Top 12 Cryptocurrencies for Day Trading

Due to its high volatility and high trading volume, many day traders enjoy the cryptocurrency market.

Top 12 Cryptocurrencies for Day Trading

Disclaimer: This is for informational purposes and is not meant to serve as financial or investing advice.

In the last few years, day trading cryptocurrency has gained popularity. Individuals from beginners to experienced traders have at least dabbled in crypto using various day trading strategies and on various crypto exchange platforms.

Some day trading strategies include staking designated crypto assets, trading on forex markets, scalping, holding short-term assets, trading on margin, and betting on the price fluctuations of tokens.

One of the most critical pieces of day trading is knowing which tokens are best for trading. We have listed the top 12 cryptocurrencies for day trading and provided some details about each of them below.

Overview: Top 12 Cryptocurrencies for Day Trading

1. Avalanche (AVAX)

Market cap: $ 3.38 Billion

24H Volume (USD): $92.82 Million

Circulating supply: 311.58 Million

The native token (AVAX), also known as Avalanche, was launched in September 2020 and is a digital asset primarily used for platform payments, security, and connection functions. It is a commonly known platform for DeFi (decentralized finance) applications, including Pangolin and TradeJoe.

Due to Avalanche's primary goal, which is to deliver a scalable blockchain solution, produce top-tier transaction speeds, and maintain environmental friendliness, it broke into the crypto scene as a direct competitor of Ethereum and made it in the top 10 in the crypto market.

2. Bitcoin (BTC)

Market cap: $321.8 Billion

24H Volume (USD): $11.88 Billion

Circulating supply: 19.25 Million

Bitcoin (BTC) was the first-ever cryptocurrency created by Satoshi Nakamoto, an anonymous inventor. It is currently the world’s most renowned token and has remained at the top of crypto exchanges and crypto day trading platforms.

It can be considered the best cryptocurrency on the market and does not seem to be going anywhere anytime soon.

Bitcoin’s primary usage is as a digital currency for confidential and permanent electronic transactions.

3. Ripple (XRP)

Market cap: $17.6 Billion

24H Volume (USD): $1.1 Billion

Circulating supply: 50.3 Billion

XRP, whose native token is Ripple, is a cryptocurrency with a currency code similar to Ethereum. The goal during the creation of XRP in 2011 was to enhance financial transfers and the exchange of various currencies.

Ripple is the parent company of XRP, meaning that XRP is independent of Ripple and is an open-source, digital asset and technology company.

Similarly to many of the most popular cryptocurrencies like Bitcoin and Ethereum, XRP was created to make global digital transactions more efficient. The only caveat is that XRP is centralized and does not rely on blockchain technology.

4. Ethereum (ETH)

Market cap: $149.03 Billion

24H Volume (USD): $3.64 Billion

Circulating supply: 122.37 Million

Ethereum is an open-source software platform with the native token Ether (ETH), a digital currency that enforces smart transactions (no fraud, control, or interference from third parties).

First introduced in 2013, this currency is the second most popular cryptocurrency, after Bitcoin, and is built upon blockchain technology. Its blockchain network supports the creation of smart contracts and the minting of cryptocurrencies without needing a separate blockchain.

ETH is most widely used among developers in DeFi, gaming, and NFT art.

5. Polygon (MATIC)

Market cap: $6.25 Billion

24H Volume (USD): $433.28 Million

Circulating supply: 8.01 Billion

Polygon (MATIC) was launched in 2017 and is a cryptocurrency and technology platform that enables blockchain networks to connect and scale.

Polygon uses Ethereum’s blockchain and connects to Ethereum-based projects. It is also compatible with other Ethereum-based digital currencies.

6. Tether (USDT)

Market cap: $66.2 Billion

24H Volume (USD): $17.4 Billion

Circulating supply: 66.2 Billion

By market value, Tether (USDT) is the third largest cryptocurrency in the world after Bitcoin and Ethereum. Tether is a cryptocurrency and stablecoin, a digital asset tied to real-world assets and pegged to the dollar.

Often, crypto traders use Tether to purchase other cryptocurrencies to use as a strategy to hedge against the volatility of the crypto market.

7. Binance Coin (BNB)

Market cap: $39.61 Billion

24H Volume (USD): $1.05 Billion

Circulating supply: 159.97 Million

Binance Coin (BNB) is the cryptocurrency issued directly by Binance Exchange, the world's second-largest cryptocurrency exchange. BNB is now amongst the top 30 cryptocurrencies in the crypto market.

Originally, Binance Coin was based on Ethereum’s network but is now the native currency of Binance’s own blockchain called The Binance Chain.

8. USD Coin (USDC)

Market cap: $44.7 Billion

24H Volume (USD): $1.4 Billion

Circulating supply: 44.7 Billion

USD Coin (USDC) is a stablecoin, a cryptocurrency backed by the U.S. dollar. The U.S. dollar tokenizes USDC by the value of one, so the USD coin is pegged 1:1, meaning it should remain stable and maintain low price volatility.

USD Coin is an open-source project, which means it is open to the public for viewing, and anyone can contribute to its project code.

USD Coin is compatible with Ethereum, Algorand, Solana, Stellar, and TRON.

9. Solana (SOL)

Market cap: $4.04 Billion

24H Volume (USD): $1.42 Billion

Circulating supply: 362.91 Million

Solana (SOL) is a blockchain platform founded in 2017 and was designed to host decentralized, scalable applications. It is an open-source project that the Solana Foundation runs.

Solana (SOL) is known for its high transaction speeds and has significantly lower fees than its rival blockchains, like Ethereum.

10. Tron (TRX)

Market cap: $5.12 Billion

24H Volume (USD): $378.78 Million

Circulating supply: 92.35 Billion

Tron is a blockchain-based decentralized digital platform, with its native cryptocurrency being Tronix or (TRX). It was founded in 2017 in Singapore, and its initial aim was to host a global entertainment system for sharing digital content at low fees.

Using blockchain and peer-to-peer network technology to cut out the middleman, Tron enables content creators to sell their work directly to consumers through their digital platform.

11. Lucky Block (LBLOCK)

Market cap: $5.4 Million

24H Volume (USD): $7,124

Circulating supply: 40.8 Billion

Lucky Block (LBLOCK) is a token built on the Ethereum blockchain and used to make digital transactions.

Found on many cryptocurrency exchanges, Lucky Block is commonly known for its transactions during NFT competitions and purchases.

12. Cardano (ADA)

Market cap: $8.62 Billion

24H Volume (USD): $310.93 Million

Circulating supply: 33.82 Billion

Cardano is a blockchain platform designed to process transactions with its token cryptocurrency, ADA, effectively.

Like many other cryptocurrencies, Cardano resembles the Ethereum blockchain but was designed to improve its functionality. Its protocol is designed to keep energy expenditure to a minimum during blockchain production.

What Factors Should You Consider When Choosing a Crypto To Day Trade?

Choosing the right cryptocurrencies to day trade in does not mean you follow a tweet from a celebrity or take a tip from a posted meme on social media. You should dedicate time to research and understand each of these points below:

Active Team

It is crucial to assess the team behind a cryptocurrency and blockchain project. You need to feel assured that it is the right pairing/ partnership for you.

Exchange Platforms

Choosing the best crypto exchange platform is also imperative. Some examples of popular exchange platforms are Coinbase, Binance, Kraken, and Etoro. Make sure you are clear on each platform's trading fees and regulations around daily trading before settling.

Liquidity

High liquidity in cryptocurrency means there is more ease when a digital token is converted into another digital asset or cash without affecting its price. This provides better and fair prices for everyone involved and ensures a crypto asset's stability. Choosing a cryptocurrency with higher liquidity ensures less risk when making a crypto investment.

Other factors involved when choosing the best cryptocurrencies to day trade would be the volatility of the market, trading volume, and even media coverage.

The Bottom Line

The crypto market is a likely place to find large numbers of day traders due to its volatility.
While risky, trading on crypto exchanges and holding assets short-term can allow investors to walk away with huge profits.

Disclaimer, we are not providing investment advice but instead sharing information that we have found helpful to other cryptocurrency investors. For more information, check out Pluto today.

Sources:

Avalanche Price | AVAX Price, USD converter, Charts | Crypto.com

Bitcoin Price | BTC Price, News, USD converter, Charts | Crypto.com

What Is XRP? | Investopedia

Ethereum Price | ETH Price, News, USD converter, Charts | Crypto.com

($ 0.780821) Polygon (MATIC) Price, Chart, Value & Market Cap | CoinCodex

What is tether cryptocurrency (USDT)? All you need to know | CNBC

Binance Coin (BNB) Uses, Support, and Market Cap | Investopedia

USD Coin (USDC): Definition, How It Works in Currency, and Value | Investopedia

What Is Solana (SOL) and How Does SOL Crypto Work? | Investopedia

TRON (TRX) Blockchain Platform Explained and How Does It Work? | Investopedia

Lucky Block (V1) price today, LBLOCK to USD live, marketcap and chart | CoinMarketCap

What Is Cardano (ADA)? | Forbes Advisor