Crypto Basics

Ethereum Wallets - Top 8 Picks for Secure Crypto Storage

Discover the 8 best Ethereum wallets of 2023. Safely store, manage, and protect your valuable ETH holdings with these secure and user-friendly wallets.
Token Metrics Team
10 Minutes
MIN

As more people invest in Ethereum and engage in decentralized applications (DApps) built on the Ethereum blockchain, the need for secure and reliable Ethereum wallets becomes crucial.

Ethereum wallets serve as digital vaults for storing and managing your Ethereum holdings, allowing you to send, receive, and monitor your transactions securely.

In this article, we will explore some of the best Ethereum wallets available, each offering unique features and benefits to cater to different user requirements.

Ethereum Wallet Overview

An Ethereum wallet is a software application or physical device that allows users to store, manage, and interact with their Ethereum assets. It consists of a private key that enables access to the funds and a public key for receiving funds. 

Ethereum wallets come in various forms, including hardware wallets, software wallets, and paper wallets, each with its own set of advantages and considerations.

Best Ethereum Wallets

Here is the list of 8 best Ethereum wallets to consider in 2023

1. MetaMask

MetaMask is a popular Ethereum wallet that functions as a browser extension. It allows users to manage their Ethereum funds directly from their web browser. 

MetaMask offers a user-friendly interface, making it an excellent choice for beginners. With MetaMask, you can easily store, send, and receive Ethereum, as well as interact with various DApps seamlessly.

Key features:

  • Browser Extension: MetaMask integrates seamlessly with popular web browsers, allowing users to access their Ethereum wallets directly from their browsers.
  • Token Management: You can easily manage various ERC-20 tokens within the MetaMask wallet.
  • DApp Support: MetaMask provides built-in support for decentralized applications (DApps), enabling seamless interaction with the Ethereum ecosystem.

Pros:

  • Easy-to-use interface.
  • Browser integration for convenient access.
  • Support for ERC-20 tokens and DApps.

Cons:

  • Relies on browser extensions, which can pose security risks if not used cautiously.
  • No desktop application.

2. Ledger Nano S

For those seeking maximum security, a hardware wallet like the Ledger Nano S is an ideal choice. 

The Ledger Nano S is a small device that securely stores your private keys offline, away from potential online threats. 

It offers a high level of protection for your Ethereum assets and supports multiple cryptocurrencies, making it a versatile option for crypto enthusiasts.

Key features:

  • Cold Storage: Private keys are stored offline on the device, providing an extra layer of security against hacking and malware.
  • Multi-Currency Support: In addition to Ethereum, the Ledger Nano S supports a wide range of other cryptocurrencies.
  • Backup and Recovery: The device allows users to create a backup of their wallet, ensuring that funds can be easily restored in case of loss or damage.

Pros:

  • Excellent security with offline storage.
  • Support for multiple cryptocurrencies.
  • Backup and recovery options.

Cons:

  • Requires an initial investment in the hardware device.
  • Not as user-friendly for beginners compared to software crypto wallets.

3. Trezor Model T

Similar to the Ledger Nano S, the Trezor Model T is a hardware wallet designed to keep Ethereum and other cryptocurrencies safe. 

It provides advanced security features, including a touchscreen display for secure transaction verification and a PIN code to access your wallet. The Trezor Model T is an excellent option for those who prioritize top-notch security.

Key features:

  • Touchscreen Display: The Trezor Model T features a color touchscreen display, making it easier to navigate and confirm transactions.
  • Passphrase Support: Users can set up an additional passphrase for enhanced security, protecting against physical theft.
  • Password Manager: The wallet includes a built-in password manager, ensuring secure storage of login credentials.

Pros:

  • Advanced security features.
  • Intuitive touchscreen interface.
  • Password management functionality.

Cons:

  • Higher price point compared to software wallets.
  • Limited storage capacity for certain cryptocurrencies.

4. MyEtherWallet

MyEtherWallet (MEW) is a popular web-based wallet that allows users to create and manage Ethereum wallets easily. 

It offers a simple and intuitive interface, making it accessible to both beginners and experienced users. MEW also provides features like token swaps and integration with hardware wallets for enhanced security.

Key features:

  • Private Key Control: MEW allows users to retain full control over their private keys, enhancing security.
  • Token Compatibility: The wallet supports a wide range of ERC-20 tokens, ensuring compatibility with various Ethereum-based projects.
  • Integration with Hardware Wallets: MEW can be connected to hardware wallets like Ledger and Trezor for an added layer of security.

Pros:

  • Full control over private keys.
  • Wide token compatibility.
  • Integration with hardware wallets.

Cons:

  • Vulnerable to phishing attacks if users access the website through malicious links.
  • Requires careful attention to security practices.

5. Exodus

Exodus is a desktop and mobile wallet that supports various cryptocurrencies, including Ethereum. It offers a visually appealing interface and a user-friendly experience, making it an excellent choice for beginners. 

Exodus provides a backup feature to secure your wallet and a built-in exchange for seamless crypto trading.

Key features:

  • Portfolio Tracker: The wallet includes a built-in portfolio tracker, allowing users to monitor their cryptocurrency holdings.
  • Exchange Integration: Users can exchange cryptocurrencies within the wallet through integrated exchanges, making it convenient for trading.
  • Customer Support: Exodus provides 24/7 customer support to address any issues or concerns.

Pros:

  • User-friendly interface.
  • Portfolio tracking and exchange integration.
  • Responsive customer support.

Cons:

  • Less secure compared to hardware wallets.
  • Limited to supported cryptocurrencies.

6. Trust Wallet

Trust Wallet is a mobile wallet that enables users to manage their Ethereum and interact with DApps directly from their smartphones. 

It offers a decentralized and secure platform for storing and trading Ethereum, with a user-friendly interface. Trust Wallet also supports various other cryptocurrencies, making it a versatile option for multi-asset holders.

Key features:

  • Mobile Accessibility: Trust Wallet is available for both iOS and Android devices, allowing users to access their wallets from anywhere.
  • DApp Browser: The wallet includes a built-in DApp browser, enabling direct interaction with decentralized applications.
  • Biometric Authentication: Users can secure their wallets using biometric .authentication methods, such as fingerprint or face recognition.

Pros:

  • Mobile convenience and accessibility.
  • Built-in DApp browser for easy interaction.
  • Biometric authentication for enhanced security.

Cons:

  • Limited to mobile devices.
  • Potential security risks if the device is compromised.

7. Atomic Wallet

Atomic Wallet is a multi-cryptocurrency wallet that supports Ethereum and many other digital assets. It provides a sleek and user-friendly interface, along with features like staking and decentralized exchanges. 

Atomic Wallet offers enhanced security with private key encryption and local storage, ensuring the safety of your Ethereum holdings.

Key Features:

  • Multi-currency Support.
  • It features a built-in decentralized exchange that enables users to swap cryptocurrencies directly.
  • Atomic Wallet supports atomic swaps, which allows for peer-to-peer cryptocurrency trades without the need for intermediaries.
  • The wallet offers staking capabilities, allowing users to earn passive income.

Pros:

  • Atomic Wallet has an intuitive and user-friendly interface.
  • Cross-Platform Compatibility: It is available for desktop, mobile, and as a web-based wallet, providing flexibility and accessibility.
  • Atomic Wallet is privacy focused and does not collect or store users' personal information, enhancing privacy and anonymity.
  • Atomic Wallet has an active community and provides support through various channels.

Cons:

  • Limited Currency Support.
  • Atomic Wallet relies on the underlying blockchain networks for transactions, so users may encounter varying network fees depending on the cryptocurrency.
  • Although Atomic Wallet emphasizes security, some features, such as the built-in exchange, rely on centralized components, which may introduce some level of centralization and counterparty risk.

8. Guarda Wallet

Guarda serves as a secure and user-friendly non-custodial Ethereum wallet, ensuring the utmost protection for your digital assets. With its intuitive interface, Guarda offers seamless access through desktop, mobile, and web platforms.

When you create a Guarda wallet, you retain exclusive control over your private key. This empowers you to have full authority over your Ethereum holdings and other cryptocurrencies. 

Guarda wallet sets itself apart by not requiring any personal information, establishing it as the preferred choice among leading Ethereum wallets.

Key Features:

  • Guarda Wallet supports a wide range of cryptocurrencies, allowing users to store, send, receive, and manage different digital assets in one place.
  • The wallet provides an integrated exchange service that allows users to swap cryptocurrencies within the wallet interface.
  • Guarda Wallet supports hardware wallet integration, enabling users to enhance the security of their funds.
  • Users can create their own tokens on selected blockchain networks using Guarda Wallet's token generation feature.

Pros:

  • Guarda Wallet offers a high level of security with features such as encryption, private key control, and hardware wallet integration, enhancing the protection of users' funds.
  • The wallet's availability on various platforms ensures that users can access their funds and manage their assets from different devices.
  • Guarda Wallet's support for a wide range of cryptocurrencies allows users to manage all their digital assets in one wallet, reducing the need for multiple wallets.
  • The wallet's intuitive interface and simple navigation make it easy for users to perform various cryptocurrency transactions.

Cons:

  • While Guarda Wallet offers an integrated exchange service, it relies on centralized exchanges for executing trades, which may raise concerns for users who prioritize decentralized trading options.
  • Compared to some other wallets, Guarda Wallet may have a more limited range of integrations with external platforms and services.
  • Guarda Wallet is a custodial wallet, meaning that the user's private keys are stored on Guarda's servers. This introduces a level of reliance on the wallet provider, as they have control over the user's funds.

Also Read - Is Ethereum Dead? - Complete Analysis for ETH Investors

Frequently Asked Questions

Q1. Can I use any Ethereum wallet to store other cryptocurrencies?

While some wallets, like Exodus and Atomic Wallet, support multiple cryptocurrencies, not all Ethereum wallets are designed to store other digital assets.

Make sure to check the wallet's supported cryptocurrencies before using it for anything other than Ethereum.

Q2. Are hardware wallets like Ledger Nano S and Trezor Model T worth the investment?

Hardware wallets provide an extra layer of security by keeping your private keys offline. If you hold a significant amount of Ethereum or other cryptocurrencies, investing in a hardware wallet can offer peace of mind and protect your assets from potential online threats.

Q3. Can I access my Ethereum wallet from multiple devices?

Yes, some wallets like Jaxx Liberty and Atomic Wallet offer cross-platform support, allowing you to access your Ethereum wallet from various devices, including desktop, mobile, and browser extensions. This flexibility enables you to manage your assets conveniently.

Q4. What should I do if I forget my Ethereum wallet's password?

It's crucial to securely store your wallet password or recovery seed phrase. If you forget your password, some wallets provide a recovery process using the seed phrase. 

However, if you lose both your password and seed phrase, it may result in permanent loss of access to your wallet and funds.

Q5. Are mobile wallets secure for storing Ethereum?

Mobile wallets like Trust Wallet provide a secure and convenient way to store Ethereum. They offer features like biometric authentication and encryption to safeguard your funds. 

However, it's essential to practice good mobile security habits, such as keeping your device's operating system and wallet app up to date.

Conclusion

In conclusion, selecting the best Ethereum wallet depends on your specific requirements, preferences, and security concerns. The wallets mentioned in this article offer a range of options, from user-friendly web wallets to advanced hardware wallets.

Assess the features, security measures, and ease of use to find the perfect Ethereum wallet that suits your needs. Safeguard your Ethereum assets and explore the vast possibilities of the Ethereum ecosystem with confidence.

Disclaimer

The information provided on this website does not constitute investment advice, financial advice, trading advice, or any other sort of advice and you should not treat any of the website's content as such.

Token Metrics does not recommend that any cryptocurrency should be bought, sold, or held by you. Do conduct your own due diligence and consult your financial advisor before making any investment decisions.

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How Do I Keep My Cryptocurrency Safe?

Token Metrics Team
8 min
MIN

The cryptocurrency market has created life-changing wealth for millions, but it has also attracted hackers, scammers, and bad actors. From exchange hacks to phishing scams and rug pulls, billions of dollars in crypto have been lost due to poor security practices.

If you’re serious about trading or investing in crypto, one of your top priorities should be keeping your cryptocurrency safe. In this guide, we’ll walk through the biggest risks to your crypto security, best practices to protect your assets, and how Token Metrics can help you make informed, safe decisions when navigating the crypto market.

Why Is Cryptocurrency Security So Important?

Unlike a traditional bank account, cryptocurrency transactions are irreversible. If your funds are stolen, there’s usually no way to recover them.

  • No centralized authority: There’s no bank to call for refunds.
  • Pseudonymous transactions: It’s nearly impossible to trace funds once they’re moved.
  • High-value targets: Hackers actively target crypto investors due to the potential for large payoffs.

This means you are your own bank—and you’re responsible for protecting your funds.

Common Threats to Your Cryptocurrency

Before learning how to protect your crypto, you need to know what you’re up against:

1. Exchange Hacks

Crypto exchanges are frequent targets for hackers. Even top-tier exchanges like Mt. Gox and FTX have experienced devastating losses.

2. Phishing Attacks

Scammers use fake websites, emails, or social media accounts to trick you into revealing your private keys or login credentials.

3. Malware & Keyloggers

Cybercriminals install malicious software on your devices to steal passwords and seed phrases.

4. Rug Pulls & Scams

Fraudulent projects lure investors with promises of high returns, then disappear with the funds.

5. Human Error

Lost passwords, mishandled private keys, or accidental transfers can lead to permanent loss of funds.

How to Keep Your Cryptocurrency Safe

Here’s a step-by-step approach to safeguarding your crypto:

1. Use a Secure Wallet

Hardware Wallets:

  • The safest option for long-term storage.
  • Devices like Ledger or Trezor keep your private keys offline, out of reach of hackers.

Software Wallets:

  • Convenient for active trading but more vulnerable to attacks.
  • Use reputable wallets like MetaMask or Trust Wallet and enable strong security features.

Pro Tip: Use a hardware wallet for long-term holdings and a software wallet for small, active trading balances.

2. Enable Two-Factor Authentication (2FA)

Always enable 2FA on your exchange accounts, wallets, and email addresses.

  • Use Google Authenticator or Authy, not SMS-based 2FA, which is susceptible to SIM swaps.

3. Beware of Phishing & Fake Websites

  • Double-check URLs before logging into exchanges or wallets.
  • Never click links from suspicious emails or DMs.
  • Bookmark the official websites of your exchanges and platforms.

4. Keep Your Seed Phrase Offline

Your wallet’s seed phrase is the master key to your funds.

  • Write it down on paper and store it securely (safe, vault).
  • Avoid storing it in digital form (cloud storage, photos).
  • Consider splitting the phrase into parts and storing them in separate locations.

5. Research Projects Before Investing

Many scams and rug pulls target uninformed investors chasing hype.

How Token Metrics Helps:

  • Use AI-powered Investor Grades to assess projects for long-term viability.
  • Leverage Moonshot Finder to discover vetted early-stage tokens with real growth potential—not scams.

6. Diversify Your Storage

Don’t keep all your crypto in one place.

  • Use multiple wallets for different purposes (trading vs. holding).
  • Spread funds across hardware, software, and exchange wallets.

7. Stay Updated on Threats

The crypto landscape changes fast.

  • Follow credible crypto news platforms.
  • Monitor regulatory updates and security alerts.
  • Use Token Metrics to stay ahead of market narratives and avoid projects flagged as high-risk.

How Token Metrics Helps You Stay Secure

While Token Metrics isn’t a wallet or exchange, it’s a powerful AI-powered platform designed to help you make safer investment decisions.

1. AI-Powered Risk Analysis

Token Metrics uses AI-driven evaluations to score projects, helping you avoid high-risk tokens and scam projects.

2. Investor & Trader Grades

Our proprietary grading system helps you quickly identify safe, high-quality assets for both short-term trading and long-term holding.

3. Moonshot Finder

Interested in low-cap tokens? The Moonshot Finder helps you spot legitimate early-stage projects before they pump—without falling into scams.

4. Narrative & Market Tracking

Stay ahead of emerging narratives and security concerns with Token Metrics’ real-time AI-driven analysis, helping you dodge risky trends.

Practical Security Checklist for Every Crypto Holder

  1. Use a hardware wallet for long-term holdings.
  2. Enable 2FA on all accounts—never rely on SMS-based security.
  3. Store seed phrases offline and securely.
  4. Avoid suspicious links and verify all URLs.
  5. Research every project using platforms like Token Metrics.
  6. Diversify storage across multiple wallets.
  7. Stay informed about new threats and market risks.

Final Thoughts

So, how do you keep your cryptocurrency safe? It comes down to strong storage practices, personal vigilance, and making informed investment decisions.

While hardware wallets and 2FA secure your assets, knowing where to invest is just as important. That’s where Token Metrics comes in—using AI-powered analysis to help you avoid scams, choose safe projects, and trade with confidence.

In crypto, you are your own bank—so take your security seriously. And with Token Metrics guiding your decisions, you can navigate this high-risk market safely and profitably.

Research

What Are Trading Fees and How Do They Work?

Token Metrics Team
8 min
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If you’ve ever bought or sold cryptocurrency, you’ve likely noticed that exchanges charge trading fees. While these fees may seem small at first glance, they can add up significantly over time, especially for frequent traders.

Understanding how trading fees work is essential for maximizing your profits and choosing the right platform and strategy. In this guide, we’ll explain what trading fees are, how they’re calculated, the different types of fees, and how Token Metrics can help you minimize costs while optimizing your trades.

What Are Trading Fees?

Trading fees are charges imposed by cryptocurrency exchanges whenever you execute a trade—whether you’re buying, selling, or swapping digital assets.

  • Purpose:

    • They compensate exchanges for providing liquidity, security, and order-matching services.
    • They discourage spam orders that could overload the exchange.

Example:
If you buy $1,000 worth of Bitcoin with a 0.1% trading fee, you’ll pay $1 in fees for that transaction.

How Are Trading Fees Calculated?

Most crypto exchanges calculate fees based on:

  1. Trade Value (Percentage):

    • The most common model.
    • Fees are a percentage of the total trade amount (e.g., 0.1% per trade).

  2. Flat Fees:

    • Some platforms charge a fixed fee per trade, regardless of trade size.

  3. Tiered Fee Structures:

    • Frequent traders often benefit from lower fees when they reach certain monthly trading volumes.

Maker vs. Taker Fees

Many exchanges use a maker-taker model to incentivize liquidity:

  • Maker Fees:

    • You pay a lower fee (or sometimes nothing) when you add liquidity by placing a limit order that isn’t immediately matched.

  • Taker Fees:

    • You pay a higher fee when you remove liquidity by placing a market order that is filled instantly.

Example:
On Binance, makers might pay 0.08%, while takers pay 0.1%.

Types of Crypto Trading Fees

When trading crypto, you’ll encounter more than just trading fees:

1. Trading (Transaction) Fees

  • Charged when buying or selling crypto.
  • Often range from 0.05%–0.5% depending on the exchange.

2. Deposit Fees

  • Some exchanges charge when funding accounts via credit card, PayPal, or bank transfers.
  • Crypto deposits are typically free.

3. Withdrawal Fees

  • Charged when moving funds off the exchange.
  • Often fixed per withdrawal (e.g., 0.0005 BTC).

4. Network (Gas) Fees

  • Separate from exchange fees, paid to blockchain validators.
  • Ethereum and other networks can have high gas fees during peak demand.

Why Do Trading Fees Matter?

Even small fees can significantly impact your profits, especially if you trade often.

Example:

  • A day trader making 50 trades/month with a 0.1% fee per trade on $1,000 positions will pay $50/month in fees.
  • Over a year, that’s $600 lost to fees—before considering withdrawal or gas costs.

This is why reducing fees is crucial for active traders.

How to Minimize Trading Fees

1. Use Low-Fee Exchanges

Compare platforms—Binance, Bybit, and Kraken often offer competitive rates for high-volume traders.

2. Increase Your Trading Volume

Many exchanges lower fees as your monthly trading volume increases.

3. Use Limit Orders

Save on fees by acting as a maker instead of a taker whenever possible.

4. Pay with Exchange Tokens

Some exchanges offer discounts when fees are paid with their native token (e.g., BNB on Binance).

5. Optimize Your Trading Strategy with AI

Instead of making dozens of small trades, use data-driven insights from Token Metrics to make high-probability trades—reducing overall fee impact.

How Token Metrics Helps You Save on Fees

Token Metrics isn’t an exchange—it’s an AI-powered crypto research and trading platform designed to maximize your profits.

Here’s how it helps with trading fees:

1. AI-Powered Trade Optimization

Token Metrics provides bullish/bearish trading signals based on 80+ technical indicators, helping you enter fewer but higher-quality trades—minimizing unnecessary fees.

2. Trader & Investor Grades

Our proprietary grading system helps you identify top-performing cryptos, reducing guesswork and avoiding costly trial-and-error trading.

3. AI-Managed Indices

Instead of manually rebalancing portfolios (and paying multiple trading fees), use Token Metrics AI-driven crypto indices, which rebalance intelligently while keeping transaction costs low.

4. Narrative Tracking

Our AI detects emerging crypto narratives early, helping you position yourself before the market gets crowded—reducing the need for excessive short-term trading.

Practical Example: Using Token Metrics to Reduce Fees

Imagine you’re trading altcoins manually and make 20 trades/month.

  • At 0.2% per trade on $1,000 positions, you pay $40/month in fees.
  • With Token Metrics AI signals, you cut this down to 8 high-probability trades per month—reducing your fees by 60% while increasing win rates.

This is how data-driven trading saves both money and stress.

Final Thoughts

So, what are trading fees and how do they work? They’re the charges exchanges take for facilitating trades, withdrawals, and transactions—and while they may seem small, they can eat into your profits quickly.

The good news? You can minimize trading fees with the right strategies—and Token Metrics can help.

By providing AI-powered trading signals, long-term Investor Grades, and automated crypto indices, Token Metrics helps you reduce unnecessary trades, make smarter decisions, and maximize your returns—all while minimizing the impact of trading fees.

Whether you’re a beginner or advanced trader, using Token Metrics means trading smarter, not harder.

Research

Should I Use Leverage When Trading Crypto?

Token Metrics Team
8 min
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Leverage trading has become a hot topic in the crypto world. Many traders are attracted by the promise of amplified profits—but fail to realize it also magnifies losses. If you’ve been wondering, “Should I use leverage when trading crypto?” the short answer is: only if you fully understand the risks and have a solid strategy.

In this guide, we’ll break down what leverage trading is, how it works, its pros and cons, and how AI-powered tools like Token Metrics can help you make smarter decisions when trading with leverage.

What Is Leverage Trading in Crypto?

Leverage trading lets you borrow funds from an exchange to increase your position size, allowing you to control more capital than you actually own.

For example:

  • If you have $1,000 and use 10x leverage, you’re trading with $10,000.
  • A 10% price increase can give you a 100% profit on your original investment.
  • But a 10% price drop could wipe out your position completely.

Popular platforms like Binance, Bybit, and OKX offer leverage levels from 2x to 125x for certain assets.

Pros of Leverage Trading

Leverage isn’t all bad. When used responsibly, it offers several benefits:

1. Higher Profit Potential

Even small price movements can generate significant returns when using leverage.

2. Portfolio Efficiency

Traders can free up capital for other positions while maintaining large exposure in a leveraged trade.

3. Opportunities in Bear Markets

Leverage allows for short selling, enabling you to profit when prices go down.

Cons of Leverage Trading

The same factors that make leverage attractive also make it high-risk:

1. Amplified Losses

Just as leverage magnifies profits, it magnifies losses. A minor price drop could liquidate your entire position.

2. Liquidation Risk

When your collateral falls below a certain threshold, the exchange automatically closes your position, locking in your losses.

3. Emotional Stress

Leverage trading is fast-paced and stressful, often leading to panic selling or revenge trading after losses.

Should Beginners Use Leverage?

No.
If you’re new to trading, avoid leverage until you have:

  • A proven strategy with consistent results in spot trading.
  • Strong risk management skills (e.g., using stop-loss orders).
  • The ability to stay disciplined under pressure.

For beginners, leveraged trading can be a fast track to losing your capital.

When Does It Make Sense to Use Leverage?

For experienced traders, leverage can make sense when:

  • You’re hedging your portfolio against downside risk.
  • You have high conviction in a trade and want to maximize gains.
  • You’re trading high-liquidity assets like BTC or ETH with well-defined stop-losses.

How Token Metrics Helps You Trade Smarter with Leverage

Leverage trading requires precision, and that’s where Token Metrics gives you an edge.

1. AI-Powered Bullish & Bearish Signals

Identify high-probability trades with real-time AI signals based on 80+ technical indicators. This helps you avoid entering positions blindly.

2. Trader & Investor Grades

Use Trader Grades for short-term trading opportunities and Investor Grades for long-term positions—helping you decide when to scale up or reduce leverage.

3. Risk Assessment Tools

Token Metrics evaluates crypto projects and market trends to reduce exposure to high-risk assets—a must for leveraged positions.

4. AI-Driven Indices

Don’t want to trade manually? Use our AI-managed crypto indices to gain diversified exposure without taking unnecessary leveraged risks.

5. Narrative Detection

Our AI identifies emerging narratives before they hit mainstream attention, giving you a strategic edge in timing trades—crucial when using leverage.

Best Practices for Using Leverage in Crypto

If you decide to use leverage, follow these rules:

  1. Start Small: Use low leverage (2x–3x) instead of going all in at 20x or 50x.
  2. Set Stop-Loss Orders: Always predetermine your maximum loss tolerance.
  3. Trade Liquid Assets: Stick to high-volume coins like BTC and ETH to avoid slippage.
  4. Don’t Overtrade: Only use leverage on trades with strong conviction and proper analysis.
  5. Use AI Tools: Let Token Metrics guide your entries and exits with data-driven insights.

Why Overleveraging Is Dangerous

Many traders lose money by overleveraging, which leads to:

  • Margin calls and forced liquidations.
  • Revenge trading, where losses push traders into reckless decisions.
  • Complete portfolio wipeouts from one bad trade.

Pro Tip: Only trade with leverage on funds you can afford to lose.

Final Thoughts

So, should you use leverage when trading crypto?

For beginners, the answer is no—focus on mastering spot trading first. For experienced traders, leverage can be a powerful tool when used with strict risk management and data-driven insights.

That’s where Token Metrics makes a difference. With AI-powered trading signals, real-time risk analysis, and narrative tracking, Token Metrics helps you trade smarter, reduce emotional mistakes, and optimize your leverage strategy.

Leverage can make you or break you—so don’t go in blind. Use Token Metrics to guide your trades and stay ahead of the market.

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