Bitcoin and crypto have become very popular trading tools. However, we have witnessed a huge speculation boom and we expect the crypto market to change drastically over the coming years. Thus, be very careful when you are making strategies and/or backtesting. What works today might not work tomorrow! (Much more so that in the “established” markets with decades of history, even centuries.)
Anyway, here are some backtested bitcoin and crypto trading strategies:
Bitcoin and crypto trading strategies:
- Should Bitcoin Be A Part Of Your Portfolio? Backtest, Allocations, And Simulations
- Which Trading Strategy Is Best For Crypto? Bitcoin or Altcoin? (Backtest, Rules, Performance)
- Cryptocurrency Trading Strategy — What Is It? (Backtest)
- Bitcoin Crash Trading Strategy — What Is It? (Backtest)
- End of month effect in Bitcoin – does it exist? (Turn of the month)
- Trend following and momentum strategies on bitcoin (crypto) – capturing the trend (free bitcoin trading strategies)
- Bitcoin Cash Trading Strategy — What Is It? (Backtest)
- Does RSI work on crypto or Bitcoin trading? Is RSI good for crypto?
- Dogecoin Trading Strategy — What Is It? (Backtest)
- NFT Trading Strategy – What Is It? (How To Trade It)
- Litecoin Trading Strategy (Backtest – How To Trade It)
- Cardano Trading Strategy (Backtest)
- Day Trading Cryptocurrency Strategy (Backtest)
- Ripple Trading Strategy (How To Trade – Backtest)
- Shiba Inu Trading Strategy (Backtest And Performance)
Bitcoin and crypto-relevant articles:
Why invest in cryptos?
Cryptocurrencies can be a useful investment option for several reasons.
First and foremost, they offer the potential for significant returns on investment (at least it has thus far). Many cryptocurrencies have experienced substantial growth over the years, with some early investors achieving staggering profits. While past performance is not indicative of future results, the overall upward trend of cryptocurrencies and their disruptive nature in various industries create an optimistic outlook for potential gains.
Furthermore, cryptocurrencies provide an alternative investment avenue with a relatively low barrier to entry. Traditional investment markets often have high minimum investment requirements or impose significant fees, making them inaccessible to some individuals. Cryptocurrencies, on the other hand, can be purchased in fractions, allowing investors to start with small amounts and gradually increase their holdings as desired.
Cryptocurrencies also offer diversification benefits, as we have shown. Adding cryptocurrencies to an investment portfolio can help mitigate risk by introducing a non-correlated asset class. Cryptocurrencies generally operate independently from traditional markets and are influenced by different factors, which can enhance overall portfolio stability.
Another advantage of cryptocurrencies is their potential for innovation and disruption. Blockchain technology, which underlies most cryptocurrencies, has the potential to revolutionize various industries, including finance, supply chain management, healthcare, and more. By investing in cryptocurrencies, investors not only gain exposure to potential financial gains but also support the development and implementation of groundbreaking technologies.
Lastly, cryptocurrencies provide increased accessibility and financial inclusion, particularly in regions with limited banking infrastructure. They enable individuals to participate in global financial systems, transfer funds securely and swiftly, and engage in economic activities that were previously inaccessible.
While investing in cryptocurrencies carries inherent risks and market volatility, their potential for high returns, diversification benefits, disruptive capabilities, and financial inclusion make them an appealing investment option for those willing to undertake thorough research and understand the associated risks. However, we would not put a large allocation into cryptos.