Strategies (113)

When facing economic instability, where sentiments can change on a dime, finding a safe haven for wealth has become more important than ever. Traditionally, traders turn to assets like gold, government bonds, or the U.S. dollar to weather the storm and protect their financial security. However, with the rise of crypto and its adoption among institutions like , it ultimately begs the question: does the definition of safe haven assets need redefining with crypto in the picture?

Hedging is a risk management strategy crypto traders adopt to reduce their exposure to risk and potentially minimize losses. Hedging is commonplace among stock traders, and it’s an especially important concept to understand and adopt when trading the volatile crypto markets.

From the first day of snowfall to familiar Christmas jingles, there's plenty to get excited about in December. For many crypto traders, December will also be the time they'll wonder if the crypto market will join the stock market in a "Santa Claus rally". Originally observed in the stock market, the Santa Claus rally phenomenon describes a period of optimism and often higher returns in late December as prices rally during the holiday season.

As a tool to shape the landscape of international trade and influence various markets, tariffs are often used to protect local industries or gain leverage in trade negotiations. For crypto traders, understanding tariffs and their economic impact is essential given how they're intertwined with broader economic trends. From increased inflation to currency fluctuations, these factors can directly impact the price of crypto given that they're influenced by macroeconomic conditions.

In the volatile world of crypto trading, sentiment tools can often be handy for both short-term and long-term traders who are navigating the uncertainty. While not fool-proof, these tools are often considered influential when making crypto trading decisions. They can offer an immediate sense of how the majority of traders are positioned. One trusted example of such a sentiment tool is the ETH/BTC ratio.

Practice makes perfect — if you're familiar with this adage, you'll understand that it applies well to crypto trading, with all its volatility. Whether you're a beginner crypto trader or someone who's interested in testing out a new strategy, crypto trading simulators provide a safe space to hone your skills and develop the knowhow needed for successful crypto trading. Just like any athlete wouldn't dream of competing without extensive practice, a crypto trader shouldn't jump into the market without proper preparation.

Whipsaw refers to a situation where the price of an asset is moving in one direction but suddenly reverses and moves in the opposite direction. A whipsaw can occur when prices are rising or falling, and are typically seen during periods of high . That's why traders in the notoriously turbulent crypto markets would be wise to read up on whipsaws. OKX is here to help.

Does the idea of manual trading feel daunting? Thanks to the availability of crypto trading bots under our Smart Trading product suite, you too can effortlessly automate your trades and enter the world of trading algorithms and bot trading in one click. With the help of bot trading, you'll no longer have to keep your eyes glued to the charts to execute trades as your pre-programmed bots will simply make the trades for you.

With crypto options, the concepts of strike price and 'moneyness' play pivotal roles in determining the value and potential gains when trading crypto option contracts. For option traders interested in maximizing gains or effectively managing risk, understanding these terms is essential given the volatility involved with the crypto space.

Does it sometimes feel like you're guessing when trading crypto? Given the notoriously volatile price swings for various coins and tokens, it's certainly challenging to predict future movements. This is where (TA) comes in handy, as TA uses historical price data and various indicators to identify potential trading opportunities.

With its limited supply, protocol-regulated rate of issuance, and generally rising popularity and demand, Bitcoin has — over the decade or so of its existence — managed to outperform typical assets by a large margin. However, this long-term price appreciation hasn't happened without sharp drops and several bearish phases along the way.

'Support' and 'resistance' refer to price levels on a crypto trading chart that indicate a potential reversal of a trend for an asset. An essential part of technical analysis , traders aim to estimate these price levels to help inform the positions they open. As such, support and resistance are fundamental concepts traders of all experience levels need to understand.

Unlike trading spot or futures contracts, crypto options trading offers unique opportunities to simultaneously lock in gains based on changes in volatility and manage overall risk exposure. It's ultimately this versatility that draws crypto option traders to the tactic. To remain a successful trader over time, a critical options trading concept to master is the idea of In-The-Money (ITM) and Out-Of-The-Money (OTM) options. With ITM and OTM options representing varying levels of risk and reward, it might seem daunting to dive into. In this guide, we’ll break down the essentials of ITM and OTM options, comparing their pros, cons, and the crypto option strategies that traders use to gain an edge in the crypto markets.

Slippage describes a situation where the expected price of a trade is different from the price obtained when the trade is executed. Slippage usually occurs when a trading platform can’t immediately execute a trade at the preferred price.

When trading crypto options, having a solid understanding of market behavior and risk is crucial. One of the most effective ways to assess and manage these risks is by using the option Greeks. As a set of metrics that provide insights into how various factors affect the pricing of options, option traders can evaluate how lucrative their trades will be by basing their calculations on these option Greeks.

The Bitcoin blockchain underwent a major event in April 2024: the Bitcoin halving. Expected to take place roughly every four years, this mechanism was written into Bitcoin's code during its inception and aims to slow down the creation of new bitcoins and eventually reach a finite supply of 21 million BTC. Similar to huge network upgrades like the Ethereum Merge and , the halving is a highly anticipated event that can significantly impact Bitcoin miners and traders.

The crypto market is one of the most volatile markets in the world, and is one of the reasons why the crypto sector has become so popular in recent years. Usually, the prices change due to positive or negative news, major developments, and controversies. There are also cases when crypto prices change due to price manipulation. In order to manipulate the price of global assets such as cryptos, you need a significant amount of capital. However, there are some people who have this kind of capital and can impact the market quite severely.

Have you seen 'DTE' while scrolling through social media and wondered what it means? DTE, or 'days to expiry,' indicates how long remains before an option contract expires. Curious how expiration dates affect option premiums and impact your trading strategy? Whether you're new to options trading or curious about the nuances of crypto markets, this guide will provide you with all the information you need to navigate expiration dates confidently. From explaining what options expiration dates are to understanding what happens when options expire, here's everything you need to know about crypto option expiration dates.

If you're new to crypto call options, the idea of them expiring worthless may sound daunting. Although mostly used as a way to hedge against near-term market volatility, many traders today also use call options to make bold speculations in the crypto market. Thanks to perks like affordable leverage and premiums that cost a fraction of spot trades, it's no wonder call options are gaining popularity among bullish crypto traders looking to reap lucrative gains.

Financial markets can be tough to navigate at times, especially those that experience high levels of volatility, such as the crypto market. Although market participants can benefit from volatile price

When you think of crypto options, you may be reminded of the YOLO all-in option plays that often flood social media feeds with their staggering amounts of gains and losses. While most traders will be focused on the potential leveraged gains that can be made with crypto options, they often forget that it only takes a couple of bad, risky trades for all the gains to be wiped over. That's where mitigation tools like multi-leg crypto option strategies come in.

With the crypto market being inherently volatile, crypto traders will need any edge they can get to achieve long-term success in the crypto space. That’s why recognizing and trading based on chart patterns like bear flags is so essential if you’re actively trading in the crypto markets. As one of the more recognizable multi-candle chart patterns used by crypto traders, bear flag patterns are powerful indicators of potential price movement, and can be helpful for any trader who spots a consolidation phase.

There's no shortage of exciting possibilities in crypto. For the crypto-curious, the potential for significant returns can be incredibly enticing. But what if there was a way to amplify your gains (or losses) in the market? Enter margin trading and leverage, both powerful tools that can supercharge your returns — but also magnify your risks.

If you're a beginner in the world of cryptocurrency, the term 'spot trading' might be unfamiliar to you. However, it's a common form of trading in the crypto market that you should know about. For many, spot trading is the ideal entry point for getting started with crypto trading, being a relatively straightforward method.