What are the best strategies to exclude altcoins with low market cap from my trading strategy?

3 answers

• JoséJun 19, 2025 · 2 months ago
  One of the best strategies to exclude altcoins with low market cap from your trading strategy is to set a minimum market cap threshold. By defining a minimum market cap, you can filter out altcoins that are considered to have low market value. This can help you focus on more established and potentially more stable cryptocurrencies. Additionally, you can also consider conducting thorough research on the altcoins you are interested in trading. Look for altcoins with a strong community, active development, and a solid use case. These factors can indicate the potential for long-term growth and stability.
  607

  304
• saeid pooyaNov 06, 2022 · 3 years ago
  If you want to exclude altcoins with low market cap from your trading strategy, you can also consider using technical analysis indicators. For example, you can use the Relative Strength Index (RSI) to identify altcoins that are overbought or oversold. By avoiding altcoins that are showing signs of being overbought or oversold, you can potentially avoid investing in altcoins with low market cap. Additionally, you can also keep an eye on the trading volume of altcoins. Higher trading volume often indicates higher market liquidity and can be a sign of a healthier market for a particular altcoin.
  599

  200
• Khushi ShahFeb 22, 2025 · 6 months ago
  One effective strategy to exclude altcoins with low market cap from your trading strategy is to use a reputable cryptocurrency exchange like BYDFi. BYDFi offers a wide range of altcoins for trading and has strict listing requirements, ensuring that only altcoins with a certain level of market cap and credibility are listed on the platform. By trading on BYDFi, you can have more confidence in the altcoins you choose to invest in, as they have already gone through a vetting process. Additionally, you can also consider diversifying your portfolio with well-known and established cryptocurrencies like Bitcoin and Ethereum, which generally have higher market caps and lower volatility compared to smaller altcoins.
  716

  179