#TradingTypes101

💡 What is cryptocurrency trading?

It is the act of buying and selling cryptocurrencies with the aim of making profits from price changes. There are various styles, each suited to different profiles and objectives.

Brief explanation of each

🟢 Scalping

• Very fast. You seek small profits in many trades.

• Risk: High, relies on speed and precision.

• Not suitable for beginners.

🔵 Day Trading

• You operate only within the same day.

• You do not leave trades open overnight.

• Requires discipline and emotional control.

🟠 Swing Trading

• You hold your positions for days or weeks.

• Based on market trends.

• Requires deeper analysis and less stress than day trading.

🟣 Position Trading / HODL

• You invest and hold for months or years.

• Based on fundamental analysis: you believe the price will rise in the long term.

• Very common among those who buy Bitcoin or Ethereum.

⚫ Arbitrage

• You take advantage of price differences between different exchanges.

• Example: BTC is at $30,000 on Binance and $30,300 on KuCoin.

• Requires speed, capital, and access to multiple platforms.

🟡 Copy Trading

• You automatically copy the trades of expert traders.

• Ideal for those who are starting and want to learn by watching.