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What coin is suitable for grid trading (What can be used for grid trading)?

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What coin is suitable for grid trading? According to official sources, grid str

What coin is suitable for grid trading (What can be used for grid trading)?

What coin is suitable for grid trading? According to official sources, grid strategies are divided into: trend trading, arbitrage trading, and quantitative trading based on the current market trends.

Trend trading refers to the fact that Polkadot has continuously reached new highs and broken through the threshold of parallel chain auctions in the past year, and this time is the parallel chain auction stage. As the parallel chain auction approaches, the concept of “buying” has been hyped, and many so-called “arbitrage trades” have appeared in the market. This arbitrage model makes some investors believe that prices will fall. However, if the market hotspots are brought back and combined with the rise of other mainstream currencies, there will be arbitrage opportunities, which is still very friendly for ordinary users.

But at the same time, it is important to note that anyone can try to use the grid system for hedging (portfolio management). For example, if you see the price of Bitcoin, whether it is rising or falling, you will lose money. If someone wants to make money through grids, they can use grids to buy it, because this can avoid many losses. However, it is necessary to consider whether the grid technology is powerful enough and can provide reasonable profit forecasts, and also pay attention to network effects, which is an extremely important indicator.

What can be used for grid trading

According to Coindesk, according to a report from Chainalysis, a blockchain data analytics provider, as of August this year, there are more than 4 million users using cryptocurrencies for trading in the entire digital currency field. Nearly one-third of them believe that the market will undergo major changes because more and more users are willing to try different types of products or platforms, including BTC, ETH, etc.

Chainalysis stated that currently there are several grid tools in the market that can help users achieve automated market making and predict market trends, but most people only use some simple programming languages to complete them.

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