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Crypto Trading Strategies: Comprehensive guide

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Trading cryptocurrencies involves a high degree of risk. The content on this page is meant for informational purposes only and can, in no way be solicited as advice to buy/sell a certain cryptocurrency or trade on a particular exchange. By viewing this page, you are agreeing that we cannot be held liable for any losses you may incur as the result of taking actions after reading this post. We may receive a commission if you use some of the links on this page.

A comprehensive guide to the BEST Crypto Trading Strategies

What are Crypto Trading Strategies?

Crypto trading strategies are different methods which traders use to trade the crypto market. There are a varied range of strategies for all traders from beginners to advanced. Crypto trading strategies are not limited to this list, there are 1000s of unique strategies which people have developed themselves.

Scalping – Crypto Trading Strategy

Scalping is one of the most popular crypto trading strategies due to the fact you can get very quick results.

The scalping strategy involves lots of small, frequent trades for small profits and works on the theory of compounding these profits to increase ones balance over time.

Scalping strategy statistics

Average time frame: 1 hour

Average percentage profit: +2.5%

Average accuracy rate: 71%

Benefits: Low risk, fast way of accumulating profit

Disadvantages: Time consuming, only works with very liquid markets

Swing trading – Crypto Trading Strategy

Swing trading is a very relevant trading strategy in crypto since it fits the appropriate duration of trade, assets in the crypto markets can move very well over a period of just a few weeks which makes this crypto trading strategy ideal for profiting in the markets.

The swing trading strategy involves buying a cryptocurrency and selling it within a month roughly. These trades are usually make on technical or fundamental factors.

Swing trading strategy statistics

Average time frame: 1 week

Average percentage profit: +78%

Average accuracy rate: 79%

Benefits: Less time consuming, high profit potential, low fees

Disadvantages: Increased risk, news can destroy trade

Fundamental trading – Crypto Trading Strategy

The Fundamental trading strategy is another popular crypto trading strategy used by many crypto traders all over the world.

It involves studying the fundamentals of lots of cryptocurrencies to find the strongest ones with the highest probability of providing profit.

There are many different factors involved in this strategy and can be more complex than the strategies above.

These factors include:

  • Tokenomics
  • Team
  • Advisors
  • Market-fit
  • Target industry
  • Partners
  • Roadmap

Here at Blockduo, we take this work-load away and study the fundamentals of cryptocurrencies to provide you with detailed research reports with all of this information.

Start your 7-day FREE trial and gain access to our research reports today.

Fundamental trading strategy statistics

Average time frame: 10 months

Average percentage profit: +850%

Average accuracy rate: 63%

Benefits: High profit potential, less stressful & less time consuming

Disadvantages: Trades usually take long periods of time, there is sometimes higher risk involved as a result of potential low volume and/or interest

How to use Crypto Trading Strategies

Crypto trading strategies are useful for trading the crypto markets profitably, they are used for creating signals which we do at Blockduo in our LIVE crypto trading room.

Short-Term Crypto Trading Strategies

Scalping and day trading are the main short-term crypto trading strategies, trades can be anywhere from minutes up to a day long.

Long-Term Crypto Trading Strategies

Swing trading and fundamental trading are 2 popular long-term crypto trading strategies. Trades can be anywhere from a few weeks to a year.

Alex is the founder of Blockduo. He is a keen cryptocurrency enthusiast located in the UK. Get in touch directly with Alex by sending an email to hello@blockduo.com.

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