How to trade crypto. 28 articles

Learn what the volume of trading can tell you about crypto price. Find out about some of the popular volume based technical indicators.

Understand what Technical Analysis means & learn about some of the most common Technical Indicators.

Understand the difference between Leading & Lagging indicators, what they tell you & common examples of each.

Understand the common types of active trading strategy. Learn how to structure a potential trade.

This article explains the meaning of long and short positions in crypto trading, their benefits and risks as well as potential tax obligations that may arise.

Similar to the traditional stock market, the value of a certain cryptocurrency depends on the current supply and demand. There are three main types of cryptocurrency analysis: technical analysis, fundamental analysis and on-chain analysis.

Over-the-Counter (OTC) desks refer to platforms within traditional financial markets where institutions or individual traders can trade directly. OTC trading provides liquidity and enables the execution of large trades. Crypto OTC trading markets are professional platforms that deal directly with crypto buyers and sellers. There are two types of crypto OTC desks - principal and agency desks.

Atomic swaps refer to the process of exchanging one cryptocurrency for another one without the need for an intermediary. They are also known as cross-chain swaps or atomic cross-chain trading. Atomic swaps provide a greater level of decentralisation to crypto exchanges by removing centralised control.

A One-Cancels-the-Other (OCO) order can be defined as a pair of conditional orders stating that if one order executes, the other shall be automatically cancelled. Traders typically use OCO orders to mitigate risks concerning volatile assets that trade over a wide range of prices.

Trading crypto futures, such as Bitcoin and Ether futures, involves entering into agreements to buy or sell these underlying assets at a predetermined price and date. Crypto futures trading has gained significant popularity since investors are finding new ways to gain profits on the evolving crypto market.

The key difference between inflationary and deflationary token models lies in their supply and utility. Inflationary assets are used for everyday transactions while deflationary assets attract long-term investors. Inflationary and deflationary assets both influence the dynamics of market liquidity and include their unique sets of upper-hands and drawbacks.

Similar to its traditional wash trading, crypto wash trading happens when a trader sells and then immediately buys the same crypto asset. It represents a type of market manipulation that has the potential to artificially pump prices and mislead investors into believing that the market liquidity of a crypto asset is bigger than it is in reality.

Forex and crypto trading both bring to the table different advantages and risks. Forex trading refers to the trading activities of divergent fiat currencies on the foreign exchange market while crypto trading refers to the buying and selling of cryptocurrencies such as Bitcoin and Ethereum on the crypto market based on blockchain technology.

A crypto index fund refers to a financial instrument that invests in crypto assets that are listed in a crypto index. The performance of a cryptocurrency index fund mirrors the performance of the crypto index. A crypto index fund equips investors with a diversified portfolio of crypto assets which aids in mitigating risks and balancing the performance of the fund itself.

A dead cat bounce is a term that stems from traditional finance and refers to a price chart pattern; it presents the financial activity of a certain asset that goes through a brief price recovery following a long downward trend. The bounceback of the asset in question is again followed by a return to the downward trend. Within the crypto ecosystem, a dead cat bounce can happen when the market is, for example, entering the bear phase.

Bull flag patterns refer to technical chart patterns used by traders to signal when the market is likely to rally further. They typically appear when prices go through a short-term corrective phase followed by a broader uptrend which indicates that the asset’s price is likely to rise in price.

Learn how to read crypto price charts & interpret common patterns.

Understand what trading with leverage means & why it should only be considered by experienced traders.

High Frequency Trading (HFT) refers to a trading method that uses computer programs to conduct a broad number of orders in just fractions of seconds. HFT emerged from traditional finance and made its way into the crypto market due to technological advancements and price fluctuations.