Tuesday, June 28, 2022

How To Day Trade Crypto

Coinbase Top Crypto Day Trading Site For Beginners

Top 3 BEST Crypto Day Trading Strategies for Beginners (How to Day Trade Crypto)

It goes without saying that day trading crypto and making consistent profits is no easy feat. And as such, if youre just starting out in this space, Coinbase might be the best platform for your skillset. In a nutshell, Coinbase has been offering crypto trading services since 2012 and its platform is primarily used by beginners. This is because you only need a few dollars to get started and accounts take minutes to open.

Moreover, if you dont have any crypto to hand to fund your trading endeavors, Coinbase offers multiple payment methods that allow you to deposit US dollars with ease. This includes debit/credit card and Paypal purchases at a few 3.99% and ACH at 1.49%. Additional fees are charged on deposits of less than $200. Nevertheless, once your Coinbase account is funded, you will then have access to over 50 leading cryptocurrencies.

Each and every crypto asset available at Coinbase is traded against the USD spot market. Spreads are competitive here and liquidity levels are significant. In terms of trading commissions, Coinbase is the most expensive day trading crypto site on our list, with the platform charging 1.49% per slide. This means that you will need to make at least 2.98% in profit per trade, as the commission is charged when you enter and exit the market.

Cryptoassets are a highly volatile unregulated investment product.

How Do You Start Day Trading Crypto With Stormgain

Starting your day trading journey with StormGain really couldn’t be easier. Simply register an account, fund it, and you’re ready to go. Unlike other platforms, StormGain doesn’t subject its users to lengthy verification protocols, so you can be up and trading in a matter of minutes. With instant debit/credit card purchases and free in-app wallets, funding your account is a doddle.

We recommend that you keep your balance in Tether to mitigate the adverse effects of crypto volatility, which is even more acutely felt by day traders. Then, when you spot an opportunity to buy another coin, simply complete a real-time conversion on StormGain.

What Is The Best Crypto For Day Trading

One of the best things about day trading crypto is that there are no restrictions on which digital currencies you can target.

After all, you are only looking to keep positions open for a matter of hours or minutes, so your overarching goal is to profit from short-term trends.

With that said, some digital currencies are better for day trading than others especially those that benefit from high levels of liquidity.

Moreover, crypto traders will often seek pairs that attract higher levels of volatility as this presents plenty of profit-making opportunities throughout the day.

If youre still not sure which cryptocurrencies are the best to day trade for your investment objectives consider the five digital assets discussed below.

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How To Decide What To Day Trade

Day traders spot opportunities through the minute price movements of an asset, including cryptocurrency. To maximize profits, a day trader usually uses leverage to enlarge their capital. So, to make sure a trade is profitable, here are the essentials to augment the opportunities:

Look into the liquidity of trade to do so, a trader needs to analyze the bid and ask of the exchange, look into the spread, and, ultimately, identify the possibility of slippage.

Assess the volatility of the market when a market is volatile, it can open up the room for more significant profits, but it also means losses are inevitable. To assess it, you must have great anticipation and focus on the daily price range and be ready to embrace whatever it may come.

Be aware of the trading volume when the trading volume is high, it indicates an interest in the market, whether its stock or crypto. If the stock prices hover up and down, its signaling an increase in stocks volume.

After you know what its best for you, youll be needing technical analysis to enter and exit the market.

Wait For The Money Flow Index To Reach The 100 Level

Day Trading Cryptocurrency: Crypto Trading Strategies 101

An MFI reading of 100 shows the presence of the big sharks stepping into the markets. When buying, smart money cant hide their footsteps. They inevitably leave tracks of their activity in the market and we can read that activity through the MFI indicator.

Technical indicators arent always right, so in order to fine-tune our day trading strategy, weve added a few more conditions. Namely, during the current day, we need to skip the first two MFI readings of 100 and study the crypto price reaction.

The price needs to hold up during the first and second 100 MFI reading.

If the price drops after the first two MFI 100 readings, then this suggests that most likely were going to have a down day.

Lets now determine the appropriate place to go buy Bitcoin and what are the technical conditions that need to be satisfied.

See below:

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Strategy : Focus On A Small Number Of Markets

Another proven crypto day trading strategy is to focus on a small number of markets. In doing so, you will have an intimate understanding of how the respective pairs operate.

  • For example, you might find that BTC/USD attracts huge support at the $42,000 level and mass resistance at $44,000.
  • Similarly, you might find that ETH/USD typically performs well when the RSI sits above 40.

The key point here is that by becoming an expert in a small number of crypto markets, you stand the best chance possible of making consistent profits.

Otherwise, by attempting to become a Jack of all trades, you might find that you are entering positions in the dark.

Is Crypto Day Trading Worth It

Crypto day trading allows you to target consistent gains by entering and exiting positions risk-averse positions alongside stop-loss and take-profit orders. For some, crypto day trading is profitable. However, in order to make money by day trading digital currencies online, you need to learn the ins and outs of technical analysis.

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Make $100 A Day Trading Cryptocurrency: Best Ways How

Disclosure: This post may contain affiliate links, meaning I get a commission if you decide to make a purchase or sign up through my links, at no cost to you. Please read my disclaimer for more info.

Is it possible to make $100 a day trading cryptocurrency? Absolutely yes! If you are just starting crypto day trading, here is everything you should know about making money day trading.

The best way to make $100 a day on cryptocurrency is to invest around $1000 and track a 10% rise on one pair. This is a realistic approach compared to investing $200 and tracking a 50% rise on the pair. This is because, when it comes to crypto investment, the trick is to always put a substantial amount of money and increase your chances of making a profit from it.

But, before you make $100 a day, you need to know how to day trade. And, day trading works for people who are willing to dedicate their time and money. For starters, you need to have time and the right software to analyze data so that you can make the right decisions.

Making $100 a day might not happen on the first day but with proper skills and experience, you can reach your target.

Intraday Trading In Cryptocurrency

Day Trading Crypto for Beginners Using Trading Bots 2021

Day trading in cryptocurrency is similar to traditional intraday trading. The liquid and volatile nature of the cryptocurrency can easily enable day trading of crypto assets. There are several crypto trading platforms. However, it is essential to ensure that you invest in a trusted cryptocurrency trading platform. It should offer a safe and transparent trading environment along with heaps of crypto markets, including selecting crypto-cross and crypto-to-fiat pairs and low commissions.

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Best Crypto Day Trading Platform 2021 List

The best crypto day trading platforms of 2021 can be found in the list below. Scroll down to read our comprehensive review of each platform.

  • eToro Overall Best Crypto Day Trading Platform 2021
  • Libertex Best Crypto Day Trading Platform for Tight Spreads
  • Pionex Best Crypto Day Trading Platform For Bitcoin Novice Investors
  • Binance Best Bitcoin Trading Platform for Day Traders
  • Coinbase Best Ethereum Trading Platform for Newbies
  • Capital.com Best Crypto Day Trading Platform for Beginners
  • Robinhood Best Crypto Day Trading Platform for Micro Investing
  • AvaTrade Best Crypto Day Trading Platform on MT4
  • Forex.com Best Day Trading Crypto App
  • IG Best Crypto Day Trading Platform for Tools and Analysis
  • Interactive Brokers Best Crypto Day Trading Platform for Bitcoin Futures
  • Crypto assets are highly volatile, unregulated investment products. No EU investor protection

    Place Crypto Day Trading Order

    We discussed how to place day trading orders earlier in this guide. To recap, you will first need to enter your stake ensuring that you follow your bankroll management cap.

    Cryptoassets are a highly volatile unregulated investment product.

    Then, determine your stop-loss and take-profit order prices and type this into the relevant fields. And finally, once you are ready to place your order, click on the Open Trade button.

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    How To Day Trade Crypto On Binance Exchange

    The first rule of day trading is liquidity. If you dont have decent liquidity, you will lose in day trading irrespective of how good a strategy you make.

    Thats why we recommend day trading cryptos on the Binance exchange because it has the maximum liquidity in the crypto markets.

    For the uninitiated, the Binance exchange got into the crypto game in 2017, and in less than a year, it became the go-to exchange of the market for both spot and futures trading.

    Thanks to the great bull run of 2017 and also Binances competent team.

    Since then, many crypto traders- veterans and beginners both trade on the Binance exchange. But mind you, it is a centralized exchange, so never trade/store more than what you can afford to lose.

    In this guide, I intend to convey how you can use Binance exchange step-by-step for cryptocurrency trading. In the end, I will briefly touch upon day trading.

    So hold your horses until the end.

    Choose A Trading Strategy

    Crypto Day Trading Strategies Pdf

    There are many techniques day traders use to make gains on short-term fluctuations in the crypto markets. A crypto day trader should devise a winning strategy backed by research, with well-laid plans for when to enter and exit their positions.

    For prospective day traders, certain websites allow users to track and copy the most successful traders on the platform. Below are some of the most popular trading strategies in the crypto day trading game.

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    What Is Spot Trading In Crypto

    Spot trading is buying and selling crypto in real-time. Using this method you sell or buy crypto on the live market based on the indicated current price. With this method of trading, you hope to sell the coins in a future time at a profit.

    You need to be a seasoned trader to use this method because it involves some level of risk. Spot trading might be intimidating for some people because you might not have a lot of time to plan when buying or selling your coins.

    Day Trading Cryptocurrency: How To Get Started

    Now that you know what day trading cryptocurrency requires, as well as what you need to consider, I am now going to show you how to get started!

    The first step when looking at how to day trade cryptocurrency will require you to find a good exchange. A cryptocurrency exchange will allow you to buy and sell coins 24 hours per day. It is important to think about what kind of cryptocurrencies you are looking to get involved with.

    If you are looking to day trade full time, then it is well worth choosing an exchange that has lots of difference pairings listed.

    Note: A pairing refers to the two coins that are being traded. For example, if you believed that the price of Ethereum would increase against the price of Bitcoin, then you would need to find a BTC/ETH pairing!

    It is also important to find an exchange that has lots of liquidity. This will ensure that you can always be matched with a buyer or seller, otherwise, you might not be able to close your trade when the price is falling!

    A good place to start would be Binance, as they have hundreds of trading pairs available and they also have one of the largest trading volumes in the market. To find out more information on setting up an account at Binance, see my guide here!

    Once you have opened an account with an exchange, it is time to deposit some funds. Most cryptocurrency exchanges do not allow you to deposit using a debit/credit card or bank account, however, some do.

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    Diversify Your Crypto Portfolio

    It doesnt pay to have too much invested in one single cryptocurrency.

    As with stocks and shares, spread your money out among different digital currencies.

    This means you dont risk being over-exposed should one of them plummet in value especially as the market prices of these investments are highly volatile.

    There are thousands to choose from, so do your research.

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    How To Day Trade Crypto Like A Pro Simplest Day Trading Strategy Ever

    $100 a Day Crypto Trading Strategy for Beginners (Crypto Scalping Strategy)

    First, You Need A Trading PlanCryptocurrency Trading With CFDsWhy Cryptos Are Great for Day Trading?The Simplest Trading Day Trading Strategy EverThoughts On Day Trading Treat Trading As A Business With Mitrade

    The crypto market has over the past few years spawned an army of both day traders and long-term believers in the blockchain. Many, until December 2018 had dreams of retiring both early and rich.

    At the time of the great crypto bull, they were capitalised on crazy market momentum and were fed a diet of news and analysis proclaiming anything crypto was going to da the moon.

    They were disappointed, the subsequent crash dented all that sentiment.

    In this article, Ill show you how to approach bitcoin and crypto day trading not as a blind believer in blockchain but as a calculated speculator who knows exactly when to hold ’em and when to fold ’em.

    Choose Your Favourite Markets on Mitrade!

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    Best Crypto Exchanges For Day Trading Compared

    Some of the criteria that we look for when reviewing the best day trading crypto platforms include low fees and commissions, lots of supported markets, and access to investment tools and features.

    And of course, we only consider day trading crypto providers that offer a safe and secure environment. Taking this into account, the best day trading crypto platforms for 2022 are discussed in the sections below.

    How To Day Trade Cryptocurrency: Intro

    Want to know how to day trade cryptocurrency? Looking for day trading tips or day trading alternatives? Then keep on reading!

    This article walks you through a step-by-step guide to getting started with day trading cryptocurrency.

    The crypto industry is expanding at a rapid pace, attracting more and more traders from all over the globe. Interestingly enough, according to data, there are more than 52 million active crypto traders globally.

    Day trading, in particular, is one of the most popular methods to trade cryptocurrency. Because day trading is a form of short-term trading, crypto day traders should be able to analyse the market fast and effectively and also to manage stress and intense emotions.

    We at Trading Education are here to help you become a part of the crypto community and learn how to day trade cryptocurrency. Do not hesitate to sign up for one of our online courses to understand the world of crypto trading and develop an effective day trading strategy on your way to trading success.

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    Day Trading And Scalping

    A crypto day trading strategy allows the trader to take full advantage of cryptocurrency assets price volatility. As mentioned earlier, virtual assets are currently extremely volatile, which works to the advantage of a day trader.

    The day trading strategy is a game of numbers strategy. A day trader will make multiple trades within a day, buying low and selling high within little gains that compound to large sums by the end of the day. Typically, sometimes it gets hard to perform this manually. To succeed in thisstrategy, you will need to consider automating your trades using trading applications or crypto trading bots like Coinrule.

    Important: It is not recommended that you begin your trading journey as a day trader. This is because this strategys fast-paced nature will require that you make fast decisions, and there is little room for research between trades.

    Scalping is a part of day trading but typically involves concise trading periods. Think minutes.

    When either day trading or scalping, many trades will result in both wins and losses. The idea is to make sure that the win/loss ratio is in your favor. Score more wins to consider your strategy a success.

    Etoro Overall Best Day Trading Crypto Platforms For 2022

    Crypto Day Trade  10 01 2018

    eToro offers the ultimate balance between regulations, low fees, user-friendliness, and a diverse number of trading markets. This day trading platform is home to over 40+ spot trading markets all of which are paired against the US dollar. This includes everything from Bitcoin, XRP, and Dogecoin to Shiba Inu, Ethereum, Celo, and AAVE. Moreover, you can also trade digital assets against other fiat currencies, such as the euro and the British pound.

    Day traders will also like the dozens of crypto-cross pairs that are supported by eToro. This includes the likes of ETH/BTC, EOS/XLM, and BTC/XLM. Irrespective of which pair you decide to trade, eToro operates a spread-only pricing model. For those unaware of this term, this simply means that you will only need to pay the difference between the bid and ask price of your chosen crypto. This makes eToro one of the best day trading crypto sites in terms of fees.

    Another perk of choosing eToro as your go-to crypto day trading platform is that you can buy cryptocurrency from just $10. Moreover, $10 is the minimum deposit requirement to get started so those on a budget are catered for. We also like eToro for its zero-fee deposits and withdrawals on USD balances. Not only does this include payments via domestic bank wire and ACH, but debit/credit cards, Paypal, WebMoney, Neteller, and more.

    Cryptoassets are a highly volatile unregulated investment product.

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