The cryptocurrency trading market is evolving every day, and more and more developments in it are taking place. Along with this development, what is also increasing is the number of investors in the market. Although we cannot ignore the vast spread of the market, the fact that the digital cash used for the transactions, also known as bitcoin, is very volatile, and Bitcoin has been the source of concern ever since it began. Amidst all the debates of its safety and security, let us look at some of the strategies for the new investors in this market:
Here, you are required to buy a crypto-currency that you think will grow significantly in the time to come. This time can range from weeks or months to years or even longer.
- Swing Trading
To benefit using this strategy, you need to have the basic knowledge of analyzing the market. There are a huge rise and fall in the market at times, and this is known as swing. The purpose of this strategy is to make the most profit out of the swing in the market.
- Day Trading
Day trading is the kind of trading that requires you to be totally invested in the market throughout the day. You are required to keep an eye on the rise and fall in the market and then make your bet.
- RSI Trading Strategy
RSI stands for the Relative Strength Index, and it measures the speed and change of price movements. By keeping an eye on this, the beginners can know the over-bought and over-sold markets and make decisions accordingly.
This one is the fastest and, at the same time, the riskiest trading strategy by far. There are micro fluctuations that happen in the price of the coin over short frames of time. This strategy works by capitalizing on these micro fluctuations. This very effective but requires focus and concentration.