Is There a ‘Best’ Time to Trade Crypto? Here’s What the Data Says

Most investors and traders are just learning how to work and do not yet know when to buy crypto so that their benefits are maximized. That is why our experts decided to create this review and discuss the most effective strategies for buying or selling coins.

You can read right now the material about multiplying your profit and when it is best to trade cryptocurrency with maximum efficiency.

Most traders take a good system and destroy it by trying to make it into a perfect system.

Robert Prechter

What is the Best Time to Buy Cryptocurrency?

In most cases, it is extremely difficult to give an unambiguous answer to such a question because everything depends on various factors and your strategy. Therefore, experts discuss when to buy crypto and give many arguments about the advantages and disadvantages of different approaches. In any case, such strategies can be based on:

time of day. Higher volatility is usually at a time when most of the big traders are in the market, which means they are looking at the time in the US or Europe at the moment;
weekends. Quite often, traders find the time before the next work week more unpredictable;
events. In this case, investors can focus on the release of news or other important events that turn the market around.

What exactly to believe is exclusively yours because approaches can work in their own time. The main thing is to focus on profit and not ignore various factors and indicators.

Key Highlights

More often than not, you must utilize various features and charts to successfully trade at the best time. Through such monitoring and research, it will be easier for you to decide on the most suitable option when to buy crypto will be as profitable as possible. Here are a few recommendations:

analyze cycles. Thanks to historical and current data, you will be able to better understand where exactly the price will move shortly;
study charts. By analyzing, you will be able to get signals to buy or sell your coins in advance;
follow the news. You will need to be attentive to any news that can change the mood of the market and users.

Due to all this, you will be able to predict price behavior more accurately and open a deal at a good moment for you.

Why should you be investing in cryptocurrency?

In addition to the popular question of when to buy crypto, there is also the fact that all market participants understand why they should buy coins at all. First of all, this is an indication that you have not gotten the important information. Here it is:

potential. Over time, coins can significantly increase in value by several dozen times. This is why the field attracts investors from all over the world;
diversification. Thanks to the opportunity to buy coins, you can dilute your assets with higher-yielding assets. Thanks to this, you can reduce the risks of the portfolio and, at the same time, increase the profitability potential;
accessibility. Anyone, even with a minimal amount on the balance at the moment, can enter the sphere and start their investment process. Thanks to this, such investments remain more accessible to ordinary users.

This will allow you to maximize the efficiency of your capital and, as a result, gain a great benefit. The real result depends only on you, so choose transparent and safe methods of working with coins.

Common crypto myths

There are a large number of different myths that prevent beginners from taking advantage of all the opportunities of the sphere. That is why, answering the question of when to buy crypto, our experts also want to dispel them:

Myth. Coins are used for illegal operations. Most of such operations are carried out using cash. At the same time, coins, although relatively confidential, allow you to track the full path of such money. That is why fraudsters rarely use them, and they are easily detected and prosecuted by the authorities;
Myth. Coins have no real value. In most cases, the asset will not differ in any way from stocks or any other securities. It is just a financial instrument for your investment. The projects themselves have real value, and only due to this do they gain high popularity and profitability;
Myth. Mining is harmful to nature. Every year, the minimal impact of mining is decreasing because more and more economical options for obtaining coins are being developed. Now, even alternative energy is actively used for this purpose; therefore, the community will eventually become less and less polluting.

You should immerse yourself in the field as much as possible and learn more about cryptocurrency’s nuances. Only then will you be able to effectively apply different strategies and find the right approach for you.

Crypto investing: 5 highly effective strategies for your portfolio

To work effectively with crypto, you will need a specific strategy that suits your goals. Determining the most reliable and promising options is difficult, so we recommend you use the most popular options. Our experts have shared their main features and advantages.

Buy and Hold

For most users, such a strategy will help them understand when to buy crypto to maximize the benefit. It is assumed that you will buy coins and forget about them for a certain period of time until they age. That is, the main bias is towards a long-term investment, which will ultimately bring you a real benefit in a few weeks, months, and sometimes even years.

This strategy only works if you follow all the most important principles:

asset selection. First of all, in this strategy, you should not put the question of when to buy crypto, but the question of choosing the right cryptocurrency assets for you. Only due to proper analytics will you be able to buy the most promising coins that can bring you a real income in the long distance;
patience. Investors must have patience and not react to various events on the way to success. Sometimes, the market situation with a certain coin can be negative, so it’s best to work up the courage to not even read them;
ignoring volatility. You will also need to accept that volatility can be high. All coins are susceptible to this, so you will have to ignore this factor all through. Just expect positive results in the future;
diversification. You must also divide the risks between different projects because long-term investments in just one coin are extremely difficult to predict or forecast. Therefore, it is recommended to be sure to take advantage of analytics to put together a balanced portfolio at the end;
regular adjustments. All news cannot be ignored, so you should ensure that all the selected assets align with your long-term goals. It is necessary to reduce or add to positions in time so that, in the end, you are satisfied with the result over the long term.

Due to all this, you can stay in the maximum benefit on the long-term distance. The main thing to remember is that this tactic is suitable only for those users who believe in the future of cryptocurrency technologies. Only in this case can you hope that bitcoin will significantly increase in value in the future, and you will be able to maximize the benefits.

Day Trading

Another popular option for when to buy crypto is for the average investor. This excellent strategy will allow you to fix a certain result within one day. At the same time, it is quite difficult to predict exactly what this result will be. You will need to make quick and balanced decisions so that, in the end, you remain a big plus.

Such a trade will require a certain understanding of strategy:

Analysis. This means using various charts, candles, and news to predict the future development of value at the moment. Thanks to this, you will better understand when to open or close your trade;
risk management. This is another extremely important criterion that you will need during such trading. You should close your trades on time so that you do not get into too big of a disadvantage. Help you with these special orders, which you will easily give on the platform;
news. It should be considered that volatility increases significantly during new news release. Thanks to this, you will be able to immediately understand the mood of the news and make sure that the price will follow it;
platforms. Another extremely important aspect is to use only reliable trading platforms that will allow you to sell or buy effectively within a short time frame. Having various tools for asset and money management will also be an advantage.

It is also necessary to acquire a sufficiently high emotional tolerance for events. Only in this case will you be able to deal effectively with your positions and close them in time. Also, take into account that sometimes you will have losing days. It will take some time to learn to act correctly at every moment during the day.

DCA

The most famous and popular strategy among professional traditional investors is when to buy crypto. Thanks to this, you will precisely follow the trends and gradually average your position regardless of the asset’s value. The following features of such tactics are most often pursued:

smoothing volatility. Due to the regularity of your investments, you can buy more assets while the price is expensive enough. At the same time, you will buy fewer of them if the price is high enough. This will cause the average price to fall, and you will be in a bigger plus when the price rises;
discipline. Not only will you need to be patient, but you will also need to exercise willpower to acquire cryptocurrency in the right amount consistently. You can’t give in to emotional decisions to save money because this will compromise the integrity of the entire strategy;
affordability. An important factor of this strategy is that the rules are minimal. It is enough to simply purchase a certain part of the asset once every week or two and keep it on your balance to see an excellent profit at the end of the day.

First of all, this tactic aims at the user accumulating the asset for a long time and making a profit from it. This is a great opportunity for future growth and to collect the maximum amount of income at one time.

What are the benefits of DCA?

This strategy will allow most users to take advantage of all the benefits of investing and gain the necessary experience without too many problems. It will allow you to understand when to buy crypto and how to manage your resources. You will be able to get a large number of advantages and pluses:

reduced volatility. By purchasing an asset at an average price each time, the impact of volatility on your portfolio is reduced many times over. You will be able to hold assets at around a reasonable value anyway and earn during their growth;
stress reduction. You will not have to worry so much about your decisions about buying or selling different coins. In any case, you follow a certain algorithm of actions at expected intervals, which makes trading much easier;
flexibility and control. Another important advantage is that you can control all the assets in your portfolio. Thanks to the ability to adjust both the size and frequency of purchases, you can stop or change goals in time;
Accessibility. Almost anyone can join such a strategy because asset management is quite easy to understand in this case.

Due to all this, you can effectively apply DCA Bitcoin at any convenient moment, gradually increasing your portfolio. Thanks to this, the value of assets will only increase, which means that you will eventually be able to maximize the benefits and achieve a positive result. All that remains is to be disciplined and carefully fulfill all the conditions of the strategy.

Buy Low, Sell High

Asking the important question of when should i buy Bitcoin, it is necessary first of all to understand that the main goal of any trader or investor is to earn money. That is why the average cost of buying and fixing the result can be considered the key indicator of success. You will need to apply different strategies to achieve high results. Here are some tips:

analysis. You must break down the asset into components and understand the main reasons for the rise or fall during the selected cycle. Understanding market trends that are constantly repeating will help you;
patience. A certain amount of patience is required to not sell early and buy assets at the peak. If you don’t wait for the right time, you risk losing money;
control of emotions. Stop yourself when you want to impulsively because it will not bring the desired result anyway. Only in complete calmness will you be able to make money on such a strategy;
long-term planning. It is necessary to focus primarily on the result that you need to get in the end. Focusing on short-term profits will only bring you high risks without excellent income;
management. Be sure to keep your hand on the pulse of the market to understand when you need to decide to open an order. This is the only way you will be able to reduce the riskiness of your operations.

You will be able to identify your own up and down cycles so that you know exactly where to buy and sell. You will also need to be highly alert to news so that you can accurately forecast further upward or downward price movement in a timely manner. This strategy can really bring you great results if you start using it effectively on a regular basis.

“It is not the strongest or the most intelligent who will survive but those who can best manage change.”

Charles Darwin

Arbitrage

Another unique method of investing that is completely different from others. It’s all about relying not on the price change but on different platforms’ differences. Thanks to this, you can find the best time to buy Bitcoin and immediately give it to another exchange at a higher value. You will need to understand the main features of such tactics:

research. It is necessary to monitor various sites with prices around the clock to find the ideal place to enter and exit the transaction. Only in this case you will be able to get a certain income;
speed. All your decisions should be as fast and clear as possible. In this case, you will be able to maximize the profit from your activity as quickly as possible because the actual cost changes constantly;
commissions. Be sure to consider in your scheme of work the need to pay commissions, which can exceed any income on many platforms. Therefore, it is necessary to calculate the costs and use only the most profitable options for work;
automation. Many successful arbitrage teams use various tools to increase the speed of work. Thanks to bots and systems, you can quickly execute a deal and receive your part of the income.

By clearly following your plan, you can really achieve a positive result. The main thing is to try to minimize the number of mistakes because they will significantly reduce your final capital. Through automation, you can speed up the whole process and earn income faster.

How to start investing in crypto

To maximize the effectiveness of a DCA crypto strategy or any other type of trading tactics, you need to learn the basics of investing. This allows you to increase your potential as a trader and make your first profit. Therefore, it is recommended that you focus primarily on:

Continuous education. You should learn new things about blockchain structure, different coins, and other things. Only then will you be able to work with these coins effectively;
you should choose a reliable platform to start your business. You should also keep all assets only on wallets that you consider as safe and secure as possible;
You should deposit funds on your balance, set up all the tools, and decide on a strategy that suits you. By doing this, you will be able to better understand the goals you now have in front of you;
buy the coins that suit you as soon as possible and start investing them. Manage the risks and handle each transaction responsibly, remembering you are using your money.

The beginning is often the most difficult for most users. Therefore, it is best to leave the question of how much to invest in crypto per month in the past, learn more information, and finally get started.

The risks of cryptocurrency

Investors will have to face many problems and challenges in the market. Only then will you be able to maximize your potential and get much more money on your balance sheet? Here are the most important aspects that you need to know for sure:

Volatility. The value can change in either direction at any moment, which is bound to hinder you at some point. At that point, you need to decide either to close the position completely or to be patient;
loss of funds. You must use only the most reliable tools, wallets, and platforms. Thanks to this, you will reduce the various technological risks that can happen to every market participant;
fraud. Be sure to remember that the entry threshold for opening projects in the sphere of various coins is much lower than in stocks. That is why we recommend you to be wary of any offers that can guarantee to bring you super income.

Be sure to also consider the risks related to psychology. Any investor can act impulsively with cryptocurrencies at one point, easily leading to capital loss. Therefore, it is necessary to treat all your actions responsibly and cautiously.

Risk comes from not knowing what you’re doing.

Warren Buffett

Final thoughts

At this point, you should clearly understand that the issue of whether can you trade crypto on weekends is much more extensive than it seems. Only when you make the final decision and take risks for the purchased coins is it recommended that you try to reduce them. You can do this by:

Continuing education through various courses or training materials;
managing your capital and not putting off important decisions;
constantly monitoring the situation and making adjustments to your strategies or the portfolio you are using.

It is necessary to use the available capital as cautiously and efficiently as possible while considering possible problems with capital loss or volatility. Now you know exactly when to buy or sell coins, which means you will be able to handle any situation in the market. Continue your learning, and you will succeed in eventually monetizing your skills!

Author’s opinion

First, I would like to note that cryptocurrency strategies are always based primarily on your discipline and ability to make the right decisions. This material will help you better understand the peculiarities of the crypto market and begin to manage your resources and assets properly. Approach investing wisely and with a certain amount of patience to get the most suitable result, and no longer think about what is the best time to choose to buy!

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