This is good news for active crypto traders, who have been waiting for such a long-awaited bull run since the end of 2021. However, this doesn’t mean trading will be easier from now. In general, the crypto market has been harsh during the last few years, with the “crypto winter” slashing over $1 trillion of crypto value and the market forming horizontal channels that lasted for months.
The main challenges of crypto trading
Today, active crypto traders face many challenges, which are more pronounced compared to trading fiat currencies, stocks, or commodities.
One challenge is volatility. The crypto market is still immature and can move unexpectedly, making trading difficult.
Another challenge is complexity. The crypto market constantly evolves, and there is always something new to learn. For example, crypto holders are now being encouraged to explore decentralized finance (DeFi) opportunities, enjoy better performance on layer-2s, or move their crypto assets between different blockchains.
Finally, security issues and price manipulation are also challenges for crypto traders. Many small-cap altcoins have signs of being risky or fraudulent from the start, and it can be difficult to detect these issues. You have to develop many skills, such as research skills, risk management skills, and technical analysis skills, in order to stay away from vulnerable tokens.
How can automated trading tools simplify trading?
Crypto traders trying to achieve everything themselves can be in a losing position today. Thanks to genuine automated trading tools, they can make the job look much easier.
These automated trading tools don’t increase profitability by implementing some secret tricks or cheating the market — their greatest achievement is to eliminate all the stress and negative influence of your emotions, which are to blame for most of the losing positions.
Crypto traders trying to manage their portfolios and execute trades manually can be in a losing position today. However, genuine automated trading tools can make trading much easier by reducing the stress and negative influence of emotions, eliminating manual work, and allowing traders to track all crypto markets and portfolios simultaneously.
AI-powered tools cannot replace algorithmic trading platforms
Today, algorithmic trading tools are more sophisticated than trading platforms powered by artificial intelligence (AI). First, algorithmic trading is more transparent and predictable. Algorithmic trading platforms use predefined rules and parameters to make trading decisions, which means that traders can see exactly how their trades are being executed. AI platforms, on the other hand, are often black boxes, making it difficult for traders to understand how their trades are being made.
Second, algorithmic trading platforms are more flexible and customizable. Traders can easily modify the rules and parameters of their trading strategies to suit their individual needs and risk tolerance. AI platforms, on the other hand, are often less flexible and customizable, and traders may be limited to a predefined set of trading strategies.
Third, trading is a complex and dynamic activity that requires human judgment and control. Each trader has their own unique risk tolerance and trading goals, and it would be irrational to fully delegate trading decisions to an AI-powered tool.
TradeSanta is a cloud trading platform that empowers beginners and pros to automate trading processes. It does not replace human decision-making, but it complements and improves it.
For example, TradeSanta can be programmed to monitor the market and open and close positions by itself, implementing the best algorithmic strategies to maximize profits according to your take profit and trailing take profit settings. For risk minimization, the trading bot provides stop loss, trailing stop loss, and TradingView stop signals. Traders can even program it to copy the trading bots of advanced traders, gaining access to talented minds with a few clicks.
Traders can use TradeSanta’s trading terminal to manage their portfolios on multiple exchanges from a single interface. This can save them time and effort and help them to make better trading decisions by having all of their data in one place.
Moreover, TradeSanta’s automated trading tool can be integrated via API with many crypto platforms, including Binance, Coinbase Pro, OKX, HitBTC, HTX, Kraken, and Bybit, among others.
TradeSanta also offers a unique interface that is easy to use and accessible from PC and mobile devices. Moreover, users can easily create customized trading bots that can be used for spot and futures trading.
Automated trading tools can help cryptocurrency traders overcome many of their challenges. By automating trading processes, reducing emotions, and providing trading signals and alerts, TradeSanta can help traders make more informed decisions and navigate the volatile and complex cryptocurrency market more effectively.
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