8 Best Day Trading Platform For Crypto In 2021

    How to make money day trading

    So, how much money can you make day trading? Well, it depends with a host of factors. This includes your strategies, choice of brokerage firm, capital at hand and more. Like other types of trading, day trading is susceptible to huge losses, high brokerage fees, and a myriad of mistakes. As such, there’s no definitive answer to how much you can make as a day trader.

    What do day traders do?

    Day traders actively target cryptocurrencies, stocks, commodities, futures, and other assets. They ideally hold positions for seconds, minutes, or hours before closing them. They do not leave positions overnight; rather they close them before end of the trading day. Their main focus is to make short-term profits from small price movements.

    To be successful at day trading, you need to set stop-loss orders to avoid huge losses. Besides, it is crucial that you risk not more than 1% of your portfolio. As such, you’ll stand to lose 1% of your portfolio should the market not favor you. 

    Factors affecting earning potential for a day trader

    ·       Type of market

    Markets come with their advantages and disadvantages. For example, the stock market is one of the most capital intensive. As such, it is ideal for traders with resources at their disposal. As a beginner, you can start trading in forex, crypto, or futures since they are less capital intensive.

    ·       Capital

    Of course, if you invest $1,000, you’ll earn less than a trader with a $10,000 portfolio. That said, stick to your budget and grow your portfolio gradually.

    ·       Time

    Day trading is not an overnight success. You’ll need to come up with strategies and systems that work for you. To come up with such can take months or even years.

    8 best day trading platform

    When choosing a day trading platform, you need to consider factors such as reliability, speed, ease of use, and others. Here is a list of eight of the best day trading platforms.

    Name

    Interactive-

    Brokers

    Webull

    Robinhood

    Trade

    Station

    Fidelity

    eToro

    Coinbase

    Binance

    Minimum

    Deposit

    $0

    $0

    $0

    $500

    $0

    $50

    $2

    $10

    Trading Fee

    0.005 per share

    $0

    $0

    $0

    $0

    0.75% - 2.9%

    0.5% - 4.5%

    0.1% - 5%

    InteractiveBrokers

    Interactive Brokers is one of the best platforms a novice and seasoned trader can use for day trading. This is thanks to its $0 account minimum and favorable margin rates compared to other platforms in the market. This allows you as a day trader to amplify returns on your positions.

    Besides, the platform also supports cryptocurrency trading which is a boon if you want to diversify your portfolio. What’s more, the platform is compatible with Windows, Android, and iOS devices. You get the same functionalities on the web, desktop, and mobile app.

    Pros

    ·       Presents you with a wide range of trading options.

    ·       Robust SmartRouting software that recommends the most ideal order execution.

    ·       Comes with a host of superior trading tools such as technical analysis tools.

    ·       It has some of the lowest interest rates in the market.

    Cons

    ·       Clients who use the Lite version have limited trading resources.

    ·       It is not beginner friendly.

    ·       You cannot automate your trades.

    Webull

    Webull is a cost-effective broker that allows you to trade crypto and other assets with no commission. Also, there’s no account minimum for you to start trading. And like Interactive Broker, it has some of the most competitive margin rates. As a day trader, you’ll enjoy the templates specifically designed for day trading.

    Like most premium platforms, Webull comes in a desktop, mobile, and web application. This ensures you can trade on different devices such as Android and iOS. You can expect an intuitive user interface devoid of clutter that is most trading platforms.

    The platform offers a wide range of options such as cryptocurrency, U.S. stocks, U.S. Options, and ETFs. This ensures you have a robust trading platform.

    Pros

    ·       There are no commissions of cryptocurrencies

    ·       There are no minimums

    ·       Easy to setup and account and use

    ·       The platform has many educative and helpful trading tools and resources

    Cons

    ·       There are minimal portfolio management tools

    ·       You have no access to fixed income

    Robinhood


    Robinhood is yet another favorite platform for day traders. The platforms allows you to trade cryptocurrencies, options, ETFs, forex, and other assets. Like Webull, you do not require a deposit to open an account with them. Besides, their platform is beginner friendly so you can start day trading right away.

    Day traders tout it as one of the fastest and streamlined trading platform in the market. While it is a favorite for novice traders, professional traders find it lacking. Robinhood comes with some of the basic portfolio management tools such as stock quotes and watch lists.

    It also has a limited set of order types. Essentially, you can only place limit and market orders for the asset at hand. Like most platforms, you can use Robinhood on Android, iOS, and Windows devices.

    Pros

    ·       Easy to setup and use

    ·       It is beginner friendly

    ·       No account minimum

    Cons

    ·       Limited order types

    ·       Limited trading options

    ·       Limited features

    TradeStation


    Next off is TradeStation, a platform best suited for experienced traders. It comes with some of the most advanced portfolio management tools, which can be accessed, via the TS Select package. Initially, TradeStation was developed to cater to professional traders. However, it currently accepts application from regular traders.

    Like Robinhood, the minimum deposit is $0 meaning any day trader can open an account. Trading options include stocks, cryptocurrencies, options, futures, mutual funds, and more. As you’d expect, it has a robust desktop trading platform as well as intuitive Android and iOS apps.

    Pros

    ·       Comes with advanced trading tools

    ·       Has one of the most active trader community

    ·       Commission free cryptocurrency trading

    Cons

    ·       Can be overwhelming for novice day traders

    ·       You need to subscribe to TS Select for advanced tools

    Fidelity

    If you are new to crypto trading or trading in general, Fidelity is the perfect choice for you. This is thanks to the robust educational material that sets you on the right path. And thanks to the excellent asset and research screeners, you are sure to make informed trading decisions.

    It affords you an easy to navigate user interface. Here, the charts, quotes, watchlists, and other tools come in handy.

    Pros

    ·       Low cost of trading

    ·       Excellent research

    ·       Beginner friendly

    ·       Robust educational material

    Cons

    ·       Accessible to U.S. residents only

    ·       High brokerage fees

    eToro


    eToro is a preferred platform by most day traders since it allows them to copy strategies of other successful traders. The platform has over 20 million active users and continues to attract more traders. While it has an international footprint, residents of Minnesota, New York, Delaware, Tennessee, and Nevada cannot use its services.

    Here, you can trade up to 17 cryptocurrencies on your Android or iOS device. Unlike most platforms on this list, eToro requires you to have a $20 account minimum to start trading.

    Pros

    ·       Offers up to 17 cryptocurrencies

    ·       Allows you to copy other traders strategies

    Cons

    ·       Serves only the USA market

    ·       Requires a $20/$50/$200 deposit

     Coinbase


    Coinbase is arguably one of the most popular cryptocurrency trading platform. With over 100 cryptocurrencies, you can have a diverse trading portfolio. The basic Coinbase platform is ideal for beginners while seasoned one can use the Coinbase Pro platform

    Pros

    ·       Beginner friendly

    ·       100 tradeable cryptocurrencies

    ·       Coinbase Pro enables you to trade at low prices

    Cons

    ·       Limited altcoins

    ·       Poor customer service

    ·       High transaction fees

    Binance


    Finally, you can opt for Binance, which is a Coinbase competitor. It comes with over 350 tradeable cryptocurrencies and serves the global community. You can find cryptocurrencies such as Bitcoin, Litecoin, Cosmos, Dash, and others.

    Pros

    ·       Over 350 cryptocurrencies

    ·       Low transaction fees

    ·       Wide selection of order types and trading options

    Cons

    ·       Platform is not beginner friendly

    ·       U.S. customers cannot trade on the platform

    ·       There’s no hot wallet

    How to day trade stocks

    So, you want to be a day trader. Here are a few tips.

    ·       Set aside capital

    You should have a budget and assess how much you are willing to risk. Most experts advise beginners to risk 1% of their portfolio. For example, if you have a $10,000 account you should risk $100.

    ·       Create time for trading

    You need to have a schedule on when to enter and exit your positions. As you’d expect, day trading requires time and dedication for you reap big. You’ll need to follow chart movements and take advantage of opportunities when they arise.

    ·       Grow gradually

    As a beginner, you should not overwhelm yourself with many assets. If possible, stick to one, at most, two assets. This will not only lower your losses but also enable you to learn the trading ropes with ease.

    ·       Watch out for opportunities

    Most seasoned traders will enter positions once the markets open. As a day trader, you should take advantage of opportunities that arise due to price volatility. Avoid taking positions during the early minutes, instead wait for half an hour to identify potential trend in the market.

    ·       Place limit orders

    To avoid huge losses, you should place limit and market orders. Market orders allow execution of your order at the best price while limit order ensures you trade precisely.







    Comments

    • December 7, 8.00
      D. jhon shikon milon

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