Crypto Scalping Platform: 8 Things to Look For Selecting the Best

Are you tired of searching for the right crypto scalping platform? Discover eight features that your broker should have and find out the best crypto broker.

Cryptocurrencies are highly volatile and the most suitable assets for scalping trading. Advanced traders can leverage cryptocurrency trading of advanced crypto market conditions to make high returns in a short period.

However, to do so, you need the right platform on which you can practice scalping efficiently. In this blog, we will have a short overview of crypto scalping and the prerequisites a crypto scalping platform must have.

Introduction to Crypto Scalping

Crypto scalping is a strategy to open or close a position in cryptocurrencies for seconds or minutes to take advantage of short-term price movements.

Cryptocurrencies experience huge price swings over a short period of time. High volatility makes crypto most suitable for scalping. Scalpers can get numerous short-term trading opportunities in cryptocurrencies and make small profits. Binance, as one of the world’s largest cryptocurrency exchange, offers excellent features and tools that make it ideal for scalping

Crypto is already a complex asset to trade. And, when you choose a highly advanced strategy like scalping, it becomes far more complicated. Not every trader can become a crypto scalper, as it requires in-depth market knowledge. Similarly, not every crypto exchange platform is suitable for scalping. It requires premium and advanced features to allow scalping on a platform.

8 Factors for Selecting a Crypto Scalping Platform

As we have studied above, not all platforms are suitable for crypto scalping. However, how will you determine whether a platform is good or not for scalping? We can help you with that; here are the factors that your trading platform must have:

Friendly Trading Terminal:

A trading terminal is software that a broker offers to its clients. Traders can get access to live markets, execute trade orders, manage portfolios, monitor news, check the economic calendar and control trades through a terminal. Scalpers already have limited time, and a vague or complex trading terminal cannot be good for them. So, scalpers should select a crypto broker with a user-friendly trade terminal.

Go for Ultra Fast Execution and Competitive Fees:

In the crypto market, many scalpers place high-frequency trades. The number of trades in a day can be upto 100. So, bid and ask spreads can make a significant difference and affect profits. In addition, scalpers have strict entry and exit rules, so transaction speed matters a lot. So, a crypto scalper should go for a broker that offers ultra-fast trade execution and competitive spreads.

Look for Automated and Technical Analysis Tools:

As the number of trades is high, placing trades manually is not possible with scalping. So scalpers use automated trading tools like trading bots, expert advisors and backtesting software.

Scalpers undertake technical analysis to identify buy and sell opportunities in cryptocurrencies. Such traders need tools to analyze and interpret chart patterns, candlesticks and indicators. So make sure your crypto scalping platform offers automated and technical analysis tools.

Go for Diverse Crypto Trading Options:

The need for diverse trading instruments is much more with scalping than any other trading strategy. Scalpers place multiple trades, so they need diverse cryptocurrencies for trading.

Beirman Capital offers numerous cryptocurrencies, including Bitcoin, Litecoin, Ethereum, Tether, Cardano, Solano, Dogecoin, and many more. In addition, we offer forex, commodities, stocks, and indices instruments. So, scalpers can get numerous options to trade on our platform.

Select a VPS Hosting:

A Virtual Private Server is a technology that makes trading secure, simple, and reliable. VPS is crucial for the efficient execution of crypto scalping strategies. Most brokers provide VPS facilities; at Beirman Capital, we provide VPS for free. So, when choosing a crypto platform, VPS hosting is a must.

Look for client protection Features:

Scalpers need to adhere to strict trade entry, exit and risk management rules. Generally, scalpers follow a risk-to-reward ratio to plan their trades. A large number of trades and high leverage increase the chances of blowing up the accounts. So go for a trading platform that offers capital protection features, including guaranteed stop loss, negative balance protection, segregated accounts, etc.

High leverage Facility:

Scalpers use high leverage to place large trades respective of the capital. However, not all brokers offer high leverage and margin trading in the market. Undoubtedly, high leverage can increase the risk associated with trading. However, to practice advanced strategies like scalping, traders need high leverage. So, analyze leverage while choosing a crypto scalping platform. At Beirman Capital, we offer leverage upto 1:1000, which is not too high nor too conservative for scalpers.

Great Liquidity and Volume:

Scalpers enter and exit a trade at a time when other traders aren’t able to identify an opportunity. Opening and closing trade in scalping at a desired level is essential. Scalpers need a crypto trading platform that offers high liquidity and great trading volume. Not all platforms can do this, so check the liquidity and volume. Traders can even consider opening a demo account to analyze these conditions.

Conclusion

Crypto scalping is undoubtedly a complex strategy, and the complexity further increases with the wrong platform. A crypto scalping platform can either make or ruin your trading journey.

So, the scalper should select a platform with diverse trading instruments, advanced trading tools, high liquidity, competitive leverage, and low spreads. Don’t let your broker become your biggest disadvantage. Organize proper research and analysis to select an ideal scalping broker.

FAQ

What is crypto scalping?

Crypto scalping is a strategy to open or close a position in cryptocurrencies for seconds or minutes to take advantage of short-term price movements.

Which are the best cryptocurrencies for scalping?

Bitcoin, Litecoin, Ethereum, Tether, Cardano, Solano, and Dogecoin offer the best market conditions for scalping.

What is the difference between day trading and scalp crypto?

Day trading and scalping are quite similar. Day traders open and close a trade with a trading day. Meanwhile, a scalper places multiple trades of a few seconds to minutes.

Is crypto scalping risky?

Yes, crypto scalping is a short-term strategy that involves a significant risk.

How do you select an ideal crypto-scaling platform?

Look Friendly Trading Terminal
Go for Ultra Fast Execution and Competitive Fees
Look for Automated and Technical Analysis Tools
Go for Diverse Crypto Trading Options
Select a Platform with VPS Hosting
Look for client protection Features
High leverage Facility
Great Liquidity and Volume