Earning money premarket for cryptocurrencies, why is it not a 100% guarantee of making a profit?
For some reason, it is generally accepted that almost all cryptocurrencies are greatly increasing in price, so it is advisable to be one of the first to buy a new coin.
But I already described how easy it is to lose money on a cryptocurrency listing in a previous article - https://time-forex.com/kriptovaluty/cryptocurrency-listing
Not all cryptocurrencies rise in price immediately after listing, and if they do, it is technically difficult to buy a crypto at the best price.
For this reason, such a way of earning money as buying cryptocurrency before its official release on the stock exchange, that is, on the Premarket, is becoming increasingly popular among investors.
But in reality, it is quite difficult to earn more than 90% on such an operation. But what about all these thousands of percent?
The secret lies in the fact that before the sale you do not buy cryptocurrency, but only declare your intention to buy it. Money is blocked in your wallet for the amount of the intended purchase, and the same thing happens with the seller’s wallet.
That is, you will receive new coins only after the start of trading, while the seller has 2 hours to transfer them; if he does not do this, you will receive compensation in the amount of 90% of the transaction amount. (Pre-market conditions on the exchange https://www.bitget.com/ ).
As a result, an interesting situation arises: bidding begins and the seller sees that the price has increased by 500% compared to the pre-sale price, he refuses the deal and pays a fine of 100%.
And then he sells his coins, but at a more favorable market price and earns 500%.
If, after the start of trading, the price falls, as happened on the last listing with the MERL coin, which at the pre-sale price cost $1.65-1.75 per coin, and an hour after entering the exchange it began to cost $1.40.
It is clear that the sellers saw that the exchange price was lower than the pre-sale price and were happy to fulfill their obligations to buyers.
In such a situation, one can only hope that for some reason the cryptocurrency purchased before sale will rise in price in the future or sell it at a loss. And you can forget about fabulous earnings on the new cryptocurrency.
Make money on speculation with cryptocurrency - https://time-forex.com/kriptovaluty/brokery-kriptovalut