CoinGecko – Guide for Crypto Traders
Multiple cryptocurrencies are created and released in the market every single day, making it difficult for traders to choose one. This is where CoinGecko makes the life of crypto traders a lot easier. Let’s dig deep to find out what additional features CoinGecko brings to the table:
What Is CoinGecko?
CoinGecko is one of the earliest and largest crypto market analysis providers. They provide market participants with information about the factors that influence the crypto market. CoinGecko was launched in early 2014. CoinGecko tracks the price, volume and market capitalization of all cryptocurrencies along with the community growth, open-source code development, major events, and on-chain metrics.
It’s quite difficult to make neutral judgments on all the different cryptocurrencies and their performances in the market. With the steady development of their underlying Blockchain technology, the cryptocurrency space is becoming more complex and traders are searching for a quantitative as well as a qualitative evaluation of each cryptocurrency.
CoinGecko precisely collects information such as market capitalization, community participation, liquidity of every coin in the market, and the public interest in cryptocurrencies. This multidimensional grading system is easy to understand and helpful for traders across the world. CoinGecko makes it easier to understand how a crypto token is performing and will perform in the near future.
Is CoinGecko an Exchange?
No! CoinGecko is not an exchange in any shape or form, nor does it trade in cryptocurrencies. It is neither a bitcoin faucet nor does it give you free bitcoin in exchange for solving small tasks. It only evaluates the market and gives an overview of coin performances. Traders should not get confused by fake websites and avoid any deposit or donate requests from them. CoinGecko only accepts donations at the addresses mentioned in the footer of their website.
With time, CoinGecko continues to provide excellent services to help the crypto community. It adds additional coins every week as soon as they are created. There are also various advanced features that add value, such as:
CoinGecko API: Coingecko has a set of robust APIs for the developers which they can use for enhancing the applications as well as services. Developers can also use these APIs to build new and advanced applications for the crypto market.
Market Cap: CoinGecko reflects the cryptocurrency which is performing reasonably well in the market as the most popular coin. This gives the investors a brief awareness of their future investment phases. Showing the coin as having high interest from the traders, CoinGecko helps the coin to gain a significant share of market capitalization.
Community Support: The whole crypto market and especially the growth of a single coin essentially depend on the support from the mass spread on a wide scale. CoinGecko observes every social media platform including Facebook, Twitter, and Reddit to know which cryptocurrency attracts more interest from people across the globe and then provides the relevant data to the traders.
Coin Liquidity: Liquidity means the trading volume of each coin through all the large crypto exchange platforms. A coin’s liquid value in the market controls the measure of its future market potentiality. Hence, CoinGecko analyses each cryptocurrency and defines whether it will grow in the market or not.
Data Collection: CoinGecko gathers data from various sources and makes proper charts to provide a better overview of the market. Users get a comprehensive 360-degree view of the crypto market and according to that, continue their trade. The bots in CoinGecko update the data based on a flexible schedule.
How to Use CoinGecko?
To use the site, you need to create an account first; which is very simple and will take only 10 minutes or maybe less. You can sign up for free as mentioned in the following bullet points:
Click on the signup tab and follow the instructions
Once you are in, click on the coins tab
Click on the coin which you want to see details
Click on the ICO button, if you want to keep an eye on upcoming ICO to invest in
How Does CoinGecko Work?
CoinGecko evaluates the crypto market and provides a wide variety of data for a single coin. They put these data through different algorithms to verify its integrity. For users, it is a trustworthy solution to decide their investments. A quarterly report is produced by CoinGecko to help users detecting key issues that might affect the crypto market in the future. Users of CoinGecko need to make a summary from these metrics by calculating and evaluating them to make a profit.
To sum up, CoinGecko has gained a lot of trust from traders across the globe and has gotten a lot of positive feedback for its easy to use interface and clear data illustration. However, there is still a lot of room to grow in the future. It might possibly compete even with CoinMarketCap if it continues to grow like this in the future.