Go ahead and Google “Crypto Trading Group” and scroll through the first page or two of results. I’ll wait…
Unless something has changed between the time of this writing and the time you are reading this, you will encounter lots of groups that claim to be THE definitive trading forum or signal group out there (despite there being literally thousands of them). A handful of these groups have actually proven to be fairly successful for their legions of followers, while many more of these groups… not so much. The dangerous implication made by many cryptocurrency trading “groups” is that there are guaranteed profits awaiting you as soon as you join their prestigious community. But the mentioning of heavy risk is nowhere to be mentioned, and any investment group that claims money will be made “guaranteed” is flat out lying unless they’re trading some good ol’ risk free bonds.
Many of these groups are “paid only” trading signal groups that charge fees in the vicinity of 0.05 to 0.1 BTC (which currently translates to $350-$700) on a per month basis or for a lifetime subscription. However, if you search hard enough, there are free alternatives out there you may uncover, such as Crypto Cartel, which offers honest advice and discussion in a tight-knit community. The group operates with the expectation that its users share an ethical compass of fairness and positive treatment toward each other. Users receive “strikes” for violating their set of rules, and can easily be removed from the Discord group entirely with frequent disruptions and diversions from the normally insightful conversations that happen.
I was blown away by the amount of deep discussion, open mindedness, and out of the box thinking that the users in this community demonstrate to have. I will elaborate more about their forum later in this article. With the Level Exchange, where users can trade automatically while away from their computers using our index funds or their own set custom allocations, we share a similar outlook on cryptocurrency and how to share information and better comprehend what is happening in the markets. This is precisely why I feel Crypto Cartel and other genuinely ethical trading groups on other platforms (such as Facebook’s Crypto Coin Trader, Cryptocurrency Investing, Blockchain Investing, Cryptogasmic Group, and Crypto Trading Signals) deserve more praise and attention in the crypto community.
Unfortunately, many wannabe crypto groups are actually deceptive black holes of zero-depth conversation with little to offer other than a means to put each other down for poor trading strategies and lack of understanding. When choosing which groups to spend your time lurking on or contributing to, there is a fine line between legitimate rational discussion versus meme-filled nothingness and lambo/moon emojis. As I have discussed in a previous article about market manipulation, these meme-filled options can be nothing more than pump and dump groups that are disguised as platforms for legitimate and insightful discussion. The success of the members in these groups greatly depends on how early they enter the positions that are suggested to them, and how accurate the organizers of these groups are.
As long as organizers of these groups come up with a large enough following with substantial capital, they will virtually always make a nice profit because they are the first ones to buy the pumped up coin they chose, and the first to sell it off. These selloffs by the organizers typically initiate the beginning of the fall from its peak. The vast majority of the members of these groups tend to lose money themselves as a result, and the sad thing is that they’ll often blame themselves for simply not hitting that “sell” button a second earlier. But in reality, there is nothing these users could have done differently. These scam groups are intended to use unknowing traders’ funding to pump up prices, and their ability to leave with a profit is completely irrelevant in the minds of the organizers.
According to William Suberg at CoinTelegraph, there was a total of $825 million made by trading groups through the means of market manipulation in the first half of 2018 alone. Considering the nature in which the groups made their profits, it can be argued that the practices of these groups (eg. pumping and dumping coins) were extremely unethical and harmful to the healthy growth of the crypto markets.
Because of the amount of toxic groups that exist purely to steal your hard earned money, a lot of legitimate ones, such as Crypto Cartel, mistakenly get labeled as pump and dump groups and scammers.
The truth of the matter is that many of these groups pose as trading signal groups when, in fact, they are the trading signals. There is a facade behind many of these faceless online organizations that falsely resemble organizations backed by advanced research teams which monitor the up-to-the-minute fundamentals and technological advances of many of these coins currently using blockchain technology. But the truth of the matter is that most of them exist simply to gather as many crypto traders as possible, then collectively inflate the price of a typically under-the-radar coin until the organizers decide that it’s time to sell and collect profits on the price jumps they created.
I spoke with Joe Zabbia, the founder and one of eight staff members for the Discord group, “Crypto Cartel”. With a large following on Twitter (@joezabb), he offers insights on both his own platform and for the Crypto Cartel community to help educate them with techniques and strategies he has picked up through his years of trading experience. Our team here at Lvl.co has spoken with Joe about the community he has helped to build, and he is elated to be a key cog in such an active community. He summarizes Crypto Cartel as:
“The largest Free Crypto community with the main aim of providing educational content and a place where you can share trades and ideas with like minded people awaits you.”
With more than 17,000 members and growing every day, the Discord group certainly is a powerhouse for active, real-time cryptocurrency discussion. Although there are generic cryptocurrency Facebook groups out there with higher followings, they tend to stray away from serious topics and tend to stick to sharing article content and mainstream crypto news. In the case of Crypto Cartel, the conversation goes much deeper with talks of support lines being broken, leveraging strategies, and in-depth perspectives on signs of forming bull flags. Joe goes on to describe their group as,
“A community where everyone can interact with some of the best traders on “Crypto Twitter and the Bitmex leaderboard.”
The group contains six distinct sections to chat, all with their own purpose and associated group of channels with discussions ranging from serious technical analysis to more lighthearted and fun:
PUBLIC CHANNELS: This group contains any discussion involving the operations of the site and general crypto discussion. The channels consist of:
COMPETITION: Crypto Cartel is known for their active competitions, which measure which members from their highly competitive trading community are making the best returns off of their individual strategies.
CLASSROOM: A place to freely learn about cryptocurrency trading, ranging from topics about risk vs. return, to futures trading, to heavy technical analysis.
MEMBER’S AREA: For those who have been frequent participants in Crypto Cartel discussions and have displayed a solid history of conduct, this area provides more advanced discussions that pertains to users who contribute often and have extra experience on their side:
VOICE: This group contains any discussion involving the operations of the site and general crypto discussion. The channels consist of:
OFF TOPIC: This group is for anything non-crypto or non-trading related. With like-minded members inevitably becoming friends with one another and forming relationships, this channel discusses other topics that may not be appropriate for the main channels, such as music, gaming, sports, and the gym.
There are more than a few benefits to being part of an active cryptocurrency trading group. In addition to being in touch with an active community that gives an overall look at sentiment on various coins, they can also provide you with tools needed to become a more successful trader. For those who are willing to learn, Crypto Cartel and other groups can provide a solid foundation for developing strategies and obtaining knowledge without the worry of being fed fake news for the sheer purpose of attempting to get you to line the pockets of the moderators. They can also act as a support group when times have been difficult in the crypto markets like they have been for the majority of 2018. The common goal is to spread insights about blockchain technology, and hopefully make you some money in the process if you so choose to invest in the tokens discussed.
I am not a paid member of Crypto Cartel in any form, and myself or Level was not compensated for the production of this piece. If you would like to check out Crypto Cartel’s free Discord channel, check them out here. I highly recommend that you give them a look!
I write in depth cryptocurrency analysis at Level, the passive investing tool for crypto. See what we’re doing at Lvl.co and see our other analysis at our magazine. If you love what you see, give this article 50 claps! If you hate it, show your displeasure with 49.
This article and related content is for informational purposes only. It should not be considered investment advice, and you should consult a financial advisor and do your own research and due diligence prior to making any investments. Where securities or commodities are referenced, it is only for illustrative purposes only, and does not imply any position on securities or commodities classification. To the extent that Level services are offered or discussed, those services are available only for Level whitelisted assets only.