Frequently Asked Questions
A cryptocurrency strategy is a structured plan that outlines how an investor or trader approaches the crypto market to achieve financial goals. It helps reduce emotional decisions, manage risks, and increase the potential for long-term profitability.
To create a crypto investment strategy, define your financial goals, risk tolerance, investment timeline, and preferred assets. Then, choose between strategies like HODLing, dollar-cost averaging (DCA), or portfolio diversification.
Popular strategies include day trading, swing trading, scalping, trend following, arbitrage, and breakout trading. Each requires different levels of experience, time commitment, and risk management.
Both analyses are useful. Technical analysis helps with short-term price predictions using charts and indicators, while fundamental analysis assesses a project’s long-term value based on its technology, team, utility, and adoption.
Risk depends on your capital, experience, and goals. Most experts recommend risking only 1–2% of your portfolio per trade and using stop-loss orders to manage potential losses.
