Top 5 Crypto Trading Strategies That Are Effective in 2022!

Top 5 Crypto Trading Strategies That Are Effective in 2022!

To be completely honest, learning the characteristics of cryptocurrency might turn out to be harder than learning a new language. Though it's slightly difficult at the early stages, once you get the hang of it, things will turn comparably easier than before.

Crypto trading is filled with risks and hazards, similar to stocks and commodities trading.

To ensure profit, market experts developed as well as still developing certain strategies that are making trading safe and exciting from some time. 


A Basic Overview

Cryptocurrency, sometimes named crypto, is any form of currency that lives virtually and operates via cryptography to assure transactions. 

Cryptocurrencies don't have a central issuing or restraining authority, it uses a decentralized technique to register transactions and issue new units. 

Cryptocurrency trading strategies provide the same direction and structure that have been utilized over the years across economic markets. 

Crypto Trading Strategies

Let's start with The Top 5 Crypto Trading Strategies that will help traders to achieve their desirable investment returns.


  1. Day Trading Strategy

Day trading is a short-term trading technique where the trader purchases the cryptocurrencies and sells them on the same trading day.

Day trading is also known as “intraday trading.” The Day traders try to use intraday trading strategies to profit from the price movements of a specific asset or economic instrument.


  1. Range Trading Strategy

In a range trading strategy, the trader assumes that prices tend to move within a bound of a particular range limit.

Market participants also count on professional analysts, who convey support and resistance levels each day.

Traders can buy when prices get a support level and sell when prices get a counteraction level. 


  1. Scalping Strategy

The scalping strategy is one of the most popular trading strategies to make a short-term profit. 

Scalping requires the trader to invest small amounts in trading but to trade frequently that typically can last anywhere from a few seconds to a few minutes. 

And by repeating the process, traders can take benefit of small price evolutions in markets. 


  1. High-Frequency Trading or Bot Trading Strategy

The high-frequency trading strategy uses algorithms and bots to accomplish trading. High-frequency trading gives the sharpness needed to detect shorter price moves.

It's a typically automated version of scalping strategy. The bots can frequently complete small trades for profit quicker than by humans manually.

It can take a while to locate the perfect strategy, but luckily Quadency effortlessly configures the bots for high-frequency trading.


  1. Dollar-Cost Averaging (DCA) Strategy

It is almost impossible to find the perfect entry & exit point in the crypto market. 

In that case, following Dollar-Cost Averaging (DCA) Strategy is comparatively a better option to invest in cryptocurrency.

Dollar-Cost Averaging (DCA) refers to investing a specified amount at a regular gap. This strategy helps traders with the unmanageable job of timing the markets and creating capital in the long term.

Yet, the exit strategy of Dollar-Cost Averaging can also be tricky. It requires analysis of the market movement & understanding of the market process.

Besides these strategies, there are many more strategies adopted in crypto trading.

Such as:  

  • Build balanced portfolio Strategy
  • Primary Research Strategy
  • Avoid making trading calls based on hype Strategy
  • Arbitrage Strategy
  • Betting on Bitcoin Volatility Strategy


All of the strategies work differently, so you have to find the one that works most suitable for your purposes.

Wishing you a profitable trading career ahead.

Good Luck!


Featured Brokers