- Why additional tools for trading are worthwhile
- Chart analysis tools
- Coin information – Tools for trading
- Market cycles and other information
- Tax solutions for crypto trading
- Conclusion on tools for trading
Why additional tools for trading are worthwhile
Additional tools for trading help you find patterns in market movements and estimate different coins using technical analysis. This gives you important advantages when trading on Bybit and other exchanges and helps you to analyze and assess risks.
Another important source of information when trading is a market overview of the top 100 to 200 cryptocurrencies as well as a reliable tool for calculating taxes. This allows you to trade consistently over the long term without losing sight of important signals.
As a final point, we will deal with so-called cryptocurrency wallets that allow you to keep your coins safe without exposing you to the risk of exchange hacks.
Tip: If you are new to trading or cryptospace, we recommend you take the time to look at the tools listed below. With their help, you can get a huge information advantage and make some otherwise tedious tasks a breeze.
Chart analysis tools
Chart analysis tools help you apply technical analysis to various assets and coins. For example, you can draw different support and resistance lines directly on the price chart and then use them as a basis for your trades on FTX and other exchanges.
Another advantage of TradingView is the possibility to write your own indicators and share them with other users. Alternatively, you can directly use indicators from other users and find new analysis techniques.
CryptoWatch is a good alternative to TradingView and specializes in the cryptocurrency market. In addition to a variety of indicators, CryptoWatch offers the possibility to connect various exchanges such as Kraken or Binance via API key and display your own trades directly on the price chart. This provides a huge advantage and makes it much easier to analyze your own trades after the fact. Furthermore, CryptoWatch has its own optimized desktop application.
Comparison – Charting Tools
|TradingView||Widely used charting tool with backtesting for cryptos and stocks||Intermediate||Partly|
|CryptoWatch||Crypto charting tool with good exchange integration for multi-exchange trading||Advanced||Partly|
Coin information – Tools for trading
A good market overview is often essential for trading on Bybit and other exchanges. Nowadays, more and more coins are available. But where to find initial information, reliable prices and the right links and sources to the project developers for still unknown cryptocurrencies? Especially for these questions, there are several large websites that evaluate information about different coins and make it directly available to its users.
Tip: If you are interested in a certain coin, we recommend to check it on all three sites. Often the sites have slightly different data or have certain links that the other two sites do not provide.
Coinmarketcap is currently the largest and best known of the sites. It has a modern and appealing user interface and lists most of the small to large projects in the cryptospace. In addition to the simple display of prices, market capitalization, and charts, Coinmarketcap has a portfolio tracker, the ability to add coins to a personal watch list, a list of AirDrops, and a lot of community features.
In 2020, Coinmarketcap was acquired by Binance exchange and received some new features and a redesign of its user interface. It remains to be noted, even after the acquisition, that Coinmarketcap does not fully include some projects in its asset list, despite obviously available data, or does not display some data. As a result, some quite large projects appear significantly smaller in the display than is actually the case.
Coingecko is probably the most used alternative to Coinmarketcap and is primarily characterized by a very large selection of coins and good links. However, Coingecko also has some projects that are not fully listed. We recommend Coingecko as a first point of contact for smaller or new projects.
Nomics could be described as the black sheep among coin info sites. It has a rather minimalistic, but highly qualitative approach. In addition, practically all projects are displayed in the market capitalization rankings without evaluating superficial criteria. Primarily, the technical data and its quality count. This leads to sometimes significant differences in comparison with Coinmarketcap and Coingecko.
Another feature of Nomics is the optional display of a price forecast for most coins, as well as an excellent API offering. Using this API, you can interface applications with Nomics to access various technical data such as the current price or market capitalization.
Comparison – Marketcap Tools
|Coinmarketcap||Old and largest marketcap site||Easy||Yes|
|Coingecko||Marketcap page with the most coins||Intermediate||Yes|
|Nomics||Marketcap page with reliable data||Easy||Yes|
Market cycles and other information
There are many helpful models for the assessment of longer market cycles and an estimation of the current trend. Due to the usually high correlation between Bitcoin and other coins, even just looking at Bitcoin is very informative. This way, the overall state of the market can be assessed and constantly reliable statements about the possible future behavior of the price movements can be made.
Tip: Always use multiple models and data sources for your trading decisions. This will allow you to identify infrequent display errors and view the market from different perspectives.
1. Look into bitcoin
Look into bitcoin is a web service that provides a variety of different long term models for bitcoin. Among them are classics like the “stock to flow” model or a 200-week moving average heatmap. With the help of these models and indicators, smaller market movements can be estimated in a larger context.
Furthermore, look into bitcoin offers notifications for certain events based on the above mentioned models (“indicator alerts”). These make it easier not to miss important price targets or upcoming market phase transitions.
2. Into the block
Into the block is – similar to look into bitcoin – a web service that offers various market analysis tools suitable for long-term trading and day trading. However, into the block does not focus on models. Instead, on the one hand, views and metrics are offered that allow a detailed view of different blockchains, on the other hand, into the block has an extensive DeFi (decentralized finance) information offering.
Particularly interesting for us as assistance for bybit trading is the prediction service of into the block. It provides hourly price and price direction predictions for various coins (free of charge for Bitcoin). For this, into the block uses various machine learning models. For a learned algorithm, the into the block prediction is correct surprisingly often and can be used as an additional criterion for trading.
Comparison – Market Cycles and Day Trading Tools
|Look into bitcoin||Long-Term models for Bitcoin||Easy||Yes|
|Into the block||Market analysis for day trading||Intermediate||Partly|
Tax solutions for crypto trading
Taxes are a particularly important topic for trading. Depending on which country you are based in, there can be major pitfalls to watch out for. Basically, we recommend that anyone who is involved in cryptocurrency trading should consult a tax advisor. If you are still putting off this topic, we recommend at least meticulously logging all transactions and trades. Only then you will have all the necessary information for your tax advisor and the tax statement itself.
Tip: It is best to test both tax analysis tools before you decide on one. Depending on the tax advisor, additional functions used, number of trades and exchanges used, one software could offer you significant advantages over the other.
Cointracking allows you to log your trades and transactions fully automated. You connect the tool to the respective exchange via an interface connection (API). Cointracking then checks for new trades at regular intervals and imports them if necessary. Trades and transactions in offline wallets or from unsupported exchanges can be imported via CSV file or entered manually.
Once all trades have been imported, you can give a possible tax advisor access to your transaction histories on the one hand and create a tax export on the other. For small to medium numbers of trades, we can recommend Cointracking without hesitation. If you are still unsure, you can use the program with practically all functions up to a certain number of transactions for free.
Accointing is a tax reporting tool similar to Cointracking. As with the competition, you can connect exchanges directly via interface and create tax reports. The service is characterized by a somewhat more minimalistic, but faster interface with slightly fewer options.
Comparison – tax tools for crypto
|Cointracking||Tax tool with a pletora of functions and analysis options as well as a tax export option||Intermediate||Partly|
|Accointing||Lean and stable tax tool with tax report||Easy||Partly|
Conclusion on tools for trading
We hope we can provide you with some important tools for trading with this article. With them, you can effectively tackle the topics of technical analysis, value strategy information, market analysis, indicators, as well as taxes and accounting. If you can think of any practical tools for Bybit or if you have any valuable criticism or suggestions, we are always happy to receive your comments below the article!
You can find more tutorials in our tutorial overview.
Important risk notice:
This service or the provider advertised here is only suitable for professional traders. Users without sufficient experience usually suffer a total losswhile trading here. Trading with leverage is highly risky and leads to poor risk management. Use this service only as a professional trader with sufficient experience in trading and leverage.
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