The most effective strategies for active trading in the cryptocurrency market involve scalping and day trading, where you capitalize on daily price movements, and swing trading, where you take advantage of multi-day price trends.
To deepen your understanding of active trading in the cryptocurrency realm, consider reading "Scalping is Fun! 1-4: The Complete Series" book by Heikin Ashi Trader and "The Electronic Day Trader: Successful Strategies for On-line Trading" book by Marc Friedfertig, George West and George Piecznik.
For active cryptocurrency trading, mobile versions of cryptocurrency exchanges like Binance, Bybit or OKX can be used. Professional traders use trading terminals like CScalp on their PC and use mobile apps of crypto exchanges as backup tools to close their positions.
Active trading in cryptocurrencies involves attempting to outperform the market through frequent trades and market timing, whereas passive investing involves holding cryptocurrencies long-term, regardless of short-term market fluctuations.
Earnings from active trading in cryptocurrencies can vary widely based on market conditions, your skill in predicting market movements, and your risk management. There's potential for high returns, but also a risk of significant losses.
An active order in the context of cryptocurrency trading refers to a directive you've placed to buy or sell a cryptocurrency that has yet to be executed. These orders are contingent on the market reaching your specified price.