Looking for the best crypto scalping exchange? Yeah, that’s paramount in scalping trading strategies.
Everyone who ever dealt with an untriggered stop loss knows that finding the right exchange is crucial when it comes to scalping crypto. That’s why this list of best exchanges for crypto scalping exists.
It is so important to use the right exchange to scalp trade crypto, and the reason is that scalping is a trading strategy which relies on taking small profits (or losses) relatively often. One losing trade left uncut due to your exchange crashing down can wipe out months of your work.
What makes a good scalping exchange?
- Scalping needs you to be able to execute trades quickly and at the price you want.
- Your limit and stop orders need to actually trigger when they are meant to.
- The exchange fees need to be low because you will execute a lot of trades.
Generally speaking, best trading platform for scalping crypto will be one of the largest exchanges, because you need liquidity on the books to get in and out of your trade easily.
Scalping alt coins on smaller exchanges like Bitforex or LATOKEN might seem convenient, because they don’t require KYC and list some of the smaller alts that you can’t get elsewhere. However, Bitforex for one reportedly fakes their trading volume by printing copies of orders from larger exchanges. That will make for a bottleneck in your scalping trades.
Best trading platforms for scalping crypto
All of the exchanges listed below are a good choice.
But to make things even clearer, we’ve ranked them by technical reliability, fees and spreads, so that you can maximize your scalping profits and keep your counter party risks as low as possible.
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FTX - 5% fee off on Intl or on US
FTX offers a fairer, faster, and more reliable trading environment. They have perpetual contracts of most assets as well as volatility contracts for them. Those are industry-first products that might change the way you trade - they are easier to understand than binary options but allow you to easily hedge on volatility ahead without having to speculate on the direction.
FTX offers some of the lowest brokerage fees in the industry. On any spot or derivative markets, new FTX accounts pay the fees of 0.02% for maker or 0.07% for taker. To that you can add the 5% referral code discount and possibly the exchange token discount. The fee discounts for FTT token holders kick in once you hold more than 100 USD worth of the exchange token.
This all means that you can set a stop loss with confidence knowing that you won’t be charged abusive fees. On top of that, there are volume discounts, but they only start at 2 MM traded volume.
Scalping bots for FTX
There are scalping bots available for FTX via Coinrule. For a scalping strategy without technical analysis, you can run a shadow grid directly on FTX through their native automation tool (the Quant Zone).
Sign up at FTX now and get 5% off your trading fees. You’ll also gain access to the innovative products and experience a level of service that is second to none.
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Binance - 10% fee off on Intl
Binance is the largest cryptocurrency exchange in the world. As of now, Binance still offers a 25% fee discount if your trading fees are paid in the exchange token (BNB).
The promo is set to expire in July 2022 and without it, the fee structure on Binance is not all that attractive.
One useful thing for scalpers is that Binance charges the same fee for maker and taker. It’s 0.1% for new accounts (or 0.075% with the BNB fee discount). That means you can use market stops and market orders without paying a significantly higher fee. You will still have some losses on slippage, though.
Fee discounts for traded volume on Binance only kick in over 1MM BUSD traded, or with holdings of at least 25 BNB on the exchange,
The main appeal of Binance is that you can use your finger to quickly swipe between trading, cold staking and yield farming pools, so everything feels fluid and effortless. No need to move money between wallets and exchanges, you’ve got everything under one roof.
Scalping bots for Binance are available via Coinrule.
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Bitfinex - 6% regressing discount, no KYC
Bitfinex will always be the hero platform for everyone who is tired of exchanges that don’t have the liquidity that’s needed for good scalping. There’s no KYC for most markets and 6% fee discount with a shill link, but fees for stop losses can get expensive.
The stop markets charge 0.1% for makers with new accounts on Bitfinex, the taker fee is double however, that’s 0.2%. On the derivative markets the fees are much friendlier towards scalpers - they are 0.02% and 0.065% maker and taker for new accounts.
Bitfinex offers order books with top tier liquidity, allowing users to easily scalp Bitcoin, Ethereum, Solana, Monero, Litecoin and many other digital assets with minimal slippage. New sh1tcoins get listed quickly, and they get promptly delisted once the hype wears off and the books start thinning out.
The slippage on Bitfinex is in fact lower even in big cryptos when compared to what you see on FTX and most other exchanges - that can be easily verified by checking the recent BTCUSD charts on TradingView.
Liquidity providers can generate yield by providing funding to traders wanting to trade with leverage. Funding is traded on an order book, so you can get in on the action and help others get the trades they need.
Scalping bots for Bitfinex available via Coinrule.
Sign up now and start trading on Bitfinex with 6% fee discount if you start trading right away! No KYC needed at the moment.
Not convinced it’s worth it?
If you are looking for a way to trade cryptocurrencies but scalping didn’t convince you, read the following list to help you decide which crypto trading strategy would be the best for you.
Scalping without TA: Grid or Shadow
Grid trading and shadow grid trading are techniques used mainly in the foreign exchange market.
By placing buy and sell orders at certain regular intervals above and below a predefined base price, grid trading seeks to capitalize on normal price volatility in an asset.
With a good money management and stop losses, you could potentially make good money without any technical analysis mysticism, just by using grid trading in the crypto exchange market.
More on various types of grid trading.
Arbitrage
We’ve all heard of arbitrage trading - buying and selling the same asset in different markets to profit from price discrepancies. It’s not risky, if you manage the logistics of it well, which can be tricky.
But what if there was a way to do this automatically, without having to constantly watch the markets? - Obviously, you can. With an arbitrage trading bot, you can set it and forget it. The bot will automatically buy and sell assets on your behalf, so you can focus on other things while still making a profit.
Will you make a lot of money on that? Well, if a lot means a life changing amount, then no, probably not.
But there are ways that still make an arbitrage bot pay handsomely.
Swing trading
Interested in trading on a longer scale than a few hours per trade?
Then swing trading may be the perfect investment strategy for you. This style of trading can be used to capture gains in a stock over a period of days or weeks, and it relies primarily on technical analysis to identify opportunities.
With swing trading, you can make money whether the market is going up or down. You’ll have the opportunity to profit from both bull and bear markets, so you can generate consistent profits no matter what the market is doing.
DCA & Hodl
Last but not least, there’s the the buy and hold strategy, because speculative trading can be difficult. Figuring out when to buy, sell, and cut losses does get overwhelming.
Dollar-cost averaging removes the guesswork from investing. You don’t have to worry about trying to time the market – you just need to have a good reason to be long term bullish about an asset.
By buying a fixed dollar amount of a security at fixed intervals, regardless of the security’s price, you are buying more shares when prices are low and fewer shares when prices are high. This reduces your average purchase price and helps minimize the effects of volatility on your investment portfolio.
Bottom line
Crypto scalping is a trading strategy that can be used to make quick profits. It involves buying and selling coins quickly, so you need to be prepared before you start.
With the right tools, you can maximize your chances in scalping trading, but at the same time, scalping is not for everyone.