Can Day Trading be profitable in Crypto ?

[justdimin]

Daytrading could be profitable in crypto but it really depends on the kind of daytrading we are talking about. If you mean trading with derivatives, then you're almost definitely going to lose all your money. Without a doubt. And if you trade altcoin derivatives then the process is only going to be much faster because altcoins are usually low market cap and have high speculative volatility.

But if we are talking about spot daytrading, the best advice I can give you is not to trade below daily. You will grind through your coin with the trading fees.

This is mainly because of the fact that crypto day trading is not like other day trading in the world. Here it is very volatile and we are talking about liquidity not being available everywhere. Sure binance may have a lot, but not everywhere else does have it that way. Which is why I believe that we shouldn't really be worrying about the current situation, since liquidity is down everywhere.

This means that if you could find a place with low liquidity enough, you could take advantage of that while trading. You do not get anything like that anywhere else because it is centralized trading and even if you do it via a place that is used very little, it is still goes to the market with high liquidity.

[goldkingcoiner]

Daytrading could be profitable in crypto but it really depends on the kind of daytrading we are talking about. If you mean trading with derivatives, then you're almost definitely going to lose all your money. Without a doubt. And if you trade altcoin derivatives then the process is only going to be much faster because altcoins are usually low market cap and have high speculative volatility.

But if we are talking about spot daytrading, the best advice I can give you is not to trade below daily. You will grind through your coin with the trading fees.

This is mainly because of the fact that crypto day trading is not like other day trading in the world. Here it is very volatile and we are talking about liquidity not being available everywhere. Sure binance may have a lot, but not everywhere else does have it that way. Which is why I believe that we shouldn't really be worrying about the current situation, since liquidity is down everywhere.

This means that if you could find a place with low liquidity enough, you could take advantage of that while trading. You do not get anything like that anywhere else because it is centralized trading and even if you do it via a place that is used very little, it is still goes to the market with high liquidity.

I agree with what you're saying. The liquidity in most exchanges is going down and it is becoming very hard to sell/buy at a moments notice without making a huge loss. I had to stop trading on Poloniex for that exact reason. Nobody is buying or selling, the liquidity of Poloniex is becoming stagnant and I believe the exchange will drown soon if they do not save themselves from that problem.

An unexperienced trader might market buy at 5% higher than for example Binance market price. This is a huge problem and almost scammy in nature.

Avoid low liquidity exchanges if you day trade. That is definitely a good tip.

[darewaller]

As other users have said, you may be able to take advantage of day trading if you know how to do it. My experience says it will be profitable, but you don't have to be greedy to do it every day by forcing yourself to pick random assets to trade.

It doesn't have to be every day if you really want to profit from day trading, just take some time and learn about market fluctuations and how the market works for certain cryptocurrencies because there will be good opportunities to make a profit. 15% the profit is too high in my opinion in a day, you will rarely find it except on altcoins which have high market hype but of course the risk is big.

That greed part is a very good part but also you have to be quite hardworking as well. I know a few people who are making profits from day trading and I can guarantee you that it is a horrible thing when you are looking at the time.

I know them and I know that they work 10+ years a day, meaning if they work a bit hard one week, it could reach 100 hours that week, meaning they only have like 1-2 hour per day left everyday outside of sleep and trading, and rarely even that much. So, if you are not willing to work that hard, then it doesn't make sense to work that hard, why would anyone work that hard at all. Find something you love, and you think if trading could be that, then it is not.

[KingsDen]

As other users have said, you may be able to take advantage of day trading if you know how to do it. My experience says it will be profitable, but you don't have to be greedy to do it every day by forcing yourself to pick random assets to trade.

It doesn't have to be every day if you really want to profit from day trading, just take some time and learn about market fluctuations and how the market works for certain cryptocurrencies because there will be good opportunities to make a profit. 15% the profit is too high in my opinion in a day, you will rarely find it except on altcoins which have high market hype but of course the risk is big.

Day trading is one of the safest thing to do in cryptocurrency only if one is patient enough to do it. Come to think of it, if you have good knowledge of the charts and have your working strategies, remove greed and enter the market with a capital as high as $5000. It is very easy to make $50 to $100 daily. But the problem is that most traders are greedy. They will want to make 15% with small capital and go by x10 leverage. It doesn't work so, slow and steady is a sure bet. Even if you don't know how to trade, watch bitcoin and whenever it falls by up 8% or so, buy altcoins and set stop loss and take profit. Within some hours it will give you some profits otherwise it will stop loss.

[Dollar_Hunter]

it depends on the trader, if a trader does not have good and correct trading knowledge,
and does not master the science of TA, then I guarantee that daily trading will be in vain,
because you lose, before trading daily in crypto you should study first.

[lalabotax]

This may be a simple example, but in fact, there is no simple way of trading There will always need efforts and learning to get the profits and earn money from trading, moreover day trading. For some people, day trading needs higher attention, needs more time, and will spend our life very hard, but in fact, many people on day trading are successful enough. The success of day trader and investor may be different. But if you are asking about can day trading be profitable,the asnwer will be exactly YES

[goinmerry]

The simple answer is YES. The fact that you made some analysis, therefore I know you can do it.

But to target profits on day trading, it needs a serious dedication from you as that's not simple as it is.

Just continue on doing that and eventually, you will now automatically what to do on the way.

[rozak]

The simple answer is YES. The fact that you made some analysis, therefore I know you can do it.

But to target profits on day trading, it needs a serious dedication from you as that's not simple as it is.

Just continue on doing that and eventually, you will now automatically what to do on the way.

that dedication that sometimes not all novice traders have. to learn day trading certainly takes maybe more time in the market. applying the analysis he did of course also important to try how accurate what he had run.
when a person trades more often and is in the market, I think his analytical skills can improve. no one is suddenly smart and lucky in the crypto market. everything takes time.

[Silberman]

it depends on the trader, if a trader does not have good and correct trading knowledge,
and does not master the science of TA, then I guarantee that daily trading will be in vain,
because you lose, before trading daily in crypto you should study first.

Most of the new traders prefer day trading, I think I will recommend them that thing as well. They can learn basic things in day trading if they want and yes all those knowledge they obtain from books, videos or other people can be applied in day trading but then they still need to take a risk. Having some losses in day trading is okay, you will still earn in day trading. But long trading can be more profitable during this bear season.

It is true that day trading is extremely popular among the traders that are beginning their trading journeys, however I do not really think that is the best option available to them, day trading is by far the most difficult way to trade the markets, it requires the most skill and also the most patience as you have to watch the markets all the time in order to find a profitable trade opportunity, and very few people are going to have what it is needed in order to succeed, so I think it is better for those people to begin with swing trading, as it is a slightly easier form of trading and at the early stages of your trading career I think it is important to reduce the difficulty level as much as possible.

[gunhell16]

You know you can really make money doing trading here in cryptocurrency. As long as you know how to apply the right analysis, read the graph of the chart, and understand the signal tools when to buy and sell. And if you understand these things and know how to use them correctly, there is no day for sure that you will not make money but instead every day you can earn cryptocurrency depending on what you want to trade on an exchange platform.

So if others who don't have enough knowledge about this cryptocurrency are able to earn daily trading, how much more so if your knowledge and ideas about it are enough. And a lot of the traders here as well are taking advatantages this opportunity to earn because of the volatility it has here in the market.

[South Park]

Thanks KingsDen, that was fun to read. I laughed.

Day trading is one of the most difficult, dangerous, risky and exhausting activities in trading. You will not get such psychological pressure anywhere else as in trading, because it is very difficult to maintain some kind of calmness when the price jumps up and down every day. And this is especially pronounced among those who trade with stop losses, putting themselves at even greater risk of losing some of their money, and then comforting themselves with the fact that, well, at least they have not lost all the money.

What kind of security are you talking about in day trading? I devoted over 4 years, on average 15 hours a day, to such trading. I had a well-developed strategy, proven signals for entering transactions, but every day the market tested me for strength. This is especially noticeable when you trade 4-8 bitcoins rather than $100. And the more time I did this, the more I realized that I needed to run away from this risk to which I expose myself and constant psychological pressure. Although, it would seem, what's the point of running away from an occupation that already almost consistently brings money? In addition to the monetary component, there is also a risk, and where there is a risk, psychology always puts pressure on you, testing your nerves for strength. Day trading is not worth doing for a long time. There are no long term benefits compared to investing.

Please don't put words like trade and security in the same sentence anymore.  There is nothing safe in this activity, especially in one of the most difficult types of trading as day trading.

Agreed, those which say that day trading is easy have never really tried it or they have not done so for long enough, I always compare day traders with air traffic controllers, which is known to be one of the most difficult and stressful jobs that exist, you cannot even blink otherwise you may miss an important piece of information which could cause a disaster, not only that you need to always perform at your best because even the slightest drop in your ability means that you will not obtain any profits during that day, and while many day traders stop due to the lack of profits, even the ones which are successful drop it as it is almost impossible to endure such difficult conditions for long.

[rojan]

Both knowledge and money are necessary to make good profits from the markets,  for example if two different persons both had the same knowledge and skill to trade the markets and both made the same trades and obtained on average 1% on profits with each one of their trades, but one trader had 500 dollars and the other 1 million the first trader would make 5 dollars per trade while the second trader will make 10k per trade which is a massive difference on their outcomes despite both of them having the same skills.

Have skill and knowledge but without have money for trading looks nothing because can't earn profit, exactly true what did you compare although have good skill and knowledge when tracking what kinds coin for trading but $500 fund for investing just earn small profit. Different with trader or investor have much money for investing and ability earn much profit, need knowledge and much money how to be success in cryptocurrency trading, without both of thing looks not easy for earn profit.

I think your words are absolutely right there are some people who have promotion and all kinds of experience they have no money and there are people who have money but they have no experience but when they want to act they face many kinds of problems.  Faced with losing all their money, I think those who have money will be humbled by advice from an experienced person, both of them will get a good profit in relaxation than if they give him something, they will profit.

[Sayeds56]

I know there's a lot of day traders in stocks, and I've heard some do it in crypto ( although most do it at a loss ) so I'm wondering if realistically you can do a profitable trade in crypto.

Let's take a real example.

In this mini rally we're having, I've noticed Illuvium is one of the few tokens that is in the red( less than 1% on the daily when this was posted )


1 ILV is $119 on my CEX... but the sell price is $116 and the buy price is $123

Doing a simple trade using USDC to buy one ILV token would cost me $10.40 in ETH Fees on EXODUS. If I was doing it from my CEX, it would probably be cheaper, but I'd end up paying just as much ( sometimes way more ) if I want to take my new ILV token and deposit it in a hardware wallet. So either way, even if I buy ILV and it makes me a 15% gain in less than 24 hours, I barely break even !
So how do I make a profit ? Do I need to buy 30 ILV to maximize my gains ? Or is there any other way ?

I think day trading is generally  profitable when market is sideways or in bullish trend, no matter you are trading in stocks, crypto or commodities market. It vis very hard to generate any profit in bearish unless you are trading in future market which i think is extremes risky. Technical and Risk/Money  management skills are equally important to make consistent profit because these skills help you to make right entry and exit decisions.

[kapalmabur]

I know there's a lot of day traders in stocks, and I've heard some do it in crypto ( although most do it at a loss ) so I'm wondering if realistically you can do a profitable trade in crypto.

Let's take a real example.

In this mini rally we're having, I've noticed Illuvium is one of the few tokens that is in the red( less than 1% on the daily when this was posted )


1 ILV is $119 on my CEX... but the sell price is $116 and the buy price is $123

Doing a simple trade using USDC to buy one ILV token would cost me $10.40 in ETH Fees on EXODUS. If I was doing it from my CEX, it would probably be cheaper, but I'd end up paying just as much ( sometimes way more ) if I want to take my new ILV token and deposit it in a hardware wallet. So either way, even if I buy ILV and it makes me a 15% gain in less than 24 hours, I barely break even !
So how do I make a profit ? Do I need to buy 30 ILV to maximize my gains ? Or is there any other way ?

I think day trading is generally  profitable when market is sideways or in bullish trend, no matter you are trading in stocks, crypto or commodities market. It vis very hard to generate any profit in bearish unless you are trading in future market which i think is extremes risky. Technical and Risk/Money  management skills are equally important to make consistent profit because these skills help you to make right entry and exit decisions.

In bearish conditions we do need to be careful in making decisions,
It's important to pay attention because if you make a decision without considering anything, it's not impossible that we will lose

[abel1337]

I think day trading is generally  profitable when market is sideways or in bullish trend, no matter you are trading in stocks, crypto or commodities market. It vis very hard to generate any profit in bearish unless you are trading in future market which i think is extremes risky. Technical and Risk/Money  management skills are equally important to make consistent profit because these skills help you to make right entry and exit decisions.

Profit is possible during bear market even you are trading daily, It's hard because you need to play with lower time frames which is technically inefficient in trading. It's possible to profit on spot trading but it's more effective if we are going for futures trading on a bear market. That's true, Management skills are always needed if you are trading daily. It's the skill that can make you get a profit and opposite if you don't have or just trading blindly.

[KennyR]

To make the best out of trading continued market observation is a must. The market used to be volatile unlike the market trend, so it is possible to earn out of the price variation between time. The trader needs to have the understanding to choose the low bottom and sell when the price increases certain percentage. At times we may not be able to achieve this. So, we should also know to compensate the loss with the upcoming trades.

[milewilda]

To make the best out of trading continued market observation is a must. The market used to be volatile unlike the market trend, so it is possible to earn out of the price variation between time. The trader needs to have the understanding to choose the low bottom and sell when the price increases certain percentage. At times we may not be able to achieve this. So, we should also know to compensate the loss with the upcoming trades.

You would really need it all from awareness and being observant plus being having that adaptability until on being versatile because this market is unpredictable which means that it would be normal that you would really be that having those kind of behavior which would really be helpful into your overall career as a trader.You should really be that versatile and able to adapt and learn all of the things that you do
able to get along the way and try to remember so that you would really be prepared on next encounter whenever situations might look the same but since it wont really be working that way but at least
you do already have the idea on what you would gonna do. Can daytrading be profitable? of course it is but it wont really be something that could attain by anybody.It does require such skills
and experience.

[Sayeds56]

I think day trading is generally  profitable when market is sideways or in bullish trend, no matter you are trading in stocks, crypto or commodities market. It vis very hard to generate any profit in bearish unless you are trading in future market which i think is extremes risky. Technical and Risk/Money  management skills are equally important to make consistent profit because these skills help you to make right entry and exit decisions.

Profit is possible during bear market even you are trading daily, It's hard because you need to play with lower time frames which is technically inefficient in trading. It's possible to profit on spot trading but it's more effective if we are going for futures trading on a bear market. That's true, Management skills are always needed if you are trading daily. It's the skill that can make you get a profit and opposite if you don't have or just trading blindly.

I agree with you that it is possible to make profit with lower time frame in future market even in bearish conditions but with good technical skills and take entry and exit based on signals generated by technical chart  and keeping aside emotions. Using stop loss is also important for risk/money management to save your capital because buy & sell signals are generally reliable but never 100% correct.

[Wind_FURY]

To all the plebs like me who read all the trading "advice" in the topic, first ask the person who's giving the advice if he/she has been a profitable consistently, WITH PROOF. If they're not, then don't take their trading advice. Because for many plebs, the best trade is probably just a low time-preference HODL in Bitcoin. If can't perform better than Bitcoin-HODL through day trading, then why day trade?

[AakZaki]

I agree with you that it is possible to make profit with lower time frame in future market even in bearish conditions but with good technical skills and take entry and exit based on signals generated by technical chart  and keeping aside emotions. Using stop loss is also important for risk/money management to save your capital because buy & sell signals are generally reliable but never 100% correct.

it takes a tight stop loss and good analysis to perform scalping techniques in futures trading, because futures trading has a higher risk. and the most important thing to note is the use of leverage wisely, don't be too greedy. Small time frames make trades faster and this can give you more profit if done repeatedly. Trading power is suitable for using scalping techniques, it will be profitable for those who understand and can analyze the market.