Cryptocurrency Trading Timing: Best Times to Trade Crypto Market (2024)

Cryptocurrency markets never sleep, operating 24/7 across time zones and continents. This constant trading availability provides unique opportunities for traders looking to capitalize on short-term price movements. However, it also requires understanding the nuances of crypto trading hours, cycles, and optimal times to open or close positions.

This page covers everything you need to know about timing your cryptocurrency trades.

Overview of Trading Hours in the Crypto Market

Unlike traditional financial markets, the cryptocurrency market runs 24 hours a day, 7 days a week. This is enabled by:

• Decentralized exchanges (DEXs)that allow peer-to-peer crypto trading without intermediaries.
• Global liquidityacross major fiat and crypto trading pairs.
• Blockchain networksthat process transactions around the clock.

Major centralized crypto exchanges like Coinbase and Binance also operate round-the-clock, although they may have short periods of maintenance downtime.

The continuous nature of the crypto market means trading sessions don’t conform to traditional market hours. However, trading activity tends to follow certain daily and weekly cycles, fluctuating based on factors like:

• Geographic location – Asian, European, and American trading sessions.
• Key news and events – product launches, regulations, exchange downtime.
• Macro market conditions – volatility, bear/bull trends, stagnation.

Understanding when periods of high and low trading volume occur is crucial for timing entries and exits.

Geographic Trading Times

Despite 24/7 operations, the bitcoin market sees more activity during peak hours centered around major geographic regions. Three key sessions stand out:

Asian Session

Covering major hubs like Japan, Hong Kong, and Singapore, the Asian crypto trading session sees high activity between:

• 12:00 AM UTC to 8:00 AM UTC

This period aligns with Asian local times like:

• 12:00 PM to 8:00 PM Japan standard time
• 12:00 PM to 8:00 PM China standard time
• 1:00 PM to 9:00 PM Singapore standard time

High liquidity and trading volume characterize the Asian session, with Bitcoin and altcoins often seeing large price movements.

European Session

The European trading session from major hubs like London and Paris typically runs between:

• 8:00 AM UTC to 4:00 PM UTC

Aligning with local times like:

• 9:00 AM to 5:00 PM Central European Time
• 8:00 AM to 4:00 PM British Standard Time

The London crypto market is a major hub, while EU regulations also drive volatility.

American Session

For leading US crypto centers like New York and Silicon Valley, peak trading occurs between:

• 12:00 PM UTC to 8:00 PM UTC

Matching up with time zones spanning:

• 8:00 AM to 4:00 PM Eastern Time
• 7:00 AM to 3:00 PM Central Time
• 5:00 AM to 1:00 PM Pacific Time

As home to major exchanges like Coinbase as well as Wall Street adoption, American trading greatly influences crypto prices.

Weekly Trading Cycles

In addition to geographic sessions, cryptocurrency trading volume tends to follow distinct weekly cycles:

• Mondays– Sunday open sell-offs from weekend individual traders. Higher volatility.
• Tuesdays to Thursdays– Stable midweek trading. Rising volumes from institutions.
• Fridays– Pre-weekend uncertainty sparks volatility.
• Saturdays to Sundays– Thin volumes as markets close. Individual traders prevalent.

Being aware of these weekly patterns and how they impact liquidity can improve trade execution.

Factors Influencing Crypto Volumes

While daily and weekly cycles drive baseline trading activity, many additional factors cause intraday volatility and volume spikes. Monitoring these events is crucial when day trading or swing trading cryptocurrencies.

News and Regulations

Crypto prices move rapidly in response to news like exchange hacks, new regulations, adoption milestones, and major partnerships or product updates from blockchain projects.

Savvy intraday traders try to buy/sell into the knee-jerk volatility premiums these events create.

Exchange Downtime and Outages

Centralized exchange downtime, congestion, or technical issues can severely constrain crypto liquidity for hours or days.

For example, a major Coinbase outage may temporarily halt Bitcoin trading. Traders need to account for lower volumes on impacted exchanges.

Macro Market Trends

Broader directional trends in the cryptocurrency market influence intraday action. In bull markets, trading activity rises across assets. Bearish sentiment conversely dampens volumes and volatility.

Bitcoin Price Action

As the crypto market leader, Bitcoin price movements dictate trading activity across altcoins. Surges or drops in Bitcoin volatility spill over into other crypto assets.

Macro News and Events

Real-world events like central bank decisions, economic data releases, earnings reports, and geopolitical developments also impact crypto markets intraday.

Paying close attention to the news calendar and reacting quickly allows capitalizing on related cryptocurrency price moves.

Impact of Low and High Trading Volumes

Fluctuating intraday volumes significantly impact conditions and trading strategies.

Low Trading Volumes

Thin liquidity during periods of low crypto trading activity brings:

• Wider spreads– Higher transaction costs due to imbalances between buyers and sellers.
• Slippage– Orders filling at prices unfavorable vs. expected levels.
• Gaps– Sudden price jumps between bid/ask levels.
• Choppy action– Lots of noise in short-term price movements.
• Spikes and crashes– Exaggerated volatility from relatively small market orders.

Low volumes require adjusting tactics, like using limit orders instead of market orders, reducing position sizes, and tightening stop losses.

High Trading Volumes

Higher liquidity when crypto trading activity surges brings:

• Narrower spreads– Lower transaction costs from ample buyers and sellers.
• Smooth trending– More predictable price action and momentum.
• Stable support/resistance– Cleaner technical levels as more orders absorb volume.
• Follow-through– Breakouts and breakdowns more likely to extend.

Periods of high volume present good opportunities for momentum and breakout strategies.

Trading Session Alignments and Handoffs

Since the cryptocurrency market runs around the clock, trading sessions overlap and handoff their open and close between regions.

Being aware of these alignments can pinpoint opportune times to trade:

• Asian Open/American Close– 8:00 AM UTC – High volatility as Asian markets ramp up trading while the US winds down.
• American Open/Asian Close– 6:00 PM UTC – Another volatile overlap as US exchanges open but Asian hubs are nearing their close.
• European Open/American Mid-Day– 12:00 PM UTC – London open adds volatility amid active US trading.
• American Close/European Close– 4:00 PM UTC – US winds down but London trading remains active.
• Asian Open/European Mid-Day– 3:00 AM UTC – Singapore and Hong Kong drive trading as London approaches midday.

Actively monitoring trading volumes across these major sessions reveals when liquidity and volatility may spike.

Best Time Frame for Crypto Trading – Gaps and Overlaps

Gaps between trading sessions also influence cryptocurrency markets, creatingdefined exchange handoffs. The two most significant are:

Asia/Europe Session Gap

There is very limited crypto exchange overlap between Asian and European trading:

• Asia close/Europe open– 4:00 AM UTC – Markets are quiet as Asian hubs shut down and Europe slowly wakes up. Often brings a liquidity dip and gap in prices.
• Europe close/Asia open– 6:00 PM UTC – Another relatively quiet transition period as European exchanges wind down before Asian trading accelerates around 8:00 PM UTC. Potential for gaps between closing and opening prices.

Nimble traders try to exploit possible volatility from these Asia/Europe liquidity voids.

Europe/America Session Gap

The daily handoff between European and American trading also sees a volume decline:

• Europe close/America open– 12:00 PM UTC – US exchanges just coming online while London starts winding down. Can produce choppy price action.
• America close/Europe open– 2:00 AM UTC – US activity cooling off while Europe is still largely offline. Allows volatility gaps between New York closing prices and London opening quotes.

Being aware of potential liquidity risks around these Europe/America transition periods is key.

Major Exchanges Cryptocurrency Trading Hours

While the broader crypto market runs continuously, specific major exchanges have defined market trading hours and maintenance downtimes. Knowing when platforms open or pause trading is critical when trading on those venues.

Here are crypto market hours and maintenance windows for leading crypto exchanges:

Traders should alter tactics during exchange downtimes, as liquidity and spreads often worsen. Unplanned outages also spark volatility when exchanges reopen.

Best Days and Times for Crypto Trading

Optimizing trade entry and exit timing requires balancing factors like session activity, technical levels, and events. However, certain days and times tend to see a positive confluence of conditions:

• Monday Asian hours– Strong trading after weekend individual-driven moves. Continuation or reversal potential.
• Tuesday to Thursday US daytime– Active institutional trading and directional trends. Low weekend noise.
• Asia open/US close on Mondays– Volatility from Asian markets responding to US developments over the weekend.
• US open/Asia close on Mondays– US traders react to price action that developed during Asia hours.
• Fridays during US or Asia peak hours– Pre-weekend uncertainty supports breakouts and volatility.

Of course, technical and fundamental factors may supersede ideal days and times. But overall the above periods tend to provide a constructive mix of liquidity and trading interest.

Cryptocurrency Market Hours Cheat Sheet

Here is a quick cheat sheet summarizing key details on crypto trading hours broken down by market session:

Conclusion – Best Time to Trade Bitcoin

While the cryptocurrency market is open 24/7/365, trading activity fluctuates based on geography, weekly cycles, and events. Carefully tracking volume and liquidity metrics across major sessions provides invaluable context for maximizing trade entries and exits. The most successful crypto traders combine technicals with a keen awareness of “when” – gaining an edge from both time and price.

Before you go…

Now that you have a solid understanding of the best timing for cryptocurrency trading, it’s time to focus on the platforms that can make or break your trading experience:

• Best Online Trading Platforms
• Best Cryptocurrency exchanges

Frequently Asked Questions

Can you trade crypto on weekends?

Yes, cryptocurrency trades 24/7 so you can trade any day of the week, including weekends. Weekend trading activity is typically driven more by individual traders while institutional volume is lower.

Why does crypto trade 24/7?

Cryptocurrencies trade continuously because they are built on decentralized blockchain networks that never shut down. Exchanges also operate 24/7 to facilitate access to these assets for traders globally. The non-stop nature makes crypto distinct from traditional markets.

When does the crypto market close?

The cryptocurrency market runs round-the-clock so there is no daily market close. However, trading activity fluctuates based on geographic sessions and weekly cycles. Volumes tend to be lower on weekends as traditional markets close.

What time does the crypto market open?

There is no set market open time since crypto trades continuously. However, trading activity starts ramping up around 12:00 AM UTC as Asian exchanges become active first, followed by Europe around 8:00 AM UTC and North America around 12:00 PM UTC.

What time does the crypto market reset?

The crypto market doesn’t have a fixed daily reset since it runs 24 hours. However, trading activity enters a new cycle around 12:00 AM UTC as the Asian trading day starts up following lighter weekend volume.

When does the crypto trading day start?

While crypto has no set trading day due to 24/7 activity, the Asian session beginning around 12:00 AM UTC effectively kicks off the next trading “day” as major exchanges open across the region.