Trading is a way to earn money in the short term and now since its available online so more people entering in this. Because of covid work from home has started and this has given the opportunity to get involved in some other things and trading is certainly the one. I know many people who started exploring the second source of income now because pandemic has changed their mindset and even after being in a better-paying job they are exploring the ways to add a second source of income. Obviously, trading is not 100% profitable and there is an equal possibility of losing money. There is risk involved with every investment but a proper study and analysis can help to get it minimized.
Now since crypto trading is growing significantly and there is a good number of young investors coming to this segment. Stock trading is also one of the segments which is quite popular but these days because crypto is better because of a few reasons so new-age investors are more interested in crypto than stocks. Undoubtedly crypto is highly volatile brings more risk than stocks but that is not a matter of concern for these new-age investors since they are ready to take the risk as they know that it can bring the same level of profitability as well.
Few good things are available only with crypto trading and these are-
- Timing- Stock market works in the traditional way that works from Monday to Friday and that too within working hours. Because it works only during working hours so not possible for everyone to keep a close eye and especially the ones who are working, its difficult for them to trade. There is an option to use broker's services for the same but that is something most people are not okay with. Crypto trading works 24x7 and that too for 365 days so we can trade any time we want and this flexibility is making more coming here.
- Technology- Crypto trading exchanges are way more advanced than the stock market and they use a highly advanced technology that is backed by blockchain. We get the option to use mobile or PC trading at our convenience. Although these things are available easily and the kind of experience we get with crypto is probably not available with the majority of stock brokers.
- Price Fluctuation- Crypto is volatile and we can see a high price increase or dip quite often as there is no controlling authority however with stock trading there is an option to put capping to control the price movement and this also blocks the opportunity to earn more profit.
I never did stock trading and even have no plan to do so which means there are so many people who have never done stocks trade but they are doing well in crypto. There is also the least possibility for such users to leave crypto and move to stocks however its highly expected that in the next few years people who have been with stocks will enter crypto.
Because of this upcoming transition, many stockbrokers are slightly worried and I think that its something that they really need to consider for their further business planning. I am not saying that people will move away from stock trading for sure we can see the impact in stock trading in coming years.
Thank you so much