The crypto market is constantly changing, so it is important to constantly learn and adapt to new conditions

Cryptocurrency is a form of decentralized currency and a fully digital asset. Essentially, it uses blockchain technology to generate code segments that, like serial numbers, are unique to each transaction. One cannot do without such an option as crypto exchange software. Each time a crypt changes hands, code segments are written into a decentralized ledger.

Cryptocurrency trading is the exchange of digital currency between traders. It is the fluctuations caused by supply and demand that allow traders to make profits. To make money, it is not necessary to start a cryptocurrency exchange business, it is enough to have a smart trading strategy. We learn about the important nuances of crypto trading.

Aspects of cryptocurrency trading

Cryptocurrency markets are open 24 hours a day, 7 days a week all year round. Traders have the ability to buy and sell without restrictions: crypto currency markets are not closed.

To trade crypto, you need to open an account with a crypto brokerage company. The next step is to choose a trading platform. After that, choose a crypto for investment and a strategy for trading. The last step is to store the cryptocurrency.

Safely keep crypto using a password manager (not without the help of crypto exchange software). It is the best way to store crypto-currency private keys, passwords and mnemonics. The password manager encrypts all data, making it a secure option for storing the information needed to access cryptocurrency without it falling into the wrong hands.

Of course, it is important to know which cryptocurrencies are currently the most sold in the world. These are the following virtual coins (market capitalization is shown in numbers):
  • XRP - more than $37 billion;
  • Ethereum - from $361 billion;
  • Tether - more than 79 billion dollars;
  • Binance Coin - from $68 billion.

And the undisputed leader today is Bitcoin (with a market capitalization of $846 billion). This pioneer cryptocurrency leads in all indicators).

About strategies

The crypto market is constantly changing, so it is important to constantly learn and adapt to new conditions. Follow industry news and events, learn about the crypto exchange business model and analytical techniques, use cryptocurrency trading software to improve your skills and results.

Having a well-thought-out and proven strategy when trading cryptocurrencies is very important for making a profit. Useful strategies will help you become a more successful trader. This is a plan of action that should be followed in the future to achieve the ultimate goal. Strategies help formulate long-term goals and ways to achieve them. However, it is always necessary to remember that crypto trading is associated with risk. Therefore, it is important to be ready for losses and to be able to manage your emotions.

Cryptocurrencies are quite an adventurous asset in the world of trading. There are also staggering losses that a trader can experience, and vice versa - huge profits. The latter will outweigh losses in the long run if you develop a trading strategy and style.

We choose a strategy

Trading strategies are used to quickly determine when to trade and when not to trade, which timeframes to focus on, how to enter and exit trades, which technical indicators to use, etc.

Of course, the tools used will depend on the chosen trading style. This is the first thing to do when learning crypto trading.

Trading styles typically use one or both types of analysis:

The first is based on the assumption that the history of price movements can help predict future market trends and global trends. It is a method of researching the cryptocurrency market by analyzing and interpreting historical price data. In market TA, there is no need to study fundamental factors (company and market news or economic indicators). Instead, technical analysts focus on price and certain patterns of chart movement.

Technical analysis helps to follow disciplined trading and overcome emotions, which is the main problem of traders. As soon as real deals are made, emotions immediately take the lead, and objectivity and reason take a back seat.

Fundamental analysis involves analyzing news related to cryptocurrencies, such as new developments using the technology behind cryptocurrencies, called blockchain.

Depending on the trader's tolerance for risk and his ultimate trading goals, one can choose the strategy that best suits his trading decisions. The profit from cryptotrading consists in correctly predicting price fluctuations in the market.

Trading strategies: optimal options

The best smart trading strategies are based on many years of investment experience in the crypto market. But in the first year of trading, the optimal option for novice traders will be to use the strategy of gradual, step-by-step immersion in the stock market. Step-by-step entry is optimal if the goal of entering the stock market is not emotions and impressions, but money.

Among the key points of trading, it is worth noting the day trading strategy of cryptocurrency. It involves entry and exit from a market position during the same day.

If you are more interested in regular, stable daily profits from crypto trading, then auto trading may be suitable. Let's consider the strategies in more detail.

Automated trading

There are many robots in the crypto market for trading digital currency. They are able to analyze the market 24/7, looking for the best trading opportunities.

You can also include smart trading orders: this will further increase the efficiency of trading, help to easily invest in the crypto market. Of course, in order to conduct automatic cryptotrading, you need certain programming skills, the ability to use cryptoexchange software.

Crypto day trading

The name (alternatively “intraday trading”) reflects the fact that trades usually open and close on the same day.

This type of crypto trading in the relevant market is particularly profitable, since digital coins are quite volatile. A trader should have a proper cryptocurrency intraday trading strategy and an understanding of technical and fundamental analysis. Because this strategy is beyond simple assumptions.

Many traders follow fundamental news, other updates related to developers. The latter, in turn, can affect the prices of digital assets (especially in the short term).

Intraday traders rely on technical analysis to build the right trading ideas, using volume, price action, graphic patterns, and other indicators to determine entry and exit opportunities when making investment decisions.

HODL strategy

It is used by many traders every day. The main feature of HODL is the following: all a trader needs to do is simply buy a digital currency, without setting either a stop-loss or a take-profit.

Most traders who engage in this strategy invest when the price of the crypto is quite low. They make a profit as soon as the price goes up sharply. With such a strategy, both opportunities and risks are simply limitless: you can lose everything or make a huge profit. It is very important for traders to have a special mood with HOLD.


Strategies are good, have their advantages and disadvantages. For best results, it is optimal to use all once the trader has gained enough experience.