The difference between Forex and trading in cryptocurrencies is
the fact that by their very nature, digital assets are more volatile and therefore more unpredictable than traditional fiat currencies, this is because the driving factors for cryptocurrencies are completely different from those of Forex currencies.Forex is regulated by each currency’s central bank, but most cryptocurrencies are completely decentralized, they are not regulated by any central bank or authority, the inflation of the coin become smaller by an algorithm when its stock in the market increases.
Bitcoin as example, is designed to eventually become immune to inflation, because when all the 21 million coins are distributed and its mining stops, it will become immune to debasement or monetary inflation.
Forex trading is influenced by factors that don’t affect cryptocurrencies, like interest rates, economic factors of a country, social and political stability have a bigger impact on Forex than on cryptocurrency trading.
A centralized currency have a higher demand than a decentralized currency, as the government always controls the currency and create
a demand for it in the society, but demand for cryptocurrencies, is determined by another factors such as public adoption and public confidence on the value of the coin. Bitcoin expands in marketplaces, while the prevalence and demand of cryptocurrencies will definitely increase.In Forex, volatility for two couples of currency is around 1 percent, but for Bitcoin as example, volatility is around 10%, this means that the potential to make big profits or loses is more higher in Bitcoin than Forex trading.
of cryptocurrency trading before you invest your money !
investing considerable time and effort up front in
hopes of considerable returns down the road.
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Upvoted and resteemed! Could you share more your knowledge about forex trading, please?
Very interesting!
Trading Forex gives me a lot more stress than crypto...
Everyone will say a lot about your post. Really great
Volatility makes crypto more better :) but too much manipulation sometime hurts too much