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10 Best Crypto Trading Strategies for Traders in 2025

Learn the best cryptocurrency trading strategies and how to use them in this descriptive guide.
Talha Ahmad
8 minutes
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Crypto trading has emerged as a popular and lucrative form of investment over the past few years. As the crypto market continues to grow and evolve, more and more traders are turning to various strategies to help them navigate the market and increase their profits.

A successful crypto trading strategy requires a deep understanding of the market, technical analysis, risk management, and a willingness to adapt to changing market conditions.

In this post, we will explore the best crypto trading strategies to use in 2023.

Top 10 Crypto Trading Strategies

Let's explore some of the most popular crypto trading strategies, their advantages and disadvantages, and how to implement them effectively. Whether you're a seasoned trader or a beginner, understanding these strategies can help you make informed decisions and achieve your trading goals.

Here are the 10 crypto trading strategies that traders commonly use:

1. HODLing an asset

HODLing, as it is commonly known in the cryptocurrency world, refers to the practice of holding onto a cryptocurrency for the long term, rather than selling it for a short-term gain. The term originated in 2013 when a user on a Bitcoin forum misspelled the word "hold" as "hodl" in a post encouraging others to resist the temptation to sell during a price drop. HODL also commonly come to stand for "hold on for dear life" among crypto investors.

The basic idea behind HODLing is that cryptocurrencies are still in their early stages of development and have the potential for significant long-term growth. By holding onto a cryptocurrency for the long term, investors hope to benefit from its potential future value, rather than just its current market price.

However, HODLing does involve risks, as the cryptocurrency market is highly volatile and can experience significant price swings in a short amount of time. Therefore, it's important to conduct research and due diligence before deciding to HODL a particular cryptocurrency, and to have a solid understanding of the market trends and the underlying technology and fundamentals of the cryptocurrency in question.

2. Swing Trading Strategy

Swing trading consists of buying and holding a cryptocurrency for a short period of time, usually a few days or weeks, with the aim of profiting from price movements within that time frame. The goal is to capture short-term price swings or "swings" in the market.

Swing traders often use technical analysis to identify potential entry and exit points for their trades. They look for chart patterns, such as trend lines, support and resistance levels, and moving averages, to determine the direction of the market and the optimal time to buy or sell a cryptocurrency.

3. Scalping Trading Strategy

Crypto scalping is a trading strategy that involves making small, quick profits by buying and selling cryptocurrencies within a short time frame, usually a few minutes to an hour. Scalpers aim to profit from small price movements, taking advantage of short-term volatility in the market.

To be successful at crypto scalping, traders need to be able to quickly identify opportunities and act fast. They often use technical analysis to identify short-term trends and support and resistance levels to determine entry and exit points for their trades. Scalpers may also use trading bots or automated algorithms to execute their trades quickly and efficiently.

Furthermore, scalpers need to be disciplined and patient, as it can take time to identify profitable trades and execute them quickly.

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4. Technical Analysis

Technical analysis is a trading strategy that involves studying historical market data, such as price charts and volume, to identify patterns and trends that can help predict future price movements of a cryptocurrency. It's based on the idea that past market behavior can help inform future market behavior.

In technical analysis, traders use various tools and indicators to analyze market data and make trading decisions. Some of the most commonly used indicators include moving averages, trend lines, support and resistance levels, and relative strength index (RSI). Traders may also use chart patterns, such as head and shoulders, triangles, and flags, to identify potential price movements.

Technical analysis can be useful in predicting short-term price movements of a cryptocurrency, but it does have limitations. It cannot account for unexpected events, such as regulatory changes, technological advancements, or other external factors that can affect the cryptocurrency market.

5. Fundamental Analysis

Fundamental analysis is a basic yet powerful trading strategy that promotes studying the underlying factors that influence the value of a cryptocurrency. These factors can include the technology and development of the cryptocurrency, the market demand for it, the regulatory environment, and other macroeconomic factors that can affect the cryptocurrency market.

In fundamental analysis, traders look at a cryptocurrency's fundamentals, such as its whitepaper, development team, partnerships, adoption rate, and market share, to determine its long-term value and potential for growth.

One of the key advantages of fundamental analysis is that it can provide insights into the long-term value and potential of a cryptocurrency, beyond just short-term price movements. It can also help traders identify undervalued or overvalued cryptocurrencies and make informed investment decisions based on their analysis.

6. Arbitrage Trading Strategy

Arbitrage is a trading strategy that involves taking advantage of price differences between different cryptocurrency exchanges or markets to make a profit. In the context of cryptocurrency, arbitrage involves buying a cryptocurrency on one exchange where it is priced lower and simultaneously selling it on another exchange where it is priced higher, thereby profiting from the price difference.

To successfully execute an arbitrage trade, traders need to be able to identify price discrepancies quickly and act fast. This often involves using trading bots or automated algorithms to scan multiple exchanges simultaneously and identify potential arbitrage opportunities.

7. News Based Trading Strategy

News-based trading is a trading strategy that involves using news events and announcements to make trading decisions. This strategy involves monitoring news sources, such as financial news outlets, social media, and official announcements, to identify events or news that could potentially impact the cryptocurrency market.

When a news event is announced, traders will analyze the information and try to predict how it will affect the price of a particular cryptocurrency. Based on their analysis, traders may enter or exit positions in anticipation of the market's reaction to the news.

News-based trading can be a profitable strategy if done correctly, as news events can have a significant impact on the cryptocurrency market.

For example, a positive announcement from a major company about adopting a cryptocurrency can lead to an increase in demand and drive up prices. Conversely, negative news such as a security breach or regulatory crackdown can lead to a decrease in demand and drive down prices.

8. Market Making Strategy

Market making is a trading strategy used by professional traders to provide liquidity to the market. In the context of cryptocurrency, market makers buy and sell cryptocurrencies with the goal of making a profit by buying at a lower price and selling at a higher price, while also providing liquidity to the market.

Market makers do this by placing limit orders on both sides of the order book, buying at a lower price and selling at a higher price than the current market price. By doing so, they provide liquidity to the market, ensuring that buyers and sellers can easily execute their trades without significant slippage.

Market making can be yielding profits as market makers earn a profit from the bid-ask spread, which is the difference between the highest price that a buyer is willing to pay for a cryptocurrency (the bid) and the lowest price that a seller is willing to sell for (the ask).

9. Position Trading Strategy

Position trading involves holding a position in a cryptocurrency for an extended period of time, typically weeks, months, or even years. Position traders aim to profit from long-term trends and market movements by taking a position in a cryptocurrency and holding it for an extended period, regardless of short-term fluctuations in price. 

Position traders typically use fundamental analysis to identify cryptocurrencies with strong long-term potential and then hold the position for an extended period of time, waiting for the market to move in their favor.

This strategy can be used to capture long-term trends and take advantage of long-term market movements, potentially resulting in significant profits. In addition to this, traders can monetize from reinvesting their profits to increase the size of the position. 

10. Algorithmic Trading Strategy

This is one analytical trading strategy that uses computer programs to execute trades based on pre-programmed instructions, also known as algorithms. In the context of cryptocurrency, algorithmic trading can be used to buy and sell cryptocurrencies based on market conditions, technical indicators, or other factors.

Algorithmic trading programs can be customized to suit a trader's specific needs and can be used to automate the trading process, allowing traders to execute trades more quickly and efficiently. These programs can analyze market data in real-time, making trading decisions based on predefined rules and criteria.

When done correctly, it can help traders to react quickly to changing market conditions and take advantage of short-term opportunities. Also, algorithmic trading programs can help to remove emotions from the trading process, allowing traders to stick to their trading plan and avoid making impulsive decisions.

How Token Metrics Can Help Strategize Your Trading?

Strategizing your crypto investments can now get easier with the Token Metrics.

Head over here to explore → https://app.tokenmetrics.com/en/ratings

Start analyzing your assets by getting hold of the right metrics such as:

  • Identifying bullish/bearish trends
  • Adaptive trend line indicator
  • Short term support and resistance range
  • Clear long/short signals
  • Market movements

And so much more…

The Bottom Line

Remember that trading cryptocurrencies can be risky, and it's important to do your research, understand the risks involved, and develop a sound trading strategy that suits your goals and risk tolerance.

Disclaimer

The information provided on this website does not constitute investment advice, financial advice, trading advice, or any other sort of advice and you should not treat any of the website's content as such.

Token Metrics does not recommend that any cryptocurrency should be bought, sold, or held by you. Do conduct your own due diligence and consult your financial advisor before making any investment decisions.

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Recent Posts

Research

Fundamental Grade Crypto API: Invest with Conviction Using Real Project Signals

Token Metrics Team
4

Most traders chase price action; Fundamental Grade Crypto API helps you see the business behind the token—community traction, tokenomics design, exchange presence, VC signals, and DeFi health—consolidated into one score you can query in code. In a few minutes, you’ll fetch Fundamental Grade, render it in your product, and ship a due-diligence UX that drives trust. Start by grabbing your key at the Get API Key page, Run Hello-TM to verify your first call, then Clone a Template to go live fast.

What You’ll Build in 2 Minutes

A minimal script to fetch Fundamental Grade from /v2/fundamental-grade for any symbol (e.g., BTC).

  • Optional curl to smoke-test your key in seconds.
  • A drop-in pattern to display the grade + key drivers in dashboards, screeners, and research tools.

Endpoints to consider next:

  • /v2/tm-grade (technical/sentiment/momentum)
  • /v2/price-prediction (scenario planning)
  • /v2/resistance-support (risk levels)
  • /v2/quantmetrics (risk/return stats)

Why This Matters

Beyond price, toward quality. Markets are noisy—hype rises and fades. Fundamental Grade consolidates hard-to-track signals (community growth, token distribution, liquidity venues, investor quality, DeFi integrations) into a clear, comparable score. You get a fast “is this worth time and capital?” answer for screening, allocation, and monitoring.

Build trust into your product. Whether you run an investor terminal, exchange research tab, or a portfolio tool, Fundamental Grade lets users justify positions. Pair it with TM Grade or Quantmetrics for a balanced picture: what to buy (fundamentals) and when to act (signals/levels).

Where to Find The Fundamental Grade

The Fundamental Grade is easily accessible in the top right of the API Reference. Grab the cURL request for seamless access!

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How It Works (Under the Hood)

Fundamental Grade aggregates multiple project-quality signals into a normalized score and label (e.g., Strong / Average / Weak). Typical sub-signals include:

  • Community: momentum across channels (dev activity/user traction signals where applicable).
  • Tokenomics: supply schedule, distribution, unlock dynamics, incentives.
  • Exchange Presence: venue coverage, depth/liquidity proxies.
  • VC/Investor Signals: quality/durability of backing and ecosystem support.
  • DeFi Health: integrations, TVL context, composability footprint.

At query time, you call /v2/fundamental-grade with a symbol; responses include the overall score plus component scores you can visualize. For dashboards with many assets, batch fetches and short-TTL caching keep pages responsive. If you push alerts (e.g., “Fundamental Grade upgraded”), prefer webhooks or queued jobs to avoid hammering the API.

Production Checklist

  • Rate limits: Know plan caps; add client throttling and request queues.
  • Retries/backoff: Exponential backoff + jitter; surface actionable error messages.
  • Idempotency: Prevent duplicate downstream actions on retried calls.
  • Caching: Use memory/Redis/KV with short TTLs; pre-warm popular symbols.
  • Webhooks & jobs: For alerts, use signed webhooks or scheduled jobs; log delivery outcomes.
  • Pagination/Bulk: When covering many tokens, paginate or process in batches.
  • Error catalog: Map 4xx/5xx to user-visible fixes; log request IDs.
  • Observability: Track p95/p99 and error rate per endpoint; alert on spikes.
  • Security: Keep API keys in secrets managers; rotate regularly.

Use Cases & Patterns

  • Screener Maker: Rank tokens by Fundamental Grade, filter by market cap/sector, and add “rising fundamentals” badges for discovery.
  • Dashboard Builder: On each token page, show the headline grade with a component chart; link to methodology for transparency.
  • Research & PM Tools: Flag downgrades/upgrades to prompt re-evaluation; attach notes to component changes (e.g., DeFi health drop).
  • Allocator / Risk: Require a minimum Fundamental Grade before inclusion; rebalance only when grade crosses thresholds.
  • Community/Discord: Post weekly upgrades as digest messages with links back to your app.

Next Steps

  • Get API Key — generate a key and start free.
  • Run Hello-TM — verify your first successful call.
  • Clone a Template — deploy a screener or token page today.
  • Watch the demo: VIDEO_URL_HERE
  • Compare plans: Scale confidently with API plans.

FAQs

1) What does the Fundamental Grade API return?

A JSON payload with the overall score/grade plus component scores (e.g., community, tokenomics, exchange presence, VC backing, DeFi health) and timestamps. Use the overall grade for ranking and component scores for explanations.

2) How fast is the endpoint? Do you publish SLOs?

The API is engineered for predictable latency. For high-traffic dashboards, add short-TTL caching and batch requests; for alerts, use jobs/webhooks to minimize round-trips.

3) Can I combine Fundamental Grade with TM Grade or signals?

Yes. A common pattern is Fundamental Grade for quality filter + TM Grade for technical/sentiment context + Trading Signals for timing and Support/Resistance for risk placement.

4) How “accurate” is the grade?

It’s an opinionated synthesis of multiple inputs—not financial advice. Historical studies can inform usage, but past performance doesn’t guarantee future results. Always layer risk management and testing.

5) Do you offer SDKs and examples?

You can use REST directly (see JS/Python above). The docs include quickstarts, Postman, and ready-to-clone templates—start with Run Hello-TM.

Research

Indices Hub: Join the Waitlist for TM Global 100 (2025)

Token Metrics Team
5

If you’ve been waiting for a simple, rules-based way to own the Token Metrics Global 100—without micromanaging tokens—this hub is for you. The TM Global 100 is a rules-based crypto index that holds the top 100 assets in bull markets and moves to stablecoins in bear markets, with weekly rebalancing and transparent holdings/transaction logs you can verify at any time. It’s designed for hands-off allocators who want disciplined exposure and for active traders who want a core that adapts to regimes—without guesswork or endless rebalancing. Below you’ll find how it works, who it’s for, and exactly how to join the waitlist so you’re first in line when trading opens.

→ Join the waitlist to be first to trade TM Global 100.

Why Indices Matter in October 2025

Search intent right now: investors want credible, rules-based crypto exposure that can participate in upside while reducing drawdown pain. A crypto index is a basket of assets selected and maintained by rules—so you avoid one-off bets and constant manual rebalancing.

With liquidity rotating quickly across sectors, weekly rebalancing helps maintain alignment with current market-cap leaders, while regime switching provides a disciplined, pre-defined response to bearish conditions. The result is a clear, consistent process that removes emotional decision-making and operational drag.

Definition

A crypto index is a rules-based basket of digital assets that’s constructed, weighted, and rebalanced on a set schedule.

How the TM Global 100 Index Works (Plain English)

  • Regime switching: Bullish: Hold the top-100 crypto assets by market cap.
  • Bearish: Exit all positions into stablecoins and wait for a new bullish signal.
  • Weekly rebalancing: Reflects updated rankings and weights across the market-cap universe.
  • Transparency: Strategy modal shows methodology and thresholds; Gauge → Holdings Treemap → Transactions Log make every change visible.

What you’ll see on launch: Price tile, gauge (“rebalances weekly”), 100 tokens, one-click Buy Index flow, and a 90-second checkout via embedded wallet.‍See the strategy and rules.

Benefits at a Glance (Why This Beats DIY)

  • Time saved: No more manual coin-picking, sizing, and calendar rebalances.
  • Lower execution drag: One click vs. dozens of individual orders that can add slippage.
  • Stay current: Weekly rebalances help you capture market-cap changes without constant monitoring.
  • Discipline in drawdowns: Automatic switch to stablecoins removes panic decisions.
  • Radical visibility: Holdings treemap, table, and transactions log show what you own and what changed—every week.
  • Operational simplicity: Embedded wallet and a unified dashboard; no juggling chains and exchanges.

Step-by-Step: How to Get Early Access (Waitlist)

  1. Open the Indices Hub: Head to the Token Metrics Indices hub.
  2. Choose TM Global 100: Open the index page and review the Gauge → Strategy → Holdings.
  3. Join the Waitlist: Add your email to be notified the moment trading opens.
  4. (Optional) Connect Wallet: Pre-connect your wallet for a faster launch-day checkout.

Launch-Day Flow (~90 seconds): Tap Buy Index, review fees/slippage, confirm, and see your position in My Indices. Track Rebalances: After each weekly rebalance or regime change, check the Transactions Log for updates.

→ Join the waitlist to be first to trade TM Global 100.

Decision Guide: Is This Right for You?

  • Hands-Off Allocator: Want broad exposure without micromanaging? Yes—rules-based + weekly rebalances.
  • Active Trader: Need a core that sits in stables during bears while you hunt edges elsewhere? Fits.
  • TM Member/Prospect: Already trust Token Metrics research? This is the rules-based version of “own the market.”
  • Risk-Aware Newcomer: Prefer a clear framework over vibes? Methodology is visible and auditable.
  • DIY Basket Builder: Tired of missed rebalances and slippage? One click can reduce execution drag.
  • Data-First Analyst: Want to verify? See the holdings, weights, and transaction history anytime.

FAQs

1) What is a TM Global 100 index?

It’s a rules-based crypto index that holds the top 100 assets by market cap in bullish regimes and moves to stablecoins in bearish regimes. It rebalances weekly and shows transparent holdings and transactions.

2) How often does the index rebalance?

Weekly, with additional full-portfolio switches when the market regime changes.

3) What triggers the move to stablecoins?

A proprietary market signal. When bearish, the index exits all token positions into stablecoins and waits for a bullish re-entry signal.

4) Can I fund with USDC or fiat?

At launch, funding and settlement options surface based on the embedded wallet and supported chains. USDC payouts are supported for selling; additional entry options may be introduced later.

5) Is the wallet custodial?

No. The Embedded Wallet is self-custodial—you control your funds while using a streamlined, on-chain checkout.

6) How are fees shown?

Before you confirm, the Buy flow shows estimated gas, platform fee, maximum slippage, and the minimum expected value.

7) How do I join the waitlist?

Go to the Token Metrics Indices hub or the TM Global 100 strategy page and submit your email. We’ll notify you the moment trading opens.

Security, Risk & Transparency

  • Self-custody: Embedded smart wallet; you hold the keys.
  • 2FA & session hygiene: Use strong auth practices for your TM account.
  • Fee clarity: Gas, platform fee, and slippage are displayed before you confirm.
  • Auditability: Holdings, treemap, and transactions log are always visible.
  • Model limits: Regime logic can be wrong, and markets can gap; rules reduce discretion—not risk.
  • Regional availability: Product surfaces may vary by region as we expand.

Crypto is volatile and can lose value. Past performance is not indicative of future results. This article is for research/education, not financial advice.

Conclusion

If you want a disciplined, rules-based core that adapts to market regimes, Token Metrics Global 100 is built for you. Weekly rebalances, transparent holdings, and one-click buy remove operational friction so you can focus on your strategy.

→ Click here to get early access to Token Metrics indices.

Research

Top Crypto Index for Hands-Off Portfolios (2025)

Token Metrics Team
4

If you want broad exposure to cryptocurrencies without constant chart monitoring, a top crypto index offers a streamlined way to participate in the market. Token Metrics provides innovative tools to help you understand and access such indices efficiently.

Opening Hook

If you’re seeking an uncomplicated, rules-driven approach to crypto investing that adapts to market conditions, a top crypto index might be worth exploring. These indexes automate the process of capturing upside potential while managing risk during downturns, making crypto investing more accessible for a variety of investor profiles.

What is a Crypto Index?

A crypto index is a systematic, rules-based collection of digital assets that reflects a specific universe—such as the top 100 cryptocurrencies by market capitalization. It relies on transparent methodologies and scheduled rebalancing to ensure that the composition remains aligned with market dynamics. These indexes aim to provide broad exposure while reducing the need for individual asset management.

How Top Crypto Indexes Function in 2025

Many modern crypto indexes incorporate regime switching mechanisms: during bullish periods, they hold top assets; during bear markets, they shift to stablecoins to mitigate losses. Weekly rebalancing updates the constituents based on current market rankings, and transparency tools such as strategy descriptions, gauges, and transaction logs allow users to verify holdings and changes in real-time.

Benefits of Using a Crypto Index Over DIY Approaches

  • Time efficiency: Automates rebalancing and regime switching, saving manual effort.
  • Lower slippage: Executes large baskets with minimal impact on prices.
  • Consistency: Ensures regular rebalancing and discipline during volatile periods.
  • Transparency: Clear logs and dashboards allow for full accountability.
  • Speed: Simplified onboarding with quick allocation processes.

Getting Early Access to Top Crypto Indexes

To gain early exposure, follow these steps:

  1. Open the Token Metrics Indices hub.
  2. Select TM Global 100 and view its details.
  3. Tap “Join Waitlist” and enter your email (optionally connect your wallet).
  4. Review strategy criteria, holdings, and rebalancing rules.
  5. Once launched, connect your wallet, review estimated fees, and confirm your allocation.
  6. Funds appear in your index portfolio, enabling easy tracking and management.

Is This Index Suitable for You?

Consider your investment style:

  • Hands-Off Allocator: Ideal if you prefer broad market exposure with minimal management.
  • Active Trader: Use as a core component, complemented by higher-beta bets.
  • New to Crypto: Great for beginners seeking transparent exposure through simplified flows.
  • DIY Enthusiast: Replace complex basket-building with a rules-based index.
  • Self-Custody User: Benefit from integrated self-custodial wallets with clear transaction records.

FAQs

What is a top crypto index?

It is a rules-based basket that tracks a defined universe of digital assets—such as the top 100 by market cap—using transparent methodology and scheduled rebalancing.

How often does the index rebalance?

The index rebalances weekly, with regime switches occurring when market signals change, ensuring adaptability during different market cycles.

What prompts the move to stablecoins?

A proprietary market-regime signal triggers the transition, exiting token positions to stablecoins during bearish periods and re-entering when signals turn bullish.

Can I fund with USDC or fiat?

At launch, the embedded wallet will support supported funding options based on your chain or wallet. USDC payout is available upon sale; further options may follow.

Is the wallet custodial?

No. It’s an embedded, self-custodial smart wallet—giving you full control over your private keys and funds.

How are fees shown?

Estimated gas, platform fee, slippage, and minimum expected value are displayed before you confirm the transaction, providing full transparency.

How do I join the waitlist?

Visit the Token Metrics Indices hub or the TM Global 100 page, tap “Join Waitlist,” and follow the instructions to register your interest and prepare for launch.

Disclaimer

Crypto assets are highly volatile and can result in significant losses. Past performance does not guarantee future results. This content is for research and educational purposes only and not financial advice.

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