How to make money trading stablecoins
The huge collapse in the cryptocurrency market forced most investors to abandon investments in digital currencies.
Now cryptocurrencies are used only by stock traders for speculative earnings and by those who want to transfer money without revealing their identity.
Moreover, for settlements, stablecoins are mainly used, which, thanks to their stable exchange rate, remain equal in value to the American dollar.
At the same time, there were rumors among traders that this type of cryptocurrency could soon collapse along with Bitcoin.
Stablecoins have a rather weak backing, however, in fairness, I would like to note that, unlike regular cryptocurrencies, they still have it.
The first sign was already the price of the TerraUSD cryptocurrency, which fell almost 20 times from 1 US dollar to 0.06 dollars:
With its fall, it debunked the myth about the stability of stablecoins and significantly undermined faith in the cryptocurrencies themselves.
The fall of TerraUSD led many traders to think about opening uncovered sell transactions on other stablecoins.
The strategy here is as simple as possible, the sold cryptocurrency is unlikely to increase in price by more than $1 per coin, while at the same time you can earn quite a lot from the collapse, given the sad experience of TerraUSD.
All that remains is to find a broker that allows you to open uncovered trades for sale on one or more stablecoins.
As it turned out, this is quite not easy, because among cryptocurrency brokers , the majority prefer to trade volatile cryptocurrencies and do not see the point in transacting with stablecoins.
But such brokers still exist, one of them is the broker Alpari , it was in its specification that stablecoins were discovered:
These are the most popular and highly capitalized Tether (USDT) and USD Coin (USDC). They can be traded in the metatrader trading platform, including opening sell transactions.
Among the main trading conditions, it should be noted that the leverage is 1:10, the average value on Wednesday is 1 point, for transferring positions to the next day a fee of 0.05% of the transaction value per day is charged.
Trading is carried out using CFD contracts 24/7, that is, opening transactions is available even on Saturday and Sunday.
To avoid paying extra swaps, it is recommended to set pending sell orders at $0.95 and wait for the fall to begin.
You can open an account for trading stablecoins on the Alpari broker website - www.alpari.com