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Top Crypto Investing Strategies To Consider

Cryptocurrency trading means buying or selling cryptos to earn a profit. A cryptocurrency trading strategy defines a set of rules for buying or selling these digital assets in the highly volatile crypto market. Here, we’ll discuss some of the trending cryptocurrency trading strategies-

Day trading

The goal of day trading in cryptocurrencies is to enter and exit a position in the market on the same day within trading hours. Since trades often begin and end on the same day, it is sometimes referred to as intraday trading. Does this mean that you can day trade bitcoin? Yes!

The purpose of day trading cryptocurrency is to make profits from tiny markets. In fact, day trading in the market could be quite profitable. Day traders develop trading strategies using technical analysis. However, it is a time-consuming and risky method that only skilled traders can do.

Crypto futures trading

This strategy involves a contract agreement between two parties for buying or selling a specific amount of cryptocurrency like bitcoin. Just make sure to buy Polygon Canada or other cryptocurrencies from legit sources. Future trading strategies provide access to a variety of cryptocurrencies, and you don’t have to own any of them. 

Buy and hold (HODL) trading

The term “HODLing” refers to the practice of purchasing cryptocurrencies and holding them for an extended period of time. It is a misspelling of the term “holding.” This makes it possible for investors to gain from a rise in the asset’s value. So, how can you make a profit with the HODL strategy?

When making a long-term investment, HODLing enables investors to profit from long-term value growth. The HODL approach offers advantages to investors since it allows them to avoid short-term volatility and the danger of selling low and buying high. However, with this strategy it’s imperative you find a safe place for your private keys so you can rest easy with your bitcoin security. There are many wallets on the market including multisig wallets which allow you to store your keys both on hardware and software.

High frequency trading

HFT strategy requires the development of trading bots and algorithms to facilitate crypto trading. Such bots require a sophisticated understanding of complex market principles and a firm grounding in mathematics and computer science in order to be designed. It is, therefore, more suited to seasoned traders than to beginners.

Dollar-cost averaging

The DCA technique enables traders to profit from market advances without putting their assets at risk by investing a predetermined sum of money at regular intervals but in modest increments.

In the dollar-cost averaging approach, simply decide on a specific sum of money to invest in your favorite cryptocurrency over a predetermined period of time. Then, you continue investing until you reach your objective, independent of market fluctuations.


Scalp traders benefit by taking advantage of market inefficiencies. But in order to turn a profit, the scalping trading strategy calls for increasing trade volume. Before choosing an entry or departure point within a day, scalpers consider past trends and volume levels.

Despite the risk, an experienced trader is mindful of the margin requirement and other important guidelines to prevent a negative trading experience. Because it is quite clear when to join or exit the market, scalp traders favor extremely liquid markets. This approach is typically used by whales or huge traders to trade large positions.

These are just some of the many trending crypto trading strategies. And there is no right or wrong way of trading cryptocurrencies. Whatever the method you choose, just focus on financial as well as investment objectives. Also, be cautious of the assets you want to add to your crypto investment portfolio, along with the level of risk involved.