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Author: Admin | 2025-04-27
A demo account first so that you can get to grips with the markets before using your own money.To place a bitcoin trade, you’ll need to download trading software from your broker. Then you’ll need to configure the platform for trading bitcoin. This means choosing the correct currency pairs and setting up the graphs. Usually, once you choose the currency pair, the graph will show up immediately. The most common pair is bitcoin to USD, so you may want to start with that.Before you place a trade, you should also set up “Stop Loss” and “Take Profit” orders. These orders will help you avoid any unnecessary losses if the trade moves against you. These orders are also useful if you have to leave your device and are unable to watch the prices.Bitcoin trading strategiesBefore diving into bitcoin trading, you must understand the four main strategies that people use. This allows you to choose one that suits your trading needs and style. Below, our experts have explained all four popular bitcoin trading strategies in more detail.Swing tradingSwing trading is very similar to investing, as a trader keeps his or her position open for more than one trading session. This means having the trade open for a few days, weeks or even months. This strategy is perfect if you don’t have much time to keep watching the markets and making regular adjustments.Day tradingDay trading is, as its name suggests, a strategy where trades aren’t held for longer than a day. Usually, day traders hold positions for a few minutes up to an hour. Given the volatility of bitcoin, it is a useful strategy, as it allows you to take advantage of quick price movements.ScalpingScalping is an amplified version of day trading. Scalpers usually open and close trades in a matter of seconds. The longest scalping trade you’ll see will last for a minute or so. Again, this can be a beneficial trading strategy as bitcoin is incredibly volatile.Automated tradingAutomated trading is also quite self-explanatory. If your bitcoin brokerage provides or supports AI software, you can simply say how much you are ready to dedicate and what profits you are looking for on which cryptos. The AI then starts trading on your behalf, mostly using the scalping strategy.Whilst these are the four most commonly used bitcoin trading strategies, there’s plenty more to learn. The advantage of bitcoin trading is that you can try different strategies to find one that works for you. In contrast, investors have to just buy their assets and wait for them to grow in price.Customizing your strategy is always going to lead to more successful trades. We recommend learning more about cryptocurrency trading strategies before placing your first trades.What
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