Glossary

Scalping

Scalping is an ultra-short-term trading style that aims to capture many small price moves, holding positions for seconds to minutes and closing them for modest gains that compound across dozens or hundreds of trades a day. Scalpers care about ticks and fractions of a percent, not trends.

For example, a scalper might buy BTC at $60,000 anticipating a quick push to $60,080, exit within two minutes for a 0.13% gain, and repeat similar trades throughout a session. Each individual profit is small, so the approach depends on high win consistency, tight stop-losses, and strict discipline about cutting losers immediately.

Costs dominate scalping economics: paying taker fees and crossing the spread on every trade can consume the entire edge, which is why serious scalpers seek maker rebates, low-fee tiers, and highly liquid markets where spreads are minimal. Crypto's 24/7 volatility offers abundant opportunities but also punishes hesitation and revenge trading harshly. A common misconception is that many small wins make scalping low-risk; a single undisciplined loss can erase dozens of scalps, and after fees most retail scalpers lose money. It is among the most demanding trading styles — closer to a full-time reflex sport than to investing.