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What are the best digital currency and the best exchanges for volatility?
Swing is a short-term trading strategy designed to take advantage of short-term fluctuations in the price of an asset. Swing trading is not day trading. In fact, swing traders can hold an asset for a longer period of time. In most cases, a trader finds a position if the price of a crypto asset fluctuates by a certain percentage.
They should have a history of high trading volume to ensure that there is enough liquidity in the market to fill orders.
You also want an asset that tends to fluctuate a lot so that there are more opportunities to enter the trade.
Volatility trading crypto assets should also become mainstream with fairly good press coverage every day
What is oscillation and what are its elements?
As with everything in the crypto space, there is no one-size-fits-all solution. And so it’s almost impossible to say whether a particular cryptocurrency is best for swing trading. Finally, there are several reasons why a trader might modify a trade with a number of additional variables. The simple fact is that some coins may be better suited than others for these reasons, which obviously vary.
Well, if you want to swing digital currencies, there are many exchanges to buy and sell. But the following are very ideal.
Binance is the best crypto exchange for swing trading the most common cash market because it has great trading volume and low fees.
KoCoin is the best cryptocurrency exchange for volatility trading altcoins because they have low fees and large liquid markets.
Bybit is the best cryptocurrency exchange for leveraged trading because they have a low capitalization rate.
Gate io is the best rare altcoin exchange because most of the listed cryptocurrencies are listed on cash markets but they don’t have the lowest fees.
Is Bitcoin the best option for volatility?
Bitcoin is the best digital currency for swing trading strategy. However, it is possible to trade Ethereum and smaller altcoins. Remember, the smaller the altcoin, the higher the risk in general.
Dogecoin (DOGE) is a meme coin that has been traded in most exchanges for the past few years. It is largely a speculative asset that has managed to rank among the top 15 cryptocurrency assets by market capitalization.
Dogecoin receives a lot of press coverage, so if something happens with the token, you will know quickly. Also, it is prone to extreme swings in price action, which is a great feature for swing trading.
Ethereum (ETH) is not as volatile as Dogecoin. But it’s still a very volatile asset, especially if you plan to hold it for a month or more.
Additionally, as the second largest cryptocurrency by market cap, Ethereum gets all the press coverage you need. The only downside of Ethereum is that it is expensive to trade. But despite that, it can provide great opportunities for your swing strategy
The benefits of swing
Time: Day trading takes time and time is the most valuable asset. Swing trading, on the other hand, doesn’t require you to spend hours on your screen. Because buy positions last more than a day.
Stress: You know how deadly stress is. And day trading is a stressful job. By entering a position and creating a stop loss order, swing trading allows you to focus on other important things in life.
Simplicity: Instead of spending time on fundamental analysis and establishing intrinsic value, technical analysis indicators allow you to focus entirely on price and volume.
Agility: Unlike position trading where you commit to longer time periods, swing trading allows a fleet of foot traders to buy or sell at small profits or small losses to optimize their strategy at any given time.
High risk during shutdown: Traders have to deal with overnight and weekend market risks.
Sudden changes: In general, due to their inherently volatile nature, cryptocurrencies need to be constantly monitored in order to follow trends or avoid sudden market changes, which in turn can lead to unexpected losses.
Missed opportunities: It’s good to make short-term moves. But short-term market movements can sometimes mean that volatility traders miss out on long-term opportunities.
There are many benefits to swing trading that make it a popular trading strategy for traders of all levels
For example, unlike day trading, you don’t have to be glued to your computer all day watching positions and price movements. One negative effect is that you will have a lower stress level as a trader. And since swing trading occupies the middle ground, you Matt
However, swing traders share a set of common characteristics. They know the markets inside out. They take care of stop loss. And they don’t overcomplicate things.
If you decide to add swing trading to your trading strategy, always remember the golden rules. Never risk more than you can afford and always go in with research and thought. To know the prices and fluctuations of the market, see the digital currency prices.
