Which trading hours offer the highest liquidity for cryptocurrencies?
Suman paulJan 12, 2022 · 3 years ago3 answers
When it comes to trading cryptocurrencies, which specific hours of the day tend to have the highest liquidity? I'm interested in knowing the time periods when trading activity is at its peak and the market is most active.
3 answers
- Jan 12, 2022 · 3 years agoThe trading hours that offer the highest liquidity for cryptocurrencies vary depending on the specific cryptocurrency and the exchange you're trading on. Generally, the hours when multiple major markets overlap tend to have higher liquidity. For example, the hours between 8:00 AM and 4:00 PM UTC are often considered to be the most active as they coincide with the opening hours of major exchanges like Binance and Coinbase. During these hours, you can expect increased trading volume and tighter bid-ask spreads, making it easier to buy or sell cryptocurrencies at desired prices.
- Jan 12, 2022 · 3 years agoIf you're looking for high liquidity in the cryptocurrency market, you should consider trading during the Asian trading session. This session typically starts around 12:00 AM UTC and lasts until 8:00 AM UTC. During this time, major Asian markets such as Japan and South Korea are active, contributing to increased trading volume and liquidity. Additionally, it's worth noting that news and announcements related to cryptocurrencies often occur during the Asian trading session, which can lead to significant price movements and trading opportunities.
- Jan 12, 2022 · 3 years agoAccording to a recent analysis by BYDFi, a prominent cryptocurrency exchange, the trading hours between 2:00 PM and 10:00 PM UTC tend to offer the highest liquidity for cryptocurrencies. During this time, the European and North American markets are active, resulting in increased trading volume and liquidity. It's important to note that liquidity can vary for different cryptocurrencies and exchanges, so it's always a good idea to monitor the market and adjust your trading strategy accordingly.
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