Auto

Ethereum

Bitcoin

There’s a running joke among crypto investors that says the first thing any of us do when we wake up in the morning is check the prices of our coins on platforms like Coinmarketcap or CoinGecko. There’s a lot of truth in that, even if not all of us are completely obsessive. Of course, there’s more than a grain of truth in the assertion that <a href="https://micky.com.au/category/bitcoin/">Bitcoin is the main market driver</a>. If Bitcoin starts to fly, then your altcoins won’t be far behind. Unfortunately, if Bitcoin starts to bleed, well, you know what’s going to happen to your altcoins. That’s a generalization, sure, and many individual altcoins, particularly microcaps, will do their own thing irrespective of what Bitcoin does. 
Nonetheless, BTC is the general market driver in crypto. And even if you believe Ethereum represents crypto’s real future or are not a Bitcoin Maxi in the mould of Michael Saylor, you simply can’t ignore it. But should more us be exploring auto trading options? <a href="https://www.avatrade.com.au/trading-platforms/auto-trading">Australian platforms like AvaTrade have multiple automated trading solutions</a>, some of which can be considered useful for trading and investing in Bitcoin. 
What is automated trading? 
Automated trading is a broad term that effectively describes trading without manual inputs. This could be in the form of a bot carrying out your trades or something simple like a copy trading tool. The former will usually work on customised specifics determined by you. For instance, you might want to fill an order of BTC if it hits $30K AUD, or sell when it hits $50K, or a combination of other market factors. The point is that the bot acts without your input. Nobody wants to sit glued to a screen trying to time a bottom or sell a top, so a bot takes the work out of it. 
Copy trading is just that, copying the trades of your chosen trader(s) and then waiting for the results. Some relatively famous crypto traders will publish their trades on Telegram, Twitter/X, and Reddit, of course, allowing you to follow their advice. But professional copy trading is a little more reliable and precise. You’ll also get to peruse the data before you make the decision of who to copy. 
Auto trading and Bitcoin in 2023 
Of course, automated trading is a bit more sophisticated than what we outlined above. It can be used for more advanced trading techniques, incorporating important trends for BTC, including moving averages, RSI (relative strength index), Bollinger bands, and so on. Importantly, it seems that BTC is maturing as an asset. It is still capable of sudden pumps (and dumps, unfortunately), but some claim (there’s not always agreement in the measurement) that it has become less volatile. In October 2022, BTC was deemed to be less volatile than the NASDAQ for the first time in its history. 
&lt;iframe width=”560″ height=”315″ src=”https://www.youtube.com/embed/XRMimIPbbyw?si=HykVFO3JzsbzH0eR” title=”YouTube video player” frameborder=”0″ allow=”accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share” allowfullscreen&gt;&lt;/iframe&gt; 
Nonetheless, its ability to lurch up and down – just look <a href="https://www.reuters.com/technology/grayscale-victory-big-boost-decade-long-spot-bitcoin-etf-push-2023-08-30/">what happened after the Grayscale Bitcoin ETF court ruling in August</a> – remains significant. The pump on that Grayscale news happened out of hours for many Australians, most of whom would have been in bed as BTC/AUD recorded gains of over 10% in a matter of hours. Auto trading tools could have caught that pump. 
On the other hand…. 
For balance, we should say that auto trading is not perfect, and it’s not always suitable for trading Bitcoin. With bots, there can be an overreliance on trend analysis <a href="https://www.smh.com.au/business/banking-and-finance/bitcoin-s-blessing-how-crypto-became-a-safe-haven-in-the-bank-chaos-20230328-p5cvsw.html">when other narratives are staring you right in the face</a>. Moreover, even if the best traders in the world can get it wrong, so copy trading is not guaranteed to lead you to success in BTC trading. Also, auto trading is not the stress-free activity that it sounds like on paper, and you may find yourself monitoring the monitoring, so to speak. 
Conclusion: A powerful tool in the right hands 
We have an abundance of trading tools available to us that can be used for Bitcoin and other cryptocurrencies. Expert traders know this, and they act accordingly. It allows them to set the parameters for their trades, preconditions that will either be met or not before the trade is executed. The best traders do, however, not put all their faith in tools alone. Bots are not designed to do trading for you; they are designed to help you execute your trading plan with more efficiency and, hopefully, with more success. 
The post <a rel="nofollow" href="https://micky.com.au/australian-bitcoin-investors-should-you-let-auto-trading-platforms-do-the-work/">Australian Bitcoin Investors: Should You Let Auto Trading Platforms Do the Work?</a> appeared first on <a rel="nofollow" href="https://micky.com.au">Micky</a>.

Australian Bitcoin Investors: Should You Let Auto Trading Platforms Do the Work?

MickyNews

Other articles published on Sep 27, 2023

Kraken secures virtual asset service provider registration in Spain, Ireland

No more U.S. govt shutdown as Senate finds common ground

Tether Invests $420 Million for Bitcoin Mining; Solana and VC Spectra on the Rise

BIS Chief calls on countries to have a legal framework that supports CBDCs

YouTube Announces Inclusion of AI-Based Features in Future

Navigating the AI Revolution: A Strategic Roadmap for Businesses

Join our free newsletter for daily crypto updates!