Neosify - Buy, Stake & Earn Crypto
Neosify - Buy, Stake & Earn Crypto
Neosify - Buy, Stake & Earn Crypto

"Bionic" trading

Trading on cryptocurrencies, in recent times, has started to see a rather significant movement in volumes; in fact, many investors have embraced this new type of trading.

Thanks to the strong volatility of cryptocurrencies, the returns are quite high, on the other hand the risk increases proportionally.

So we can say that trading on cryptocurrencies is much more complicated than the traditional one; therefore in order to limit the riskiness of the market, a strict and precautionary money management is required.

In addition to this, cryptocurrency traders have developed various tools, such as fundamental analysis (who hasn't followed the news related to a Mainnet and made a coup of a good 15-20%?). Technical analysis and recently invention the sentiment; that is the feeling that people have towards cryptocurrencies, commensurate with the posts that are published on social networks.

All these innovations have been transferred to computers, through what is commonly called algorithmic trading, or more simply bot trading (trading performed by robots).

In this case, a humanoid is not sitting at the desk and physically executing the trading instructions by detecting the data from Tradingview. Extremely complex procedures are performed by an application with the utmost scrupulousness that computers have.

Associated with all this is also human supervision, which never hurts; despite the fact that in some cases the “cold blood” that a computer has in certain situations, the human being does not.

In this way, by intersecting fundamental analysis, technical analysis and sentiment, we can maximize a trading operation.

These possibilities were only available to elite traders and high-volume institutions such as hedge funds, helping them to achieve huge returns in any market situation.

However, technological progress has meant that bots are now also the preserve of ordinary investors, allowing them to benefit from price movements through the use of these programs.

The intriguing aspect of this new possibility is that there are various procedures depending on the complexity that one requires.

I'll explain.

It is not necessary to spend large sums for a complex routine that solves a myriad of problems, it can simply buy a basic, not very complex routine, which can operate in simple and basic trading actions.

The advent of algorithmic trading is extremely useful in cryptocurrency trading operations as it helps investors be able to manage an extremely volatile and in some ways complex market.

Besides a bot, it doesn't need to rest or eat, so it is operational 24/7!

If we consider the amount of data that bots can use to open or close a market position, we would be thrilled, as in addition to being millions of pieces of information, they are also managed at the speed of light!

From this we can imagine that the profits for the trader are brought to the maximum possible.

Another very interesting aspect is the possibility of exploitation in the field of "scalping": the trader does not have time to think about an operation, which the bot has already opened and closed, in profit, at least ten !!!

If anyone would like to try them, I can indicate two platforms: Upbots and Algotrader.

As usual, this post absolutely does not want to push you to invest in trading with cryptocurrencies, it is a simple discussion of trading bots and what they can do.

How do you think about it? I await your comments.

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MikeZillo Verified Member

Daily Trader, Mining Farm Project Manager, Blockchain consultant, Cryptocurrency evangelist. You can find more videos here Telegram: @mikezillo

Trading with Mike Zillo
Trading with Mike Zillo

In this Blog I am going to share view, insights and past positions to create an educational section about trading that will be particularly useful for starters and a great conversation place for more expert traders. Hope you will enjoy it

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