What is crypto scalping?

<p id="isPasted">Crypto scalping is a high-speed trading strategy where investors aim to accumulate numerous small profits by capitalizing on minor, short-term price movements. Unlike long-term holding or swing trading, scalpers enter and exit positions within seconds or minutes, often executing dozens or even hundreds of trades in a single day.&nbsp;</p><p><strong>Core Characteristics</strong></p><ul><li>High Frequency: Traders prioritize quantity over large individual gains, stacking many "micro-wins" to achieve significant daily returns.</li><li>Short Holding Periods: Positions are typically held for seconds to minutes, rarely lasting more than an hour.</li><li>Technical Focus: Decisions are based almost entirely on technical analysis and real-time price action rather than long-term project fundamentals.</li><li>Liquidity &amp; Volatility: Scalpers target highly liquid assets (like Bitcoin or Ethereum) on active exchanges to ensure fast execution and narrow bid-ask spreads. </li></ul><p><strong>Common Indicators &amp; Strategies</strong></p><p>Scalpers rely on specific technical tools to spot entry and exit points on 1-minute or 5-minute charts:&nbsp;</p><ul><li>Moving Averages (EMA/SMA): Used to identify immediate trend direction and potential support/resistance levels.</li><li>Relative Strength Index (RSI): Helps identify overbought or oversold conditions to predict quick reversals.</li><li>Bollinger Bands: Used to track volatility and spot breakouts or price "snaps" back to the average.</li><li>Stochastic Oscillator: Measures momentum to find reversal points before the price actually moves.</li><li>Range Trading: Buying near established support levels and selling near resistance in a sideways market. </li></ul>