7 reasons why you should use crypto AI Trading Bot
Trading is one of the ways to make money in cryptocurrencies. Trading is buying, selling different crypto assets at various time conditions, and gaining profit by the difference between buying and selling prices. Trading (along with Hold) is one of the main methods of making money with cryptocurrency, but it is not easy as a pie. Trading is more complex than simply buying and selling, and successful trading requires several skills. Mastering a variety of technical analysis tools, having a fundamental vision, understanding the market, and controlling the feeling are the most important skills that every successful trader should need. Many people who are interested in making money with cryptocurrency do not have the time or ability to acquire such skills, and using trading robots is the best solution for them. But how? We are here to tell you.
Trading bots are a set of codes that can trade successfully instead of humans. The tool can easily use technical analysis indicators and trade successfully in different time conditions. Using artificial intelligence science has also helped these bots to be able to study the cryptocurrency market conditions like a human and make accurate decisions.
Many people think trading bots make wrong decisions and do not work properly in the cryptocurrency market. This could be true of simple trading bots, but AI robots have the ability, like humans, to learn from their past mistakes and perform better after each trade. Here are eight reasons why you can trade more successfully with an AI trading robot in the crypto market:
1. AI trading bot works 24/7
You should always monitor the cryptocurrency market for trade. The cryptocurrency market is a 24/7 market, and there may be an opportunity to trade at any moment. However, naturally, you can’t stop doing daily activities and monitor market conditions 24/7. We should eat, sleep and work, etc. However, bots can work 24 hours a day and do not cause any problems. Humans get tired with a few hours of activity, but robots never get tired. AI trading bots have an even greater advantage. The more they work, the more successful their trades will be because the more they get trained.
2. AI trading bots do not have emotions
Emotion is an important part of trading and the mind matters. Many unsuccessful trades suffered a significant loss of capital due to emotion. The cryptocurrency market confronts pumps and dumps more than other markets such as the stock market. This shows that emotion can be even more dangerous, and naturally, it is much harder to control emotion. Fear causes sales when the market falls and greed causes you not to sell your crypto at the proper time and your asset value goes down.
Sometimes you have to ignore your emotion to be successful, but human beings are inseparable from human beings. Just an emotional decision can cause a big loss. Pump and dump have no sensory effect on bots and they can trade away from emotions such as fear.
3. AI trading bot is faster than you
Trading also requires pace for action. Many unsuccessful traders can’t make money in the fast cryptocurrency market due to a lack of agility because pumps and dumps are fast. Just a second delay in trading can cause a loss of capital.
You can only trade one asset and miss out on other opportunities at the same time. Trading AI bots do suffer from weaknesses and they can react to the market and open and close positions in a fraction of a second and prevent losses. In addition, the number of bot trades is always higher than that of humans. If you can do five trades in a minute, intelligent trading bots can trade in one-hundredth of a second. That is why the world's largest investment companies use these bots for trade to help them find the fundamental knowledge and take profit in the cryptocurrency market.
4. AI trading bot is easy to use
You need to spend several months learning successful indicators and oscillators and how to use them successfully. Then you lose a lot of money in exchanges to test your trading strategies.
However, you are need not require anything using an AI trading bot. These bots are designed to be easy to use for people with different levels of expertise. Using these bots is as simple as a click, and people who do not even understand cryptocurrency trading or technology can easily trade. Just turn the bot on or off. That's all.
5. AI trading bot uses different trading strategies
Trading AI bots can work with different strategies simultaneously without correlation between the two strategies because they can scale and execute quickly, which reduces risk. The human brain usually uses a limited number of trading strategies because it has limited processing ability. However, bots can process unlimitedly.
6. AI trading bot is smart
You might think that AI trading bots are not as smart as humans. This is a misconception because computer codes are always less error-prone than humans, and that is why robots are replacing human jobs every day. The only weakness of bots against humans is the lack of intelligence. The science of artificial intelligence, which is one of the emerging sciences, has solved the problem. Trading bots can open positions with the help of artificial intelligence, infinite memory, and high computing power along with the ability to learn.
AI trading bots can store their mistakes in their knowledge base and not repeat their mistakes. As successful traders learn from their mistakes, AI trading bots can train well to understand which indicators and oscillators are most profitable, when trading will be disadvantageous, and when trading conditions are favorable.
7. AI trading bot has got a proven track record
Statistics show that AI trading bots work better than humans. According to reliable statistics, the number of trading bots in 2021 is more than a hundred times higher than in 2015. Another statistic shows that by 2014, nearly sixty percent of the New York Stock Exchange trades were through automated trading systems. Do you know why? This is because trading bots trade better than humans. The first people to use automated trading systems and trading bots were the real winners of the game because of fighting against loss in the market by machines and science.