#TradingTypes101 $BTC #TradingTypes101 $BTC

### 1. **Scalping**

- **Goal:** Profit from tiny price changes (0.1-0.5%).

- **Holding Time:** Seconds to minutes.

- **BTC Fit:** Ideal for high volatility; requires quick execution.

- **Tools:** Order book depth, 1-minute charts, leverage (risky!).

### 2. **Day Trading**

- **Goal:** Capitalize on intraday swings (1-5%).

- **Holding Time:** Minutes to hours (no overnight positions).

- **BTC Fit:** Uses news (e.g., ETF approvals, regulations) and technical patterns.

- **Key:** Strict stop-losses to avoid volatility wipeouts.

### 3. **Swing Trading**

- **Goal:** Capture "swings" over days/weeks.

- **Holding Time:** 3 days to 2 weeks.

- **BTC Fit:** Trades trends (e.g., breakouts after consolidation). Relies on technicals (RSI, MACD) and on-chain data.

### 4. **Position Trading**

- **Goal:** Long-term gains based on fundamentals.

- **Holding Time:** Months/years ("HODLing" variant).

- **BTC Fit:** Focuses on adoption, halving cycles, macroeconomic trends (e.g., inflation). Minimal trading frequency.

### 5. **Algorithmic Trading**

- **Goal:** Automate strategies (arbitrage, trend-following).

- **BTC Fit:** Popular for 24/7 crypto markets; exploits inefficiencies across exchanges.

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### ⚠️ **Bitcoin-Specific Risks**

- **Extreme Volatility:** 10% daily moves are common.

- **Leverage Danger:** >20x leverage often leads to liquidation.

- **News Sensitivity:** Tweets, regulations, or hacks cause flash crashes.

- **Scams/FUD:** "Fear, Uncertainty, Doubt" campaigns manipulate prices.

### ✅ **Beginner Tips**

1. Start with spot trading (no leverage).

2. Use <5% of your portfolio per trade.

3. Backtest strategies on historical BTC data.

4. **DYOR:** Never follow "gurus" blindly.

Need clarification on a style? Ask for examples or strategy details! 📉🚀