Cryptocurrency scalping, strategy and best cryptocurrencies for scalping
The scalping trading strategy involves profiting from short-term trades held for no more than a few minutes.
The key factors determining the feasibility of this strategy are high liquidity, leverage, and the ability to quickly open and close positions.
This is why cryptocurrency scalping is most effective when using a trading platform.
This software allows you to open and close trades with a single click, with a preset volume, and also offers the ability to automate the process.
Another advantage of using a trading platform is that it allows you to use leverage provided by your broker.
In just a few minutes, an asset can appreciate by a couple of percent, and with leverage, that couple of percent can turn into 20%.
But this is all just theory. How can you put it into practice to your advantage?
Best Cryptocurrencies for Scalping
Like any trader, I have my own cryptocurrency trading strategy. It consists of two parts and doesn't much resemble traditional exchange trading. However, it does generate a decent profit.
The cryptocurrencies I use for scalping are Bitcoin, Ether, Litecoin, Ripple, and Stellar.
Why did I choose these specific cryptocurrency pairs for scalping? It's quite simple: these are the pairs available in the Revolut app on my phone:
The essence of the strategy is that when the prices of these assets reach their minimum, I buy and wait for the price to rise.
As soon as the price starts to rise rapidly, I open leveraged trades on the chosen asset in the trading platform and catch the uptrend. Each trade typically lasts no more than 10-15 minutes, after which I close and buy again on the rise.
Overall, there's nothing complicated about cryptocurrency scalping; the main thing is to determine the size of the correction over your chosen timeframe.
Yes, trading isn't regular, but I don't want to sit in front of a screen all the time. However, at favorable moments, I can make up to 1000% profit.
The current situation, along with the situation with Ripple and Stellar, is a good example. The altcoins I'd previously purchased began to rapidly appreciate in mid-November. After that, I started opening trades on the trading platform using leverage:
At the moment, the profit from mobile trading alone has reached over 250%, and I won't even mention cryptocurrency scalping using the trading platform.
At such times, you can scalp in both directions, following the trend and the correction; counter-trend trading is riskier and requires caution, but it's still possible.
Don't rely solely on the options I've mentioned; it's best to choose assets that are at their minimum or maximum, where a reversal has occurred and a new trend has begun. For example, the price of Ripple has already begun to fall rapidly.
Of course, cryptocurrency scalping is also possible using a simpler approach; all you need to do is have an account with one of the brokers - https://time-forex.com/kriptovaluty/brokery-kriptovalut
Additional information on registering and using the trader's trading platform can be found here - https://time-forex.com/azbuka
If you want to fully automate your trading, use an advisor - https://time-forex.com/sovetniki/st-bitcoin
