Do You Know About The Word Scalping??
š„Scalping in Crypto Trading:
Scalping is a short-term trading strategy where traders aim to profit from small price movements by executing a large number of quick trades within minutes or even seconds. The goal is to accumulate small gains that add up over time, rather than holding positions for long periods.
š„Key Features of Scalping:
1. Short Holding Period: Trades last from a few seconds to a few minutes.
2. High Frequency: Scalpers place dozens of trades in a single day.
3. Small Profit per Trade: Gains are typically tiny but repeated frequently.
4. Relies on Liquidity: Works best in highly liquid markets (e.g., BTC, ETH) to enter and exit quickly.
Ā ā ļøRisks of Scalping:
1. Stress & Focus Needed.
2. Requires constant screen time and quick decisions.
Scalping is popular in crypto due to its 24/7 markets and high volatility, but it demands discipline, a reliable strategy, and low trading fees to be profitable.