Is daily profit on the crypto exchange – real?


In the crypto market, the ability to make daily profits is realized using one rather old strategy. Thanks to her, traders are able to receive income in a short time period. The strategy originated in the last century, in the traditional market, after which it migrated to Forex, and now it has reached the cryptocurrency sector. As many might have guessed, we will talk about scalping. In this article, we will tell you what this strategy is, how you can use it and whether it is worth spending time on it at all.

Definition

In order to define scalping, you need to understand how the strategy works. Every day, asset price quotes tend to fluctuate by a percentage. This is used by the trader, trying to close the order in a short time, but with a small profit. For the success of this strategy, the trader makes a forecast for a short time period. If the asset has a growth potential, it will still take profit. As with any type of trading, not always a deal can bring income. If the price moves in the wrong direction, where the trader expected, the position will have to be closed immediately. This is done to minimize risks and free up the deposit, which will be needed to open new transactions.

How and when is scalping used?

The strategy works well in the following cases:

  • Small exchange commission. Cryptocurrency exchanges charge an average of 0.2% on transactions. Therefore, when closing a position, you should understand that the profit exceeded the margin.
  • Asset liquidity. If the asset has a high trading volume, then you can count on an instant exchange.
  • Understanding technical analysis. To make a successful short-term price prediction, you need to understand how technical analysis works.

It can take a beginner several months to learn scalping. During training, you can use a demo account on the trading platform. Such an account will help hone your skills and you will not risk real money.

What profit can be expected using the strategy

Due to the high frequency of transactions, a trader can make a lot of transactions per day, thereby promoting and increasing the deposit. Here’s an example:

In one working day, you make about 30 transactions with a profit of 1% and 20 unprofitable transactions also at 1%. The capital gain will thus be 10%. This means that if you initially had $ 100 on your deposit, then by the evening you will earn $ 10 on top.

Which digital asset is best suited for scalping

Which cryptocurrency to choose depends on you. You need to proceed from a ready-made strategy and the risks that you are ready to take. For example, bitcoin. If you take the first cryptocurrency, then its value will be more stable than that of other crypto assets. Therefore, the risk of losing a significant amount of funds will be lower. Altcoins are suitable for aggressive trading due to their strong volatility. Here you need to understand that income can be more significant, just like a loss.

Types of scalping

What kind of approach to choose when resorting to this strategy, the trader decides for himself. It all depends on the preferred strategy. However, there are several common types of scalping, we will talk about them below.

Intuitive

From the name it is clear that here the trader uses the minimum number of trading instruments and indicators, and relies more on intuition and experience. Over time, every trader who has been watching the price of an asset for a long time can begin to predict where the price will go next. In the cryptocurrency market, price corrections are common. For example, if the price of an asset has sharply decreased by 30%, then there is a high probability that it will fall back by 5 percent. This is what the trader uses.

Indicators

Cryptocurrency platforms allow users to use trading indicators that can be used to decorate any chart. With their help, the price forecast is made more accurate, provided that the trader knows how to use them.

Exchange

This option is based solely on the Depth of Market. Exchange scalping is suitable for large trading platforms with high liquidity:

  1. A volatile pair is selected;
  2. The analysis of the movement of the course based on the depth (Depth);
  3. An order is placed.

Auto

To find a good entry point, traders spend from ten minutes to several hours. The longer you look for a good moment, the lower the trading efficiency will be, since time passes, but there is no profit. Due to the fact that simple indicators are often used for this strategy, trading bots have appeared on the exchange. They help to conduct trading in an automatic mode, while the trader can do other things at this time. This type is different in that you can save a lot of time and study the market while trading is going on for you. RevenueBot will help you implement this type of scalping. The service provides the opportunity to create trading bots on the largest cryptocurrency exchanges: Binance, Bittrex, Bitfinex, Exmo and others. Creating a bot is free of charge, the service will not take commissions until the client begins to make a profit from trading the bot. With the help of deep settings of the bot, the service’s clients implement trading strategies that are problematic to experience in normal trading. We will immediately indicate: the bot does not have access to customer funds on the exchange, but trades using API keys, that is, the account will remain out of access. RevenueBot has over 28 thousand customers who earn money thanks to trading bots.

Why should I choose this service?

  • Pay the commission only after making a profit.
  • The bot settings open up a variety of ways to make a profit.
  • Inside RevenueBot, a marketplace is implemented where customers can buy a ready-made bot so as not to bother creating their own, or sell their own if the configuration has shown efficiency. Also, the services of a mentor (an experienced customer of the service) are purchased on the marketplace, who is ready to answer the questions of newcomers. Over time, you can become a mentor yourself, getting additional profit for this.
  • Regular updates of the service’s features that optimize the trading process.
  • The presence of the RevenueBot referral program allows you to earn money on trading, even without resorting to trading. Attract new customers for the service and get up to 30% of the profit they receive every month (but not more than 15 USD).

This is a small list of the advantages of the service. You can continue to list the positive qualities of RevenueBot, but why do this if you can go to the official website of the service and see for yourself everything? It is highly recommended to make decisions faster, because the crypto market does not stand still, but grows at exorbitant steps. Who knows how much profit is missed by someone who does not dare to come and start trading with RevenueBot.

Conclusion

A scalping strategy can bring you profit in a short time, but not much. However, it all depends on the amount you are going to trade with, as capital gains can be added to the benefits exponentially. It is also worth remembering that when working with this strategy, you will have to devote almost the whole day to it in order to earn something.

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