Introduction
Are you looking for a detailed guide and step on how to trade premarket on the bitget exchange?
You want to learn something new, or want to start up a different trading journey, this article is for you. Let's go!
Trading on Bitget exchange has gained significant improvements among crypto traders, especially with the increasing demand for early trading opportunities. Premarket trading offers an exclusive window where traders can place their orders before the official market opens.
Let's say you are waiting for a particular airdrop, and you want to get some more tokens the airdrops initial launch, that's where the premarket comes in. You can use this method to buy some tokens before the actual token goes live.
In this article, we’ll explore everything you need to know about premarket trading on Bitget, including its benefits, strategies, and tips to use this opportunity in 2024 and coming years.
What is Premarket Trading?
Like I have explained earlier, Premarket trading refers to the buying and selling of financial instruments, tokens, including cryptocurrencies, before the official market opening hours, in other words, before the launch. For Bitget, premarket trading allows users to access crypto markets in advance of regular trading hours. This feature is beneficial for traders who want to react to news or events before the broader market does.
Why should you trade Premarket on Bitget?
Trading premarket of tokens, on Bitget has several advantages, especially for experienced traders or beginners who are looking to gain a competitive edge:
1. Market Volatility: A particular crypto token, might experience a certain promotion before a listing, identifying it to be a good project, and maybe you've got a small allocation, or you want some more, you can trade the premarket, buy some, and wait for the token's main launch.
2. Early Market Reaction: Premarket trading allows you to respond to overnight news, events, or reports that might impact the market.
Like I said earlier, you can hear something promising about a project, and sense that it has a great potential, but crypto is not a certainty, and as also, nothing is assured, so always endeavor to do your proper research. By entering trades early, you can capitalize on market shifts before they become mainstream.
3. Less Competition: while fewer traders are active during premarket hours, you can avoid initial traffic congestion while trading a token, which can lead to better entry and exit points. (TP and Sl).
4. Flexibility: Bitget offers flexibility in trading times, making it easier for traders in different time zones to participate in the market.
How to Start Trading Premarket on Bitget: A step by step guide.
Alright, here's the main reason you're here, I would be showing you how to trade a premarket token on Bitget exchange.
Starting premarket trading on Bitget is simple, but it does require careful planning. Follow these steps to get started:
Step 1: Create a Bitget Account
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First and foremost, before you can begin trading on Bitget, you must have an account on the exchange. If you haven’t already created an account, sign up on Bitget’s website or the mobile app. Make sure to complete the necessary KYC (Know Your Customer) verification to access all features, including premarket trading, or else, your account would be limited.
To sign up, new users; you have to enter your phone number, or email, and then a password, along with your name. The email should be something you can access at the moment, because you would be needing an otp code from it to continue.
Existing users, you can just easily put your password, and your email, and use one of the available verification means to verify, and log in. Done?, let's move on to the next step.
Step 2: Deposit Funds (Crypto)
Yes, in other to start using your account, you have to deposit some crypto, if not, how else do you want to trade Premarket on bitget, just kidding, but you've got to deposit a bit of crypto ?
Once your account is set up, deposit funds into your Bitget account. This can be done via cryptocurrency or fiat, depending on the available options on your region.
If you don't have any crypto to deposit at the moment, the platform offers a way for you to buy crypto directly from their app or website, through p2p, credit cards, etc.
You can deposit crypto, by simply selecting a token, copying the address, and transferring it to that address. For a start, USDT (tether) is preferable because it can easily be traded from one token to another easily.
Ensure your account is funded with the assets you wish to trade during premarket hours, preferrably, you should deposit usdt for the trading.
Step 3: Head over to the Premarket Trading Section
While logged in on your bitget app or website, click on the 3 dot menu at the top left corner . From here, you would click the premarket trading button, and it would redirect you to a website (page), where a list of premarket tokens available appear, you can search for the cryptocurrency pair you wish to trade the premarket.
Bitget offers a wide range of trading pairs, and you can easily find those with high liquidity and volatility for your premarket strategy.
Before you begin, make sure to have transferred your assets from the funding account to your trading account, as this would be the only way to use them for trade.
Step 4: Monitor the Premarket Hours
Before you begin trading, you can take some time to go through the particular asset or coin you want to trade, do some research on whether or not to buy, when to buy and when to sell too.
Premarket trading on Bitget typically begins several hours, some actually start several days, or even some months before the main market opens. You will need to monitor the available trading pairs during these extended hours. Keep an eye on price movements and significant events that could impact the market. Bitget will show you real-time price charts, order book data, and other useful tools for analyzing the market to help you trade premarket.
Step 5: Place Your Order
by now, you would have finished analyzing and checking the stats to know whether to buy or sell, and you are ready to trade. Once you've analyzed the market conditions, you can place your order. Wondering the minimum amount to use to trade premarket on bitget? well, as of my experience, most tokens offer a minimum amount to use as 1 usdt, yes, thats right, with as little as 1 USDT you could start up a premarket trading on different tokens. But, you should note that, the 1$ minimum for trading, IS FOR SOME and not all tokens on the premarket, in my best advice and opinion, you should start with a minimum of 10$ for trading premarket, as you should know, the higher your amount used, the more your profit. Depending on your strategy, you can choose from various order types, such as market orders, limit orders, or stop-loss orders. Make sure to set your order with the right price and timing to maximize your trading potential.
To Start trading:
Step 1: place(post) order
you'd click the post order button at the bottom right corner on your screen.
step 2: select the type of order
After clicking the post order button, you'd be offered two delivery sections to use; we have the usdt delivery method of premarket Trading on bitget and the coin settlement method. lets look at what these mean,
The Usdt delivery: in simple terms, the USDT Delivery under the delivery scenarios for bitget premarket trading means that all profits and losses from your trade are settled in USDT. for instance, lets say you trade premarket on the major coin, and make a profit of 50$, this profit would be paid to you in USDT and not in another currency, similarly, if you make a loss of 50$, it would be deducted from your USDT balance, and hence that implies the name USDT delivery. I hope you understand and get the concept. lets look at the meaning of the other delivery scenario, which is the coin settlement.
The coin settlement: in simple terms too, the coin settlement in bitget premarket trading means that all profits and losses you acquire during the trade are settled using the specific coin you are trading.
this means that, for instance, you're trading the major token, and you make a profit or loss, the balance is paid to you in major and not USDT.
Which one should you use among the two options?
after reading the explanation i gave above, you should understand which one you would prefer, but incase you didn't, here's how to go about it;
use the usdt delivery scenario, if you want to avoid PRICE VOLATILITY, seeing that crypto assets are highly volatile, and to keep your balance stable, you should use the usdt delivery scenario.
use the coin settlement scenario, if you prefer to accumulate the particular coin you're trading. For instance, if you're trading the major token, then you should go for this option as it gives you your profit in the exact coin you're trading.
Step 3; Pick a Trading Pair
To continue the trade, you've got to select the pair you want to trade, for this example, we are using the major token/ USDT pair, to select your pair, Browse and select the cryptocurrency trading pair you want (e.g., BTC/USDT or ETH/USDT or any other pair)
Step 4; Choose an Order Type
After you have chosen the type of trading you want, between the USDT delivery and the coin settlement, then you proceed to selecting the order you want place. Decide between:
Market Order: For immediate execution at the current market price, regardless of the present market condition.
Limit Order: you set a specific price for buying or selling based on the price you want to hit.
Step 5: Set Order Details
After choosing your preferred option, then you can proceed to buy or sell, depending on the one you want. Enter the quantity you want to trade.
For limit orders, you need to specify your desired price, for market options to take place.
Step 6: Confirm and Post Your Order
Review your order details, take note that Buy is equivalent to long, and Sell is equivalent to short.
Step 7: Monitor the trade
After placing your order, it's crucial and important to monitor the market closely. Premarket trading is often volatile, and prices can change quickly. You may need to adjust your orders to lock in profits or minimize potential losses.
Guide for Successful Premarket Trading on Bitget
Here are some of my valuable and handpicked tips to help you enhance your premarket trading experience on Bitget:
1. Stay Updated with News: if you want to enjoy a very successful and profitable Premarket trading on bitget, I'd always advise that you stay up to date with the market news and trends.
One thing you must know is that market prices are influenced based on market trends and news online, so it's best to stay up to date with the market news and trends, to know when to sell, and when to buy. Certain movements often occur due to news or major events. Keep up-to-date with global crypto news and any announcements that might impact the market.
2. Use Stop-Loss and take profits for orders: The SL/TP, is a way for you to minimize losses and take more profits, it the process whereby you set your trade to automatically take profit at a particular market price, and also automatically cancel (stop loss) ,once a particular market price is reached too. Volatility is high during premarket trading. To protect yourself from unexpected market shifts, always use stop-loss orders to limit potential losses, and take profits to make sure your profit is taken before a dip or dump in price.
3. Trade with Caution: Premarket trading is not for everyone, especially, since it's not a normal type of trading.
You should always make sure you're risking what you can afford to loose, not looking at what you'd gain, but what you're loosing. It’s important to start small and gradually build up your experience. Avoid over-leveraging and take calculated risks. Emphasis on take calculated risks, do your research, use what you can afford to loose, and also avoid rug pull projects.
4. Leverage Technical Analysis: Utilize Bitget’s charting tools to perform technical analysis. Focus on key indicators such as moving averages, RSI (Relative Strength Index), and MACD (Moving Average Convergence Divergence) to guide your trades.
5. Proper Risk Management: like I have said before, always ensure you use proper risk management and ensure calculated risks when doing crypto. Ensure you have a solid risk management strategy in place. Define your risk tolerance and never risk more than you are willing to lose.
Important mistakes to avoid in bitget premarket Trading.
Premarket trading can be rewarding, but it also comes with challenges. Avoid these common mistakes to improve your trading success, as it is said, nothing comes without a price. Below are some of the risks I want you to avoid from my experience.
Overtrading: It’s easy to get caught up in the excitement of premarket trading.
You might have made some profits after trading for the first time, or you just have so much faith in some projects, this is completely normal. But you must learn to control yourself to avoid over trading, as you might end up in a big loss. Don’t overtrade or make impulsive decisions based on short-term price movements.
Ignoring Liquidity: Low liquidity during premarket hours can lead to slippage, meaning you may not get your orders filled at the expected price. Always choose high-volume trading pairs. Liquidity aside, it's best you get familiar with crypto terms and phrases, so you wouldn't be left out.
Failing to Plan: Trading without a clear strategy can lead to unnecessary losses. Have a defined plan before entering any trades, including your entry and exit points, expected loss, and also your expected profit.
This helps avoid risks, and also makes your prepared for losses too.
Conclusion
Premarket trading on Bitget presents a unique opportunity for traders looking to capitalize on early market movements. By following the steps outlined above and using sound strategies, you can make the most out of this extended trading window. Remember to stay informed, manage risk effectively, and trade wisely. With the right approach, premarket trading on Bitget can be a profitable addition to your crypto trading process.