Algorithmic trading in Cryptocurrency

Unlike more mature instruments like stocks, options or CFDs, the Cryptocurrency market is quite volatile. Typically, higher volatility leads to more frequent jumps in the price of instruments, higher and lower. Hence, some professional traders find this amusing and opportunistic to make the most of the profits.  

Generally, for Cryptocurrency traders, there are plenty of cloud-based solutions using trading bots, though for very professional and institutional traders this may not flexible enough. There are few Algorithmic Trading Platform for Cryptocurrency which can utilize the need of more sophisticated and institutional traders. 

Algorithmic Trading Trends:

On average 80% of the daily traders across the US are done by algorithmic trading and machines. Though the volume of the algorithmic trading can change based on the volatility in the market. According to J.P. Morgan, fundamental discretionary traders are accounted for only 10% of trading volume in stocks. This is the traditional way of checking the company’s business performance and their outlook before deciding whether to buy or sell a position. 

The growth in the number of algorithmic trading since last year comes close to 47% and there is 41% growth in the number of users executing their trades algorithmically. Mobile also plays an important role in the tools provided there is around 54% growth in trading FX algorithmically using mobile devices. 

New technologies, Artificial Intelligence, Machine Learning, Blockchain:

According to another J.P. Morgan research, Artificial Intelligence and Machine learning are predicted to be the most influential for shaping the future of trading. Based on this analysis Artificial Intelligence and Machine Learning will influence the future of trading by 57% and 61% in the next three years.  

Interestingly this report states that Natural Language Processing alone will count to 5% of the change in the next 12 months and up to 9% in the next three years. 

The same report indicates that Blockchain within the next 12 months will influence the trading up to 9% and 19% within the next three years. Within the same report, Mobile Trading application is to influence the trading market up to 28% within the next 12 months and 11% within the next 3 years. As we know, over the past several years, we have witnessed a real computer revolution. These are already such advanced technologies that are already able to make a decision for us, and what’s more, they do it faster and more efficiently than man. It is particularly visible in trading, where several years ago all decisions were made by man. Now Traders are equipped in computer programs who are able to do all the work. However, the market is flooding with information on how many new programs have been hiring by financial institutions recently. But what about us with retail traders? How should we deal with this situation? It remains for us either programming learning or uses trading bots (free/paid) from the Internet. There are really many of them when you looking for information on the web. That’s why I decided to check 3Commas in this short article. One of many users and additionally paid TradingBots.

Smart Crypto Bot software is compatible with several trading platforms to be able to exchange anywhere at the best possible time. We offer four different deals at smart crypto bot shop including 7 days free trial. Subscribe to our Bronze, Silver or Gold starter packages where you can trade up to your desired number of coins as low as €24,00 per month.

If you are interested in trading Bitcoin or any other crypto coins available in the market, by using SmartCryptoBot chances are that you will be more profitable.