What you need to Know about Cryptocurrency Trading Bots

The future role of cryptocurrencies in financial markets - Information AgeIs cryptocurrency of particular interest to you? Are you eager to learn more about the tools that will enable you to achieve the best trades? So, you’d better clap your eyes on cryptocurrency trading bots. Sounds curious, right? In the era when bots seem to find application almost everywhere buy brics coin, it comes as no surprise that they have been implemented even in cryptocurrency trading. Let’s find out more about these bots and clarify the key aspects.

Cryptocurrency (or crypto) trading bots are computer programs that allow you to buy and sell cryptocurrencies at the right time. They aim to bring about profit to their users and ensure that they will be at an advantage in the long run. The bots carefully observe market conditions and execute trades basing on the preliminarily defined algorithms. It should also be stressed that you’re free to set your own parameters, which will contribute to carrying out various trades. This kind of software is capable of responding almost a thousand times faster than a human – thus its operational efficiency is out of the question. After a rather nice bull run The Dow Jones Industrial Average has had a rough couple of weeks. Cryptocurrency also is experiencing a correction. Could there be a correlation between the two investment worlds?

We need to be careful using vague terms like “bull and bear markets” when crossing over into each investment space. The main reason for this is that cryptocurrency over the course of its amazing 2017 “bull run” saw gains of well over 10x. If you put $1, 000 into Bitcoin at the beginning of 2017 you would have made well over $10, 000 by the end of the year. Traditional stock investing has never experienced anything like that. In 2017 the Dow increased approximately 23%.

I’m really careful when reviewing data and charts because I realize that you can make the numbers say what you want them to say. Just as crypto saw enormous gains in 2017, 2018 has seen an equally quick correction. The point I’m trying to make is that we need to try to be objective in our comparisons.

Many that are new to the cryptocurrency camp are shocked at the recent crash. All they’ve heard was how all these early adopters were getting rich and buying Lambos. To more experienced traders, this market correction was pretty obvious due to the skyrocketing prices over the last two months. Many digital currencies recently made many folks overnight millionaires. It was obvious that sooner or later they would want to take some of that profit off the table.

Another factor I think we really need to consider is the recent addition of Bitcoin futures trading. I personally believe that there are major forces at work here led by the old guard that want to see crypto fail. I also see futures trading and the excitement around crypto ETFs as positive steps toward making crypto mainstream and considered a “real” investment. This year the value of Bitcoin has soared, even past one gold-ounce. There are also new cryptocurrencies on the market, which is even more surprising which brings cryptocoins’ worth up to more than one hundred billion. On the other hand, the longer term cryptocurrency-outlook is somewhat of a blur. There are squabbles of lack of progress among its core developers which make it less alluring as a long term investment and as a system of payment.

Still the most popular, Bitcoin is the cryptocurrency that started all of it. It is currently the biggest market cap at around $41 billion and has been around for the past 8 years. Around the world, Bitcoin has been widely used and so far there is no easy to exploit weakness in the method it works. Both as a payment system and as a stored value, Bitcoin enables users to easily receive and send bitcoins. The concept of the blockchain is the basis in which Bitcoin is based. It is necessary to understand the blockchain concept to get a sense of what the cryptocurrencies are all about.

One alternative to Bitcoin, Litecoin attempts to resolve many of the issues that hold Bitcoin down. It is not quite as resilient as Ethereum with its value derived mostly from adoption of solid users. It pays to note that Charlie Lee, ex-Googler leads Litecoin. He is also practicing transparency with what he is doing with Litecoin and is quite active on Twitter.

Is cryptocurrency of particular interest to you? Are you eager to learn more about the tools that will enable you to achieve the best trades? So, you’d better clap your eyes on cryptocurrency trading bots. Sounds curious, right? In the era when bots seem to find application almost everywhere buy brics coin, it comes as…

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