While many among us have varying opinions on which cryptos are best for day trading. Even though they can be the most volatile instruments to trade, since you’re entering the market simply to capitalize on that short term volatility, there’s still a ton of money to make as a day trader.
IF you’re using the right exchange and trading the right cryptocurrency.
When it comes to trading cryptocurrency, not all exchanges have good liquidity, even for well known cryptocurrencies. It’s critical that you select changes to trade on that have fast execution speeds and coins with good volume. Some of the exchanges to day trade coins that you may want to check out are: Binance, GDAX, Coinbase Pro, Bitfinex, Kraken, Bitstamp, and Bittrex.
Let’s take a look at a few of the currencies you may want to consider for day trading.
Often referred to as the “Chinese Ethereum,” NEO’s price doesn’t always follow that of Bitcoin so closely, unlike many other popular cryptos. This non-trend type behavior makes NEO an interesting currency to day trade and you can purchase it on several of the popular exchanges mentioned above.
Having risen in popularity extremely fast, EOS was able to raise billions of dollars before even launching a live product. EOS is priced right with lots of volatility just waiting to be taken advantage of and is another great prospect for your day trading adventures.
Binance Coin (BNB)
Binance Coin, the token of Binance Exchange, experienced a drop last year right alongside most other altcoins but skilled day traders have still been able to successfully ride the wave. The past week or so saw another significant dip, taking it down to around $10, but with plenty of movement on an almost consistent basis, this may be one you want to play with.
Ethereum is currently still the second biggest crypto available, but since you can short sell it on the Kraken exchange, savvy day traders can make money on it when the price is down as well as when it’s on the rise.
Created from a hard fork of the original Ethereum blockchain above, Ethereum Classic is one that can be a fairly decent day trade. Classic is appealing to many new to day trading simply because it’s not as volatile as some of the other altcoins.
When it comes to day trading, volatility is your friend and of course the market has definitely been ripe with it lately. As I’ve said a few times in recent articles, before starting any investing venture you should review several sources. This goes for both the cryptocurrency you’re wanting to day trade, and the exchange you’re thinking about utilizing.