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crypto trading guide
Crypto Trading Explained: Learn How to Trade, Manage Risk, and Build a Winning Strategy
6 minutes read | 16-11-2025
Over the past decade, cryptocurrency trading has evolved from a niche experiment into one of the fastest-growing areas of global finance. In 2025, over 420 million people worldwide own digital assets, and daily crypto trading volumes often exceed $100 billion. The whole world predicts where the market will go. In 90% of cases, nothing comes true, and everyone forgets about it.
Understanding how the crypto market functions is the first step toward trading.
Understanding how the crypto market functions is the first step toward trading.
What is crypto trading?
It involves the process of analyzing and buying/selling operations with cryptocurrency. Many traders use technical analysis, different chart tools, and patterns to predict the time to sell and buy.
But the basis here is not in this process, but in the answer to the question: why are you doing this? Most of the people who chase profits lose in the crypto market and come out with a loss. The most difficult thing is to stay on a long-term period and turn positive. You already understand that this is very different from the traditional asset market, which rarely loses tens of percent per day.
But the basis here is not in this process, but in the answer to the question: why are you doing this? Most of the people who chase profits lose in the crypto market and come out with a loss. The most difficult thing is to stay on a long-term period and turn positive. You already understand that this is very different from the traditional asset market, which rarely loses tens of percent per day.
Key elements of the crypto market:
Exchanges — digital marketplaces like Binance, OKX, Coinbase, or Bybit, where buyers and sellers meet.
Order types — market orders execute instantly at the best price; limit orders execute only at a specific price; stop orders help manage losses.
Liquidity — the ease of buying or selling without major price slippage. Highly liquid pairs (e.g., BTC/USDT) trade millions daily.
Volatility — rapid price changes, often larger than in traditional assets. Volatility attracts traders but demands strict risk control.
Main Types of Crypto Trading
Each trading style fits different experience levels, risk appetites, and goals. Let’s explore more about strategies and how to use them.
Spot Trading
You buy and hold a cryptocurrency directly, hoping its value increases. It’s the simplest and most beginner-friendly type — no leverage or liquidation risks.
Margin Trading
You borrow funds to increase your position size, magnifying both profits and losses. For instance, trading with 5x leverage means a 10% price change equals a 50% gain or loss. Margin trading requires discipline and a solid risk strategy.
Futures and Derivatives
Traders speculate on future prices using contracts rather than owning assets. Platforms allow both long (price increase) and short (price decrease) positions. This market is large, so in 2025, crypto derivatives accounted for over 65% of all trading volume.
P2P and OTC Trading
Peer-to-peer (P2P) platforms connect buyers and sellers directly, while OTC (over-the-counter) trading handles large institutional orders outside exchanges. Both offer privacy and flexibility but require trust and security checks.
Arbitrage
This strategy exploits price differences across exchanges. For example, buying Bitcoin at $100,950 on one exchange and selling it for $102,400 on another. Arbitrage opportunities are smaller today due to automated bots but still exist in low-liquidity markets.
Want to test new trading strategies without putting your money on the line? With Hash Hedge, you can. It’s one of the top prop trading platforms built for serious traders.
Pass the challenge, get funded with up to $100,000, and trade your strategy — zero personal risk.
Pass the challenge, get funded with up to $100,000, and trade your strategy — zero personal risk.
Start trading with Hash Hedge today.
Common Trading Strategies
What is the difference between trading and gambling? Attitude. It is important to understand that there are a million strategies; we will analyze only the most used ones.
Day Trading — multiple trades per day, aiming to profit from short-term volatility. Requires active monitoring and technical skills.
Swing Trading — holding positions for days or weeks, targeting larger price swings. A balance between activity and patience.
Scalping — making dozens or hundreds of micro-trades within hours. Demands high focus and fast execution.
Position Trading — long-term holding based on fundamentals, often months or years. Suits investors who trust the project’s value.
Algorithmic Trading — using bots or scripts to automate orders based on coded strategies or indicators.
Yet, no tool is more powerful than capital itself.
Access professional funding with Hash Hedge — up to $100,000. Scale your strategies without risking personal capital.
Access professional funding with Hash Hedge — up to $100,000. Scale your strategies without risking personal capital.
Tools and Platforms for Crypto Traders
There’s a full ecosystem built around traders today — packed with advanced tools, real-time data, and automation that makes trading faster.
Yet, no tool is more powerful than capital itself.
Access professional funding with Hash Hedge — up to $100,000. Scale your strategies without risking personal capital.
- Exchanges: Binance, OKX, Kraken, Bybit, Coinbase
- Portfolio trackers: CoinStats, CoinMarketCap, Zapper
- Charting platforms: TradingView, Coinigy
- Data aggregators: Glassnode, Santiment, Messari (on-chain analytics)
Yet, no tool is more powerful than capital itself.
Access professional funding with Hash Hedge — up to $100,000. Scale your strategies without risking personal capital.
Wrapping It Up
Here’s the takeaway: making money with crypto isn’t easy — and it’s not supposed to be. It’s a mix of knowledge, planning, risk control, and emotional discipline. You need to understand what you invest in, stay aware of market cycles, and never chase hype.
Protect your capital, and think about your mindset as much as your strategy. Because in crypto, your emotions often trade before your hands do. The more you treat it like a business — with patience, structure, and consistency, the more it starts to pay.
Protect your capital, and think about your mindset as much as your strategy. Because in crypto, your emotions often trade before your hands do. The more you treat it like a business — with patience, structure, and consistency, the more it starts to pay.
- Сrypto Prop CompanyHash Hedge is the first crypto prop company founded in 2023. It is the only proprietary trading firm that provides traders with a choice of over 200 crypto assets to trade with a maximum leverage of up to 100. Every week, we list new assets recently introduced on Tier-1 crypto exchanges. Hash Hedge's mission is to rid traders of trading restrictions that prevent them from reaching their maximum potential. That's why we have no hidden rules, commissions, or restrictions on weekend trading and news trading.
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All information provided on this website is intended solely for the purpose of learning about trading in the financial markets and in no way constitutes specific investment advice, business advice, analysis of investment opportunities or similar general advice regarding trading in investment instruments.