Is Trading Crypto Profitable: What Are Profitable Crypto Trading Strategies?

FinanceFeeds Editorial Team

With cryptocurrencies entering the market at a rapid pace, interest in trading crypto assets keeps on rising

Even though there are numerous ways available to go about your trading, the unpredictability of the digital currency and its market, make it that much more complicated to choose the right strategy. However, knowledge is power, so the more you know, the better your chances at acquiring higher returns and profits through your investments.

We’ve gathered what we think are the most profitable crypto trading strategies that you should definitely consider to up your crypto trading experience.


Scalping is a fast-paced crypto trading strategy that depends on low rises in price movements for a potential profit from traders. The focus is put on small gains from price changes and short-term trading that needs to be repeated over and over again. Scalping works best for traders who are looking to establish a quick, daily strategy to make profit despite the volatility of cryptocurrencies.

DCA (Dollar Cost Averaging)

DCA has been a popular crypto trading strategy for both beginners and expert traders, because it doesn’t rely on indicators. It instead focuses on dividing your assets into smaller amounts for your investments, with the aim to alleviate the impact of market volatility and up your chances of making more than what you initially put in.

RSI (Relative Strength Index)

Relative Strength Index is a momentum indicator that calculates whether or not the price of a certain crypto asset is overbought or oversold, based on previous price fluctuations. It is calculated using a specific formula that can help you determine the market trends, and therefore when to engage your entry or exit.

News-based trading

As with everything nowadays, the buzz of media outlets can have a tremendous impact, even on the cryptocurrency markets. Depending on the global news coverage, you may see dramatic fluctuations in the prices of your cryptos, and with experience, you will learn to act accordingly on when and if you should go short or long on your investments.

All in all, one thing is clear: having a strategy before you begin your crypto trading is essential! Now, the kind of strategy you decide to commit to is simply a personal choice, depending on your financial goals, type of investment and based on the quantity of the profits you want to be making over a short or long period of time.

Risk Warning: Cryptocurrencies are highly volatile and trading can result in the loss of your invested funds. Before investing you should be aware that cryptocurrencies may not be suitable for all investors. You should therefore carefully consider whether trading or holding digital assets is suitable for you in light of your financial condition and not invest money that you cannot afford to lose.

Read this next

Digital Assets

As SPAC bubble bursts, Circle terminates its $9 billion merger with Concord

USDC stablecoin issuer, Circle has terminated its planned $9 billion SPAC merger with publicly traded blank-check company Concord Acquisition Corp.

Institutional FX

Integral reports lowest FX volume in two years

Foreign exchange trading volumes dropped in November across Integral’s trading platforms as currency markets saw a relatively quiet period after consecutive months of strong trading activity.


CDEX: Avelacom announces connectivity to Cboe Europe Derivatives

“We anticipate that many of our customers from Asia will be particularly interested in getting exposure to pan-European products via just one venue, which CEDX offers.”

Retail FX

BUX acquires Spanish Ninety Nine’s retail brokerage unit

“Thanks to this acquisition, Ninety Nine users will have access to a wide range of services provided by BUX, such as investing in Spanish, European and US stocks, ETFs, cryptocurrencies, fractional investing and the BUX Savings Plan.”

Digital Assets

SEBA and HashKey partner to expand crypto in Hong Kong and Switzerland

SEBA Bank AG has announced a new strategic partnership with HashKey Digital Asset Group as part of both firm’s expansion efforts in Hong Kong SAR. 

Executive Moves

Broadridge appoints Martin Koopman as Chief Product Officer

“Martin has a proven record of driving product innovation both at Broadridge and at previous companies. His vision and proven ability to execute will be invaluable as we become the foremost SaaS provider to the financial services industry.”

Digital Assets

DAM rolls out Moonwalkers v1 testnet ahead of support for yield-generating collateral

“We want to champion innovation by making it easier to securely direct stablecoin liquidity away from Ethereum towards newer networks without the constant vulnerabilities posed by bridges. d20 will help accelerate the adoption flywheel of emerging networks, and this is our first step towards making our omnichain promise a reality.”

Institutional FX

FIA EXPO: ICE’s Brian Norris talks ESG investment, carbon credits and market data

The FIA Futures & Options Expo, now in its 38th year, convened the listed derivatives dealers, thought industry leaders and other stakeholders for two days of networking.

Retail FX

Malaysia regulator exposes OctaFX clone, shady FB profiles

Malaysia’s financial regulator today warned online investors about the risks of following investment tips made on social-media platforms.