With Bitcoin’s halving just around the corner, the crypto market is excitedly buzzing! If you’re in India and itching to get in on the action but don’t want to hold your investment for years, short-term trading might be your thing. India’s crypto market is growing fast, but which coins should you watch in 2024? Don’t worry—we’ve got you covered. Let’s dive into the top 7 cryptocurrencies with the potential for exciting short-term gains in India.
7 Top Cryptocurrencies for Short-Term Investment in India
| # | Cryptocurrency | Market Cap | Liquidity | Volatility | Pros | Cons |
| 1 | Bitcoin (BTC) | $1,385,034,329,186 | High | Moderate | Pioneer, widespread adoption, potential store of value | Scalability issues, high energy consumption |
| 2 | Ethereum (ETH) | $432,868,002,176 | High | Moderate | Smart contracts, dApp ecosystem, large developer base | Scalability challenges, gas fees |
| 3 | Polkadot (DOT) | $13,023,019,890 | Medium | High | Interoperability, para chain design, scalability | Less established than Ethereum, complex technology |
| 4 | Matic (MATIC) | $9,685,367,387 | Medium | High | Ethereum scaling solution, low fees, fast transactions | It relies on Ethereum’s security, competition in the L2 space |
| 5 | Solana (SOL) | $84,246,636,360 | Medium/High | High | Blazing speed, low fees, growing ecosystem | History of network outages, centralization concerns |
| 6 | Chainlink (LINK) | $11,624,234,477 | Medium | Moderate | Decentralized oracles bridge real-world data to the blockchain | Adoption dependent on broader blockchain growth |
| 7 | Cardano (ADA) | $23,312,124,247 | Medium | High | Academic rigor, focus on security, potential for scalability | Slower development pace, less dApp activity currently |
Table comparing the market cap of the cryptocurrencies(Mar 2024).
View live market cap updates on Mudrex price tracker
1. Bitcoin(BTC)
//Chart showing BTC trends Mar 2024
Bitcoin makes for a good day trading currency due to its high volatility, which creates numerous opportunities for traders to profit from rapid price movements within a single day. The cryptocurrency market operates 24/7, allowing for continuous trading and taking advantage of price fluctuations. Bitcoin’s liquidity and global availability make it an attractive option for day traders seeking to capitalize on short-term price changes.
2. Ethereum(ETH)
//Chart showing ETH trends Mar 2024
Ethereum (ETH) is another top contender for day trading. Its wide use in the booming world of decentralized finance (DeFi) and NFTs ensures consistent trading volume, letting you buy and sell quickly. Ethereum experiences frequent price swings, offering potential profits for savvy traders. Moreover, as the second-largest cryptocurrency, Ethereum is highly sensitive to news about upgrades, regulations, or broader cryptocurrency market trends. This means a sharp-eyed trader can capitalize on the price jumps and dips that often follow significant announcements.
3. Polkadot
//Chart showing DOT trends Mar 2024
Polkadot (DOT) presents an exciting choice for day traders seeking more risk. It has decent liquidity, which is essential for quick trades. Polkadot is known for its price volatility, offering higher potential profits and losses. As an innovative project focused on blockchain interoperability, news about partnerships, network upgrades, or technological advancements can create significant short-term swings in DOT’s price. This makes it a potentially exciting – but riskier – option for day traders.
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4. MATIC(Polygon)
//Chart showing MATIC trends Mar 2024
MATIC (Polygon) is a rising star in the day trading space. As a scaling solution for Ethereum, it often sees increased trading volume, making buying and selling quickly easier. MATIC exhibits notable price volatility, allowing traders to profit from short-term movements. Additionally, with Polygon’s growing popularity and partnerships with major brands, news surrounding its adoption and development can cause price reactions, creating opportunities for those paying attention.
5. Solana (sol)
//Chart showing SOL trends Mar 2024
Solana (SOL) is a high-risk, high-reward prospect for experienced day traders. It boasts good liquidity for its size, enabling quick trades. Solana’s price is known for sudden surges and dramatic dips, offering significant potential profit for those willing to stomach the volatility. Additionally, Solana’s ecosystem of NFTs and DeFi is rapidly expanding, meaning news about project launches or network updates can spark price action. While the risk is higher, Solana’s speed and volatility provide a thrilling option for seasoned traders.
6. Chainlink(LINK)
//Chart showing LINK trends Mar 2024
Chainlink (LINK) offers a moderate day trading experience. It has decent liquidity, ensuring you can quickly enter and exit trades. Chainlink experiences price fluctuations that, while not as dramatic as some altcoins, still provide the profit potential. It provides real-world data to blockchains, so news about significant partnerships or integrations can influence LINK’s price movements. This makes it suitable for traders who want to combine potential price swings with news-driven market reactions.
7. Cardano(ADA)
//Chart showing ADA trends Mar 2024
Cardano (ADA) presents a potentially exciting day trading option, though its volatility is generally less extreme than some smaller-cap altcoins. It has good liquidity for a well-established project, allowing for efficient trades. While price swings may be less dramatic, Cardano remains sensitive to news and sentiment about its progress with upgrades like Vasil or the growth of its D-app ecosystem. This creates opportunities for traders who closely monitor developments within the Cardano project.
Quick Guide to Day Trading
If you’re new to crypto(or trading), here are some essential aspects to help you get started.
What is Day Trading?
Day trading, also known as short-term trading or intraday trading, is like a financial sprint. You buy and sell investments like stocks or forex (foreign exchange) throughout the day, aiming to profit from small price movements. It’s fast-paced and risky, requiring constant attention to charts and market news. Unlike buying and holding for the long term, day traders close out all positions by the market’s close. Think of it as grabbing quick profits from short-term market swings.
Pros and Cons of Day Trading
What sets Day trading apart from long-term investments? What are the comparative advantages? Here’s what you need to know–
| Advantages | Disadvantages |
| Potential for Quick Returns: Successful day traders can see substantial profits quickly. | High Risk: Rapid price movements can lead to significant losses if trades go wrong. |
| Leverage: Many brokers allow using leverage to increase potential profits (and losses). | Stressful: The fast pace and constant need for analysis can be mentally and emotionally demanding. |
| Flexibility: Day traders can react quickly to market news and opportunities. | Time-Consuming: Success requires intense market monitoring and research. |
Are you still trying to figure out short-term trading? Here are the best cryptocurrencies for Long Term Investment.
Day Trading Crypto Checklist
Before you start trading, consider these factors for each potential cryptocurrency:
☐ Liquidity: Is there a high trading volume to ensure you can buy and sell quickly?
☐ Volatility: Does the coin have a history of significant price swings within a day?
☐ News and Sentiment: Are there any upcoming developments, regulations, or market trends that could significantly impact the price?
☐ Technical Analysis: Do chart patterns suggest potential short-term price movements?
What Makes a Crypto Good for Day Trading?
Day traders thrive on volatility and liquidity.
A good day-trading crypto will have significant price fluctuations within a day, plus plenty of buyers and sellers to ensure you can quickly enter and exit trades.
Stablecoins, or coins pegged to assets like the US dollar, are not suitable for day trading due to their intentionally low volatility. Also, be aware of coins with low trading volume, as these can make it difficult to execute trades quickly and at a fair price.
Conclusion
With the right choice of cryptos and some luck, you’ll have short-term gains through day trading with cryptos. But before you dive in, remember the crypto market is famously volatile. Short-term trading can be risky, and emotions can run high. That’s where Mudrex comes in.
Mudrex is a one-stop crypto trading platform that empowers you to make informed decisions. Our advanced charting tools help you break down market trends and identify potential entry and exit points. Plus, you can automate your trades with powerful bots to remove emotion from the equation.
Mudrex also offers a secure platform for managing your crypto portfolio. So, if you’re serious about day trading crypto in India, Mudrex is your perfect partner. Download the app, sign up today, and start your journey into the exciting world of crypto trading!
FAQs
1. Which crypto is suitable for short-term investment?
Look for coins with high volatility and liquidity. Popular choices include Bitcoin (BTC), Ethereum (ETH), and some altcoins known for price swings.
2. Which crypto is best to invest now in India?
In addition to BTC and ETH, consider projects like Polygon (MATIC) with strong Indian connections. Do your research, as the market is dynamic.
3. Which crypto coin is best for daily trading?
Coins with high volatility and news sensitivity are great for day trading. However, you should always check the trading volume to ensure sufficient liquidity.
4. What are the five best cryptos for the long term?
Bitcoin (BTC), Ethereum (ETH), Cardano (ADA), Polkadot (DOT), and Binance Coin (BNB) are considered long-term solid bets – but always do your research!
5. Which crypto is best for quick profit?
Always follow a research-oriented approach. That being said, Bitcoin(BTC), with the highest market cap, is the most popular choice amongst experienced day traders and beginners looking for quick profit.
Krishnan is a Bangalore-based crypto writer dedicated to simplifying complex crypto concepts. He covers blockchain, DeFi, and NFTs, with a focus on real-world asset tokenization and digital trust. Previously he has written on Real Estate related assets for NoBroker. Krishnan holds a B.Tech degree from the College of Engineering Trivandrum.
