In the previous lesson, we discussed how Trailing Stop Loss works. It is a feature that’s missing on many cryptocurrency exchanges and enables you to achieve more profitable sales/buy levels. It works thanks to the order that automatically moves along with the digital asset price.
Today we will discuss another functionality available on the SkyRocket platform that allows you to buy a digital asset at a much more favorable price than using the basic tools from the exchange.
Here’s an example:
We are interested in buying BNB and the current price is 0.0022200 BTC.
However, we want to buy them for 0.0020600 BTC, because we think that the price will fall to this point. We can, of course, do this through a Limit order but this way (as you have probably experienced it before) the price might fall well below the purchase price you set. Help in such situations can be a tool available on our platform – SkyRocket Buy. Its task is to protect Trailing Stop Loss from a certain price and follow it to the moment of rebound by a designated percentage.
Coming back to the example from BNB, the current price is 0.0022200 BTC, while we want to buy it for 0.0020600 BTC. So we set Activate at the level with this price.
Then fill in the Trailing field, entering the percentage after the increase, necessary for the Limit order to be issued, the amount of which is entered below – in the Limit field.
At the end all we have to do is to choose how many digital coins we want to buy.
If the BNB rate fell during this time, e.g. to 0.0019000 BTC, the purchase would be at 0.0019570 BTC, which is 5% cheaper than without SkyRocket Buy. However, often we can gain much more.
There are situations on the exchange when the price of a currency drops by several dozen percent instantly and quickly returns to the level before the decline – this is so-called Flash Crash. In such situations we always think: “if only I had the purchase order so low”. However, there are two problems associated with this. First of all, we don’t know at what level to set the purchase (here comes SkyRocket Buy). The second problem is that we do not know on which digital asset to set up the purchase, and we have a limited amount of capital that can be blocked to place orders.
With the tool we described today, you can set such an order on any number of coins with the same capital. The first Order that meets the conditions will be completed, while the rest will be canceled.
Example: we have 1 BTC and set the purchase to 50 different cryptocurrencies – each for 1 BTC. We will set Start Stop Loss Walking at a price 30% lower than the current one. Trying to play this way from the exchange interface we would need 50 BTC. 1 BTC is enough at SkyRocket.trade.
In addition, thanks to the orders shown in the chart, we have the ability to conveniently reposition the orders in accordance with our assumptions.
To conclude, the SkyRocket Buy function starts after reaching the price level entered in the “Activate at level” field and will continue to go down until the price increases by the percentage entered in the “Trailing” field. The purchase order will be issued at the price level specified in the “Limit” field.
Test for free (you have to create an account on the exchange from our ref link) at our platform: https://app.skyrocket.trade/login
All you have to do is select the “register new account” option and enter your email address and password. Then click on the activation link that will come to the e-mail address given earlier and log in to the newly created account.