Last modified
November 7, 2022

Crypto trading signals explained

What are crypto trading signals, and how to trade them.

Crypto Signals are a set of trading instructions given by trading experts or a group of trading experts also called a 'signal provider' to an individual trader or multiple in a so-called 'signal group' telling them what coin to 'long' (or buy) or 'short' at what price point with specific stop targets including a stop loss trigger (which exits the trade on a loss) and one or multiple take profit triggers (which exits the trade on profit).

The idea behind crypto trading signals is that a trading expert or signal provider has researched a potential trade and determined that it is a good one to enter with the best probability of profit. Of course, the signals aren't always profitable because there are always unfavourable market conditions.

What are Crypto Signals?

Crypto trading signals are a set of instructions for entering a specific coin or pair at a specific time or price. Various aspects, including news, fundamentals, technical analysis, and market conditions, can also be used to generate signals. You can get a significant return on your initial investment if you use the right signal.

Binance trading interface
— Binance trading interface

What does a Crypto Trading Signal include?

Each crypto trading call includes a few instructions. They typically include the following instructions:

  • Crypto Ticker (e.g. BTC, ETH, XRP)
  • Trading Pair (e.g. BTC/USDT, ETH/BTC)
  • Entry Price
  • Stop Loss (SL)
  • Take Profit(s) (TPs)
  • Recommended Leverage (If applicable)
Signal example from BP Signals
— Signal example from BP Signals

As seen in the image above the signal tells you all the information needed to enter that specific trade. Please note: This is one example signal and they vary based on who provides the signal so every signal is structured differently but mostly with the same instructions.

Crypto Trading Signals follow up notifications

Many crypto signal providers add follow up notifications on their ongoing signal trades. These notifications often include:

  • Take profit target(s) achieved
  • Stop loss triggered
  • Entry target achieved
Signal update example from BP Signals
— Signal update example from BP Signals

As seen in the image, the signal provider keeps you up-to-date with the current state of the crypto signal. This makes it very easy to trade crypto signals and easy to follow if you have notifications enabled on the Discord client.

Where can I sign up for a Signal Group?

There are many crypto signal groups, including us (CP Signals). We are a collection of different crypto signal providers that have proved themselves in the long term and some are very exclusive. You can check out what signal groups CP Signals offers to its customers on the website. At the time of writing this article, there are 25 different premium signal providers in our VIP group, this provides a lot of value for an affordable monthly fee (we even offer a 3-day free trial).

Alternatively, if you have no interest in joining CP Signals you can also browse Telegram crypto signal groups as Telegram is by far the most popular social media platform to join a signal group on. You can find a group by searching Google or popular Fora such as Reddit.

Free vs Paid Signal Groups

You might think why pay for something that is also offered elsewhere for free? Let me explain, there is a big difference in the quality of the trading signal, of course, there are always winners and losers but if the winning percentage is lower than your losing percentage what are you doing it for?

The trick in free vs paid groups is simple. Why would someone provide you with high-quality crypto signals without offering a paid subscription? There is of course a difference between a completely free group and a paid group with a free option (to lure members into purchasing the paid version) which cannot be forgotten.

Paid signal groups have the risk of losing their paying members if their trade signals fail to generate returns on a monthly basis. Keep in mind there are simply trading days that can mess up the general trading patterns such as important news.

Pros of Trading Crypto Signals

Trading crypto signals are in general really easy to do, you follow the instructions of a provider and enter the trade. This allows you to focus your time on other things other than looking at the charts constantly.


  • Can be very profitable
  • Low entry barrier
  • Great learning opportunity

Can be very profitable: Assuming you entered in a signal group of some quality the signals are generally generating some profit

Low entry barrier: Trading signals does not require a lot of trading knowledge. You basically only need to set the instructions given by the provider correctly and your set.

Great learning opportunity: You can learn a lot by following some of the crypto trading experts and look deeper into why they think, for example, a coin will go up in value.


To round things up, crypto signals or calls is a promising space in the crypto trading community. They offer multiple advantages over trading regularly and can be very rewarding.