Cryptocurrency trading works in the same way as traditional foreign exchange trading. You trade with recognized cryptocurrencies like Bitcoin, Ripple, and Lite coin instead of fiat currencies like the U.S. Dollar or Japanese Yen.
Strategies are key to professional traders making profits. They do an extensive market analysis and draw analytic charts to ensure that they only trade when conditions are favorable. For traders who are only interested in trading via exchanges, it is manageable. Advanced traders, however, may find the manual process tedious as they are more comfortable using terminals than exchanges. Automation comes in handy here.
What is Automation?
There are many terms for it: automatic trading, system trading, or algorithmic trading. It is simply a trading system that eliminates the need for traders to conduct market analysis and place trades manually. The universal rules of cryptocurrency trading are the foundation for automated trading platforms like Superorder.
The automated trading software is developed by a qualified programmer who has extensive knowledge in cryptocurrency trading. The rules for crypto trading are broken down to the most basic level by the programmer so that each set of rules can easily be executed using a set commands. The software trades for the person concerned; it buys and sells when the trading parameters are met.
Why use automated cryptocurrency platforms?
Automated trading is preferred by professional crypto traders today. We will discuss the advantages of automated trading over manual trading below.
1. Automation is Its Core Strength
Like any other investment, cryptocurrency trading is a game that requires strategy. It is not possible to just decide to trade cryptocurrency one day. Traders need to build a portfolio of cryptocurrency, allocate funds to it, diversify it, track its performance, and monitor its progress over time.
The first-time trader should research cryptocurrency markets, learn about the different trading platforms and exchanges, do a thorough market analysis and decide when to trade. Crypto trading can be seen as a repetitive activity in retrospect. Complex processes such as portfolio tracking and market analysis are some of the most common. These processes change depending on the trade dynamics, so it is almost impossible to track them manually across multiple crypto trading platforms.
The automated trading software removes the burden from traders by following pre-programmed parameters to aid in decision-making. The software does all the relevant analysis in the background and places trade only when they are satisfied. This is the best!
Automated trading platforms save market and portfolio data over time. They also use the built-in backtest protocol for comparing the programmed strategy to historical data. The trader receives a reliable statistical report, which is easy to understand in the form of charts and graphs.
Simulations are used to predict how certain trading strategies will perform in the real market. The simulation then generates detailed reports on the returns and risks associated with each strategy. For decision-making purposes, traders can use the backtest report to determine their trade volume and win/loss ratio. This report helps traders to reduce their risk and maximize their profits. These powerful analytics help professional traders improve their trading strategies to make more precise trades in the future.
3. Improved Tracking Capabilities
Professional crypto traders like to diversify their portfolios by trading on multiple exchanges. Market dynamics affect each exchange. Different market dynamics can cause arbitrages. Traders’ timing and speed are crucial, so traders will often log in to multiple exchanges simultaneously and analyze them all. Even for experienced traders, it can be difficult to keep track and place trades at the right time.
The automated bots and programs analyze the exchanges around the clock for you. They increase the likelihood of your trade being executed on time, increasing the chance of realizing a profit.
4.Machines Eliminate Emotion
Crypto traders are humans. Sometimes emotions play a part in decision-making. A trader might be tempted by the temptation to increase their stakes to make up for a loss. Sometimes traders might be tempted to trade beyond their profit target to increase their profits. However, this could lead to the strategy failing.
Pre-programmed parameters protect you from emotional decisions that could harm your trades in automated trading systems. The stop-loss parameter can be set by traders. This tells the system to stop all trades if it loses money beyond a certain amount. You can also set predetermined profit targets that instruct the trading bot not to trade until the profits have been realized.
Automated trading with Superorder
You now know the basics of automated crypto trading and what benefits it offers. Now, it is time to choose the right cryptocurrency trading software. Many cryptocurrency platforms offer automated crypto trading. None of these platforms can match Superorder’s offerings.
Superorder, a complete crypto trading terminal, is the first. It has more advanced analytics and features than exchange platforms. Superorder allows for complete codeless automation, which is something that many other systems do not allow.
Here are the benefits of trading with Superorder
Superorder allows traders to trade on multiple international markets. You have a greater chance of placing profitable trades with reliable analytics.
Trading View generates extended chart time frames for this fully-automated multi-trading platform. Chart time frames enable you to track key trading statistics within a defined range.
It also features an advanced strategy builder. Drag and drop your data and the strategy builder will generate the classic buy and sell orders, stop-loss parameters, as well as trailing’s.
It can track your portfolio across multiple markets. Additionally, it can place hidden orders for traders who wish to remain anonymous.
Superorder is a multi-platform trading terminal. The team at Superorder works hard to keep the platform current with the changing trading environment.