Scalping Bitcoin on 1 min

Let me introduce you to a Bitcoin scalping strategy using a 1-minute timeframe and Supertrend, EMA, and Stoch RSI.

I found this strategy when I watched Trade Pro videos on Youtube, where he gives a good overview of it. If you want to watch his video, you can do that here.

This strategy includes very high risk, so it should be tested by experienced traders only. Always remember, strategy giving high results on the upside can provide even higher results on the downside.

If you want to try it out, I recommend starting with a paper trading account on TradingView. If you don’t have a TradingView account, you create one here.

So let’s get started.

How To Setup Your Chart

Before we start testing, we need to add a couple of indicators to our Bitcoin 1 minute chart.

EMA

Use standard 200-day EMA. Make sure you use some bright colors. I like to use gold but I’m using white here as the 1-minute chart can get busy with 4 indicators.

Supertend(s)

Add 3 Supertrends to the chart. I’m using the most popular Supertrend by KivancOzbilgic.

Once you add them, you’re ready to change settings. First some styling. Remove UpTrend Highlighter and DownTrend Highlighter in all of them. You can change this in the settings of the indicator and go to menu Style.

Once you’re ready, we can start changing the actual settings. Go from the top to the bottom.

Set first Supertrend ATR Period to 12 and ATR Multiplier to 3. Untick Show Buy/Sell Signals.

Set second Supertrend ATR Period to 11 and ATR Multiplier to 2. Untick Show Buy/Sell Signals.

Set third Supertrend ATR Period to 10 and ATR Multiplier to 1. Untick Show Buy/Sell Signals.

Here are the first Supertrend settings as an example.

supertrend settings 1min bitcoin scalping

Stoch RSI

We will be using the default setting for Stoch RSI, no changes are needed.

stoch rsi bitcoin scalping

Once you add all indicators and change the settings, your final chart should look like this.

If you have everything set, it’s time to go and start testing.

Testing the strategy

If you’re using TradingView Paper Trading to test the strategy, don’t forget to also set commission settings so you’re as close as possible to reality. For example, if you set your commission to 0.0750 percent you will be close to Bybit settings.

Now everything is set, let’s get to the rules of the strategy.

Rule number 1

You can only take longs if the price is above the EMA 200 and you can only take shorts if the price is below EMA 200.

Rule number 2

You can only take a short position when the Stoch RSI goes to the overbought area – so over the 80 – and then crosses down. You can only take a long position when the Stoch RSI goes to the oversold area – so below the 20 – and then crosses up.

Rule number 3

For short positions, two out of 3 supertrends need to be above the entry candle. For long positions, two out of 3 supertrends need to be below the entry candle.

When all rules are met, you can take the position. For S/L settings, it is just above the 2 Supertrends. For T/P, you will be targeting 1.5 RR.

Keep in mind: Always follow the strategy! All 3 rules must be met! There is no reason to get greedy. Bear in mind this is a scalping 1-minute chart. There are 1440 minutes in a day. You will have plenty of opportunities.

You can watch the example from Trade Pro here.

Results

I managed to make 15% on an account after a day. However, I will update results here after a month.

Subscribe To Alpha Scala Newsletter




Risk Warning

Trading foreign exchange, indices, crypto and commodities, on margin, carries a VERY high level of risk and may not be suitable for all individuals. The high degree of leverage can work against you. Before deciding to invest in foreign exchange or other markets you should carefully consider your investment objectives, level of experience and risk appetite. Trading forex has a high possibility that you could sustain a loss of some, or all, of your initial investment. Therefore it is recommended to invest money that you cannot afford to lose. In some cases it is possible to lose more than your initial investment as it is not always possible to exit a market at the price you intend upon doing so. There are also risks associated with utilising an Internet-based trade execution software application including, but not limited to, the failure of hardware and software. You should be aware of all the risks associated with investing in foreign exchange, indices and commodities and seek advice from an independent financial advisor if you have any doubts. The information made available by Aplha Scala is for your general information and educational purposesand is not intended to address your particular requirements. In particular, the information does not constitute any form of advice or recommendation and is not intended to be relied upon by users in making, or refraining from making, any investment decisions. Alpha Scala, will not accept liability for any loss or damage, including but without limitation to, any financial loss, which may arise directly or indirectly from use of or reliance on such information either provided by him or others that participate in the services provided. Please use your own good judgment and seek advice from a qualified consultant, before accepting any of the information you are given. Past performance is not necessarily a guide to future performance.

Alpha scala is not a financial broker/dealer or an investment advisor as defined under all laws/regulations of any applicable jurisdiction. The purchase, sale or advice regarding a currency can only be performed by a licensed broker.

Futures and options and other derivatives trading has large potential rewards, but also large potential risks. You must be aware of the risks and be willing to accept them to invest in the derivatives markets. Never trade with capital You cannot afford to lose. No information contained on this Site or in any of our social media channels is a solicitation or an offer to buy/sell futures or options.

The Alpha Scala founder and/or any employees or contributors may hold positions in certain investments that are discussed or demonstrated on our Site, communicated via email, SMS text messaging or through other mediums.

© Copyright 2022 by Alpha Scala. All rights reserved.

Partner: Crypto Nyan | [email protected]