While there are many crypto exchanges that try to offer the most competitive trading fees, two of the different costs you should consider when choosing a cryptocurrency exchange are the low buyer and producer fees. The spread is also an important consideration. This is actually the difference between the highest selling price and the lowest offer price on a platform. The narrow spread indicates that a market order is executed at a value close to the market value. A high spread, on the other hand, can lead to market orders being executed at rates that are actually worse than expected.
Although many cryptocurrency exchange platforms charge fees of between 0.1% and 0.25%, user profitability is still significantly lower after taking the spread into account. Similarly, high spreads lead to a lack of liquidity and make traders vulnerable to market manipulation. This happens because order books are usually too thin, making it difficult to absorb attempts to change the price dynamics of the market.
The market presence of the exchange and its diversity
The game is already changing. Localised exchanges will no longer thrive. They will see mutual growth and more partnerships of cross-country exchange. This has not been possible in the past due to significant differences in crypto rules. In 2020, traders will see cryptocurrency exchange platforms operating real brick-and-mortar businesses in different locations around the world. It is definitely a positive development, especially because it boosts users' confidence knowing that they can actually get local support from some countries if needed. Such a novel approach among cryptocurrency exchanges to be present in different geographical regions will only benefit people who plan to trade in those countries. Expanding market presence will also allow for a smooth transition, especially for modern digital nomads who are always travelling and working from different locations.
Final thoughts
Apart from the above, there is another reason why you should consider different cryptocurrency exchanges. It is important to choose a platform like Exness login client area that includes the various tools needed to execute advanced trading strategies, while still allowing traders to choose which features they need to access and when.