CEXs are usually far simpler to use, and if you’re looking to invest (rather than trade) employing the DCA or HODL strategies, a proper centralized exchange will provide you with all of the user-friendliness that you’d need, in order to do so fast and easy. Well, while there are many viable options (you can find all of them on our list of the best exchanges), the ones that will offer the most beginner-friendliness, as well as feature variety, are going to be Binance, Kraken, and KuCoin. That being said… Which exchange should you pick?

In order to spot these differences in prices, on different exchanges, you’ll need to spend a huge amount of time in the market, constantly checking and re-checking the differences. To be a successful arbitrage trader, you’d have to be able to react very fast to any and all news – https://www.pipihosa.com/2023/11/10/celsius-bankruptcy-reorganization-plan-approved-by-court-implementation-by-early-2024/ – that might affect the market, as well as be able to predict the potential effects of that news on the prices of your asset, on different exchanges. On top of that, you do also need to have a huge amount of general knowledge in regards to crypto trading, and the industry in general.

Subscribe – We publish new crypto explainer videos every week! That being said, it’s still a popular enough concept to be talked about, nonetheless. Scalping is an interesting concept, since it’s actually often considered to be one of the crypto day trading strategies, instead of being a standalone strategy in itself. If you’ve read the entire article up to this point, and have decided that crypto trading strategies such as day trading aren’t really for you, and you’re more of a DCA person, chances are that scalping won’t really float your boat, either.

Minimize market volatility. The philosophy behind it is simple – if you believe that the asset that you’re accumulating will grow in price, in the long run, short-term price swings are irrelevant. So, while it would make sense for you to purchase more BTC when it costs $16,000, and not buy at all when it reaches $50,000, this wouldn’t be a DCA method of investing – instead, you’d simply be gambling your money, hoping that you’ve “bought at the right time”.