one of the main qualities to look for in a trader is consistent performance.

Although losses are normal in the trading world, even for the most experienced traders, the important thing is to find traders who manage their losses well.

In other words, you must find a trader whose earnings are stable over long periods of time.

You can easily find strategies that have consistently performed well over time by looking at the performance charts along with the number of active days.

The best performing charts are those with a smoother upward slope with small dips.

This means that the trader behind the strategy knows how to grow his portfolio steadily without suffering significant losses.

A higher number of active days shows that the trader’s strategy has been consistently profitable over a longer period of time.

The fewer the number of days of activity, the greater the risk involved in following that strategy.

Another way to get the most out of Covesting is to look for stocks with high management and a high historical margin in the trader to be copied.

Within the breakdown of a strategy in the Copy Trading tool, you can see the amount of capital (money or investment) that the trader (Manager) has put into the strategy, compared to the capital that the followers have invested.

This is important because it shows you how much of your funds are at risk in the strategy.

Ideally, find a strategy where the manager’s capital is at least $1,000. This is because the trader would normally be more cautious if he also had money at stake in his strategy.

Look at this to assess the risk of following a trader. The higher the number, the lower the risk.

Finally, always lock in your profits. The longer you leave your funds within a strategy, the greater the risk of losing your funds.

Even seemingly stable strategies can suddenly incur large losses.

Because of this, it is a good idea to stop following strategies frequently and save your profits as you go along.

A great benefit of using PrimeXBT’s Covesting feature is that as soon as you stop following a strategy, your funds are immediately placed in your PrimeXBT account.

How much can be invested in Covesting?

The minimum investment amount is 0.001 BTC. The higher the investment, the higher the share of profit the investor will get from the transaction.

Consequently, the company’s participation as organizer in the distribution of profits is reduced by the same percentage.

The profit commission for the manager (trader to be copied) is always the same: it is 20%.

Covesting fees range from 40% to 25% of your profit. It is based on the amount invested:

  • 0.01 – 0.3 BTC: the follower gets 60%, the platform gets 20% and the original operator gets 20%.
  • 0.03 – 0.5 BTC: the follower gets 65%, the platform gets 15% and the original operator gets 20%.
  • 0.5 – 1 BTC: the follower gets 70%, the platform gets 10% and the original operator gets 20%.
  • More than 1 BTC: the follower gets 75%, the platform gets 5% and the original operator gets 20%.

To manage a portfolio, the minimum amount is 10 times more and is 0.01 BTC. For managers, Covestingis a great tool to earn money because there is a direct relationship between profitability and the amount of remuneration, and a fixed commission of 20% leaves no room to manipulate portfolio volumes.

Want to learn more? Visit PRIME XBT

Code: CMEI50, to get a 50% bonus on a deposit over $100.

Web site: https://primexbt.com/

Facebook: https://www.facebook.com/primexbt/

Twitter: https://twitter.com/primexbt

Reddit: https://www.reddit.com/r/primexbt

Telegram: https://t.me/primexbt

Medium: https://medium.com/primexbt


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Disclaimer: This press release is for informational purposes only, the information does not constitute investment advice or an offer to invest. The opinions expressed in this article are those of the author and do not necessarily represent the views of BitcoinDynamic, and should not be attributed to, BitcoinDynamic.

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