Good afternoon, dear friends. Today, only the lazy do not speak about earnings on the crypto. Some people regret not buying Bitcoin 10 years ago, while others are discussing the great rise of digital tokens earlier this year. We will talk about how to make money on cryptocurrency in 2021.
However, the methods of earning have remained the same as before, but there are features that we cannot ignore.
Let’s start with mining – this is the most famous type of income. What is it? Of course, most of you know about this concept, but if someone does not know, let us remind you. Mining is the process of creating digital assets by computing an algorithm. This is a long-term process that requires a lot of power from the computer’s graphics card.
In 2021, it will be possible to make money on mining, but do not think about great income. Yes, at the dawn of mining, it was possible to make good money at home, on a simple computer. But time goes on: today are fewer uncovered blocks, but there are more people who want to make money on mining. And miners began to unite in pools, but pools cannot solve the problem either.
Nowadays, mining is a business that requires serious investments. It also depends on many variables: the price of the popular cryptocurrencies, electricity prices, government policy on electronic money, and much more.
If nevertheless, you decide to mine, then you need to know that on a simple home PC you will mine about $200 per year.
If you buy a professional device, for example, asic Bitmain Antminer S17 53Th/s, for $1700, earnings will increase. The device will pay off in 15 months. Further income will be around $50-60 per month.
Investing in cryptocurrencies
By investing we mean the purchase of an asset for a long period, at least for a year. This type of earnings also looks like a lottery. You can earn in this way. We have already seen many dollar millionaires who bought bitcoins for cents 10 years ago. But what will happen now? Classic economics books recommend investing in stable instruments that show constant growth. Cryptocurrencies, wise versa, are characterized by tremendous exchange rate volatility. Look at Bitcoin: ups and downs are ordinary things here. Investors get rid of tokens in a panic, after which they start buying them again. What will be the course in a year, two, three – no one can predict for sure. The experts’ opinions are diametrically opposed. Some predict a great future for cryptocurrencies, others call them a “soap bubble”. This is why it is better to work with cryptocurrencies on a short-term program.
This is popular earnings on cryptocurrencies in 2021. It is just making deals in the foreign exchange market. The trader earns income from the difference between the buy and sells price. You can earn a lot from trading. Moreover, you can make a fortune in one day, especially with cryptocurrencies. Due to the tremendous volatility, the daily margin can be thousands of dollars.
But things are not so smooth in practice. 90% of novice traders burn out. The trader can lose more than one deposit before the earnings will come. What’s the reason for such a process? It is very difficult to predict the rate of movement of a currency pair. You need experience, accurate calculation, and a bit of luck.
This is the most promising direction for making money on cryptocurrencies in 2021. What it is? In fact, this is using artificial intelligence to predict the movement of currency pairs.
The principle of algorithmic trading is almost the same as classical trading. Currency pairs choose, orders close. But, if in standard trading, a trader conducts a primitive analysis, relying more on intuition than on calculation, then here the opposite approach is used.
Due to the use of algorithms, it is possible to reduce the time for data analysis, opening, and closing orders. Reducing processing time is only one part of algorithmic trading. Analysis of the movement of currency pairs is much more important. Gigantic amounts of historical information are used for calculations. The analysis is carried out using mathematical models. It is impossible to make such work manually.
Compared to classic trading, algorithmic trading allows you to completely eliminate the “human factor”. And you can predict the trend in the market with a high degree of probability.
Also, most ordinary traders do not have access to tools that allow them to accurately predict price movements. So, we recommend using the services of specialists.
There are some companies providing API Management services. What does it mean? The main disadvantage of all trust funds is that the deposit is in their hands. You must give it all to the management of a broker. In fact, you rely only on his honesty. With API Management, all the money remains in your account. Such an approach completely eliminates the risk of theft.
The profitability for clients using the Management API is really impressive. The current profitability of the accounts is about 60% per annum.
Want to learn more about API Management? Contact us.