#SwingTradingStrategy
How to Take Advantage of Price Cycles in Cryptocurrencies
Swing trading is one of the most popular strategies in the crypto world because it seeks to capture profits from price movements that occur over days or weeks — ideal for those who cannot stay glued to the screen all day, as in day trading.
---
🎯 What Does Swing Trading Involve?
Swing trading is based on identifying temporary trends (bullish or bearish) and entering the market at key points, taking advantage of the natural 'swing' of prices. In cryptocurrencies, where volatility is high, these swings can be more pronounced than in other markets.
Example: if BTC falls from $110K to $100K, a swing trader could look to buy at support (for example at $102K) and sell when it rebounds to $107K.
---
🛠️ Key Tools
Technical Analysis: candlestick patterns, support and resistance, moving averages.
Indicators: RSI, MACD, Bollinger Bands, Fibonacci.
Market Sentiment: news, flows in ETFs, on-chain activity.
Risk Management: well-defined stop-loss and take-profit levels.
---
✅ Advantages
Does not require 24/7 monitoring.
Aligns well with the natural volatility of cryptos.
Allows for optimization of time and capital.
⚠️ Risks
Sudden changes in the market (news, hacks).
Difficulty predicting the duration of a swing.