Scalping is a crypto trading strategy that aims to make a profit off small price changes. This trading strategy requires a trader to buy and sell cryptocurrency within a range of 1 minute to 15 minutes. You are scouting for small price changes and although each gain is small, they all build up over time.
Scalpers often go after highly volatile assets and huge trading volumes, as this allows them to catch those fast moves. But honestly, it’s not for all. You must have a solid knowledge of crypto, the ability to make quick decisions, and the mental stamina to handle the pressure.
A successful scalping strategy relies on Technical Analysis which helps in the movement of the price. Most scalpers use short time-frames like 5-minute charts that clear your insights into market behavior. Still, manually performing scalping is exhausting & thus automation comes into play.
Cryptohopper is a game-changer trading bot that makes your trading easier by applying your strategy automatically. It’s an easy-to-use platform that makes it easy for you to set up your trades and lets the bot do the rest.
With tools like MESA, Williams %R, and EMA crossovers, you can be sure the bot is turning data into dollars for you. Also, there are built-in risk management features, like trail stops, that protect your profits. Get ready to rake in profits with this handy guide that will show you how to create a 1-minute scalping strategy on the Cryptohopper platform! But first, don’t overlook these quick tips if you want to make sure that your Cryptohopper Scalping strategy is working:
Scalping tips
- First, timeframes are crucial. Scalpers usually stick to 1-minute or 5-minute charts to spot entry and exit points. Cryptohopper makes this easy by supporting both.
- A solid win rate is key—aim for over 50%. Since each profit is small, staying consistently positive with your trades is vital for long-term gains.
- Trend indicators like Parabolic SAR and MESA are your allies. Use them to identify the market direction. For extra confirmation, check these indicators on higher timeframes like 4-hour or daily charts.
- Also, always trade with the market trend. Go long during bullish markets and avoid bearish trends unless you’re short-selling.
- Finally, test your strategies before going live. Cryptohopper’s paper trading feature lets you backtest risk-free, so you can refine your strategy before real trades.
Now, with these tips in hand, setting up a one-minute scalping strategy on Cryptohopper becomes your ticket to quick, consistent profits. Let automation work for you, and let the small gains stack up.
How to set up a one-minute scalping strategy on Cryptohopper
Even though it sounds fast-paced, when done correctly, it could yield many benefits as well. Scalping with Cryptohopper is great since you don’t have to sit at your laptop all day. The bot does all the work for you, so you can go about your day while it works hard for you. Let’s break it down step-by-step so you can profit without all the stress.
1. Create Your New Bot
First things first—log into your Cryptohopper account. Head over to the ‘Simulators’ section, where you can test your strategies without risking real money. This is key when you’re fine-tuning your approach. Click on ‘Create New,’ give your bot a name (something like “One-Minute Scalping Test”), and save your settings. This will be your testing ground, so don’t worry about getting everything perfect just yet.
Figure 1: Creating your new bot on Cryptohopper
2. Configure Your Exchange Settings
Next up, you will want to connect your exchange. When you’re first setting up Cryptohopper, you’ll be prompted to choose an exchange. Choose Binance for your exchange—this is one of the most compatible and popular options on Cryptohopper. At this point, enable ‘Paper Trading’, which is where you can test your strategy without putting your real money at risk. When you’re done, hit save and you’re good to go.
Figure 2: Enable paper trading in Exchange settings
3. Edit your notifications settings.
Let’s be honest- notifications can be quite distracting, especially when you are putting in the effort to improve your strategy. So, turn off notifications that bug you to avoid any hindrance in your work. This way, you’ll only get alerts for important events, like when your bot executes a trade. Again, don’t forget to save your settings!
Figure 3: Adjusting your Notification settings
4. Set Up Your Buy Settings
Time to have fun: define how you want to bot to perform buys. This entails:
- Market Order: For buying, you will choose to go for ‘Market Order’. This will enable the bot to make purchases at market value which, in turn, will ensure that you can get in price.
- Buy Open Time: Make it 5 minute long. This guarantees that if the order is not filled within a certain amount of time, it will cancel on its own. You do not want to get stuck with empty orders, right?
- Open Job Positions: When choosing the number of open positions, pick something reasonable to manage your risk. 10 would be a good number.
- Only Allow One Open Position Per Coin: Turn this on to avoid becoming a one-trick crypto pony.
- Cooldown: Change to One Hour interval This allows the market to get stable before your bot re-enters a position.
- Always purchase when there is a positive pair: This setting means that the bot will only buy when conditions are favorable.
- Only purchase stocks if you’re not already holding them: Keeps the bot from accumulating more of a coin if it has already horde that coin.
Save these settings, and you’re one step closer to automating your trading.
5. Pick Your Trading Pairs
Choosing the right trading pairs is crucial. Stick with pairs that are liquid and have enough volatility for scalping, like USDT/BTC, USDT/ETH, and USDT/BNB. Set the ‘Force Minimum Buy’ to $10 to ensure your trades are meaningful without overextending your capital. This keeps things balanced and manageable, especially when you’re starting. Don’t forget to save once you’ve set your pairs.
6. Set Your Strategy
Now it’s time to select or design your strategy:
- Pre-Configured Strategy: Cryptohopper offers you pre-configured strategies like One Minute MACD Stochastic, ideal for short-term trades. There’s nothing wrong with mixing things up, and if you’d rather construct your strategy based on your appetite for risk and objectives, feel free.
- Simultaneous Purchases: Users can give the bot permission to buy up to 3 different digital currencies. It will help you diversify your positions which lowers your risks if a coin does not do well.
- Take Profit: Adjust ‘Take Profit’ To 1.05 %. Making a little profit but surely is in line with scalping where one makes little profit consistently.
- Selling In Market Order: Pick a ‘Market Order’ for selling to exit positions fast.
- Sell Open Time: Set the “sell open time” to 5 minutes The bot will get a good shot at closing the deal, but it will cancel if it takes too long.
- Trailing Stop Loss: If you’re feeling a little more timid, consider using a trailing stop loss so you can enjoy the profits while the market takes a dip. Once you’ve done this, save it and off you go!
7. Review and Activate the Bot
Before you hit that activate button, take a minute to double-check everything. Ensure your settings align with your risk management strategy and goals. Once you’re confident, activate your bot, and let it work its magic. Keep an eye on its performance and adjust as needed. After all, continuous monitoring and tweaking are key to a successful scalping strategy.
So here it is, the ultimate 1-minute scalping strategy on Cryptohopper! These are the steps you need to take to earn profits in no time. Scalping isn’t a one-time event. Rather, it’s a continuous learning, reducing, and honing exercise. Using Automation will save you time and trading effort. Keep an eye on your bot’s performance and modify strategies accordingly. Just keep doing it and you will be winning little by little but a whole lot cumulatively. At ProvenCrypto we do believe that traders should have the best tools to make their trading experience easy and effective. Get more tips for trading strategies here and get your trading journey a level up!
