Bitcoin is undoubtedly the market leader and the hottest in the cryptocurrency world. It has been more than 10 years now since the inception of Bitcoin, BTC for short, and no other cryptocurrency has been able to overtake its market position or trade volumes. Dash, Ripple, Monero, Litecoin etc. are also doing good, but nowhere close to Bitcoin. This gives Bitcoin an edge; almost all the magnates of the crypto world are always interested in knowing about the latest and the best Bitcoin trading strategies.
Best Bitcoin Trading Strategies
Bitcoin trading strategies keep on changing from time to time, depending upon the financial dynamics and the market scenario at a given point of time. That is why small and large investors sometimes appoint service consultants like execuitum.com to keep them updated. However, the generic Bitcoin trading strategies remain the same, and it is good to know these before entering some sort of cryptocurrency trade related to Bitcoin.
1. The Exchange Matters: When it is Bitcoin trading, the faster the transactions, the more you benefit. Also many parameters, like the transaction fee, the funding methods accepted, liquidity, exchange fees etc. depending upon the exchange which can make or break your profits. Therefore choose among the popular exchanges like GDAX, Binance, Bitmex, Bittrex etc. and if you want all these at a single podium, then go for executium.com
2. Use Trading Signals: When it comes to Bitcoin trading strategies, we must first accept that Bitcoin is highly volatile in nature, and like any other stock, the prices fluctuate 24X7. So it is better to use some kind of reputable trading signals (like the ones here) so as to not to miss the opportunities for trading.
3. Use VWAP and Bots: It is great if the investor can make use of VWAP ratios and Bots for automatic day trading. In case you want to make the final decisions, you can keep that power in your hands, but these ratios and the algortihms make the task of Bitcoin trading much easier and smoother.
4. Use Stop Losses: As a beginner to Bitcoin trading, strategy can be to set stop loss orders on every trade. A ratio of 2:1 for profit loss is good.
5. Bitcoin News: Always look forward and be vigilant for the latest Bitcoin news and notifications, and also for other cryptocurrencies as these are all interrelated and impact each other. You can stay ahead in the trade if you can speculate the market in advance.
6. Minimize impulsive or emotional decisions: This is especially true for seasoned investors, who start operating by intuition and gut feelings. Always remind yourself that a clear strategy and strong base must back your Bitcoin trading decision.
There are a number of Bitcoin Trading Strategies besides the above. Bitcoin trading strategies must be made according to your own goals, the investment limits, the payout ratio expected and many other factors. It is usually difficult for an investor to decide on the strategy and to focus on the market at the same time. Also some advanced strategies involve advanced statistics. Companies like executium.com are doing great work in this field, in helping clients with impactful Bitcoin trading strategies.