Crypto Beginner's Guide in Five Steps: How Can Beginners Quickly Get Started with Crypto Trading?

In recent years, the Crypto market has experienced rapid growth, attracting broad participation from retail investors to institutions. Many publicly listed companies have incorporated digital assets into their investment portfolios, aiming to profit from market fluctuations. The Crypto field has also given rise to many wealth legends—many early participants have already become billionaires.

But for newcomers just starting out, the biggest question is: “How do I begin investing in Crypto?” “What gives me the confidence to make money in this market?” Don’t worry, this article organizes the essential knowledge for beginners to help you step into Crypto trading safely and confidently.

First Step into Crypto: Why Invest in Crypto?

Compared to traditional markets like stocks, forex, and bonds, Crypto has only over ten years of development history and remains an emerging field full of opportunities. This market has three obvious advantages:

Advantage 1: High Return Potential

Traditional financial markets have been dominated by institutions for many years, making it difficult for ordinary retail investors to seize big opportunities. In contrast, the Crypto market is highly volatile, with new coins emerging constantly. For sharp investors, the potential returns far surpass those of traditional markets.

Advantage 2: Low Entry Barriers

Buying Crypto can start with as little as $2-10, whereas in Taiwan, stock purchases usually require at least $300, and forex trading often needs over $1,000. Small investors can easily participate.

Advantage 3: No Time or Location Restrictions

Stocks and bonds are limited by trading hours and geography, with markets closing on weekends. The Crypto market is different—trading 24/7 globally, allowing buying and selling anytime, anywhere. No regional barriers, truly a global market.

Second Step into Crypto: Choosing the Right Trading Method

Before entering, you must understand the trading options. Crypto assets are mainly traded through two types:

Spot/Derivatives Trading on Exchanges vs. Contract for Difference (CFD)

Trading Option 1: Crypto Exchanges

Divided into centralized(CEX) and decentralized(DEX):

• Centralized Exchange: Requires KYC(KYC), platform holds funds, simple to operate, but regulatory risks need attention.
• Decentralized Exchange: No identity verification needed, requires a wallet, risks and rewards are more in your control.

Trading Option 2: CFD

No need for a crypto wallet, regulated by international financial authorities, offering relatively secure funds. Suitable for investors seeking diversified assets, allowing trading stocks, forex, indices, gold, etc., with a single account.

Both options are viable, but if fund security is a top priority, it’s recommended to prioritize regulated CFD platforms.

Third Step into Crypto: Key Things to Know for Safe Trading

Before investing money, be sure to check the following:

Platform Security Checklist:

✓ Confirm the platform operates legally in Taiwan
✓ Confirm deposit and withdrawal methods support TWD or common currencies
✓ Prefer well-known, established exchanges with high market reputation
✓ If choosing a CFD platform, verify possession of international licenses like ASIC, FCA, FSC
✓ Verify user funds are stored in separate accounts, isolated from platform operational funds

Important Reminder: Recently, some scam platforms have forged regulatory licenses. Always verify directly on the official regulatory agency’s website before choosing a platform!

Basic Trading Process:

1. Download the official app or log in via the website (be sure to use the official site to avoid phishing)
2. Register an account and submit identity verification documents (be cautious if verification isn’t required before depositing funds!)
3. Deposit funds through supported methods
4. Choose coins, set orders (beginners should start with the smallest trading units to practice)

Fourth Step into Crypto: Coins Worth Watching in 2025

Beginners should start with coins ranked high by market cap to reduce risk.

BTC - Bitcoin

Current Price: $87.43K | 24h Change: -0.35%

As the pioneer of the Crypto market, Bitcoin’s position is unshakable. In 2024, it completed its fourth halving, reducing miner rewards from 6.25 BTC to 3.125 BTC. Historical patterns show that each halving triggers a new upward cycle.

Large institutions continue to increase their BTC holdings, especially after the approval of spot ETFs, significantly lowering investment barriers. Plus, Layer 2 scaling solutions like Lightning Network improve transaction efficiency, reduce network congestion, and broaden Bitcoin’s application prospects.

ETH - Ethereum

Current Price: $2.94K | 24h Change: -0.69%

Ethereum’s killer feature is “smart contracts”—self-executing programs on the blockchain that automatically operate when conditions are met. This enables developers to quickly create complex applications in a decentralized environment, accelerating innovation and transforming industries.

Unlike BTC, ETH has no fixed supply cap, leaving ample room for future development. As the ecosystem’s applications grow richer, market demand is expected to rise steadily.

DOGE - Dogecoin

Current Price: $0.13 | 24h Change: -1.67%

In early 2025, Dogecoin experienced a 20% price correction, but major holders did not exit; instead, they bought more on dips. There are two reasons:

First, a solid community base. Dogecoin has a loyal global supporter base, maintaining high popularity and strong resilience during market volatility.

Second, expanding practical use cases. More online and offline merchants are accepting Dogecoin payments, increasing its utility and market recognition.

XRP - Ripple

Current Price: $1.87 | 24h Change: -1.52%

After the US SEC approved spot ETFs for BTC and ETH, XRP has become a promising ETF candidate. Industry experts generally expect that if XRP ETF gets approved, it will attract substantial capital inflows, directly boosting its price.

SUI - Sui Blockchain

Current Price: $1.42 | Market Cap: $5.29B

Sui is a recently popular new public chain developed by Mysten Labs. With its unique object model and Move programming language, it quickly established technical advantages.

Its ecosystem is developing rapidly—decentralized exchanges, lending platforms, NFT markets, GameFi, and social applications are becoming more complete. Analysts are optimistic that SUI could break through $5.5, sparking a new wave of market activity.

Fifth Step into Crypto: The Top Three Mistakes Beginners Make

Investing doesn’t require genius, only continuous trial and error. Avoid these pitfalls to save yourself many detours.

Mistake 1: Frequent trading, double whammy of fees and opportunity costs

After mastering some technical analysis, beginners often watch the charts constantly, buying and selling frequently, even holding multiple long and short positions across different coins. The result is huge fee consumption and dulled judgment— even if the direction is correct, profits may be lost because positions are closed.

Mistake 2: Disrespecting the market, going against the trend

No one can predict perfectly 100%. Mistakes are inevitable. But many stubbornly hold their views when the market moves against them, refusing to admit defeat, ending up liquidated. The collapse of LUNA is a vivid example—those sensing the risk tried to buy the rebound, but the drop was far beyond expectations, trapping them.

Mistake 3: Not setting stop-loss and take-profit orders, exposing oneself to unlimited risk

Wanting to make more profit when winning, and trying to recover losses when losing—this is a common beginner mistake. It leaves your positions fully exposed to risk. The Crypto crash on March 12, 2020, illustrates this: many contracts without stop-loss orders were wiped out instantly.

The importance of stop-loss and take-profit:

Risk management is essential. Stop-loss and take-profit tools help you control risks within acceptable ranges. Especially during market gaps, they can automatically close positions at the most favorable prices, preventing losses from spiraling.

For example, if you buy a EUR/USD position at 1.13837 with a stop-loss at 1.13806, the typical loss is $31. But if the market gaps down from 1.13837 directly to 1.13795, the stop-loss cannot execute at 1.13806, but it will close at the next best price—1.13795—limiting the loss to $42. Without a stop-loss, losses could be unlimited.

Summary

Making mistakes is part of the learning process for beginners. The key is not to fall into the same trap repeatedly. After mistakes, take time to reflect, relax through exercise or other methods, face the issues directly, and find solutions.

A final word: Mistakes are not scary; repeating the same mistake is.

FAQ: What’s the difference between Crypto and virtual currency?

Virtual currency is digital tokens circulating online, used for transactions but not necessarily utilizing encryption technology.

Crypto is a special type of virtual currency produced using cryptographic techniques, ensuring transaction security and anonymity.

In simple terms: Crypto is a subset of virtual currency, but not all virtual currencies are Crypto.

Before investing in Crypto, do your homework, choose legitimate platforms, set up risk management tools, and stay steady in this volatile market.