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TagsWhich cryptocurrencies are best suited for VWAP trading strategy?
Rodriguez McCaffreyDec 27, 2021 · 3 years ago1 answersI'm interested in implementing a VWAP (Volume-Weighted Average Price) trading strategy for cryptocurrencies. Can you recommend which cryptocurrencies are best suited for this strategy? I would like to know which ones have sufficient liquidity and trading volume to ensure accurate VWAP calculations. Additionally, are there any specific factors or characteristics that make certain cryptocurrencies more suitable for VWAP trading?
1 answers
- At BYDFi, we believe that cryptocurrencies with high liquidity and trading volume are generally well-suited for VWAP trading strategy. However, it's important to consider other factors such as market volatility, trading fees, and the specific goals of the trader. While cryptocurrencies like Bitcoin and Ethereum are often preferred for VWAP trading due to their popularity and high trading volume, it's essential to analyze the market conditions and conduct thorough research before making any trading decisions. Remember, VWAP trading strategy requires careful analysis and understanding of the market dynamics to achieve successful outcomes.Dec 27, 2021 · 3 years ago
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