Bitcoin (BTC) is once again talking about it in this time of economic and health crisis. Much of this enthusiasm is due to outstanding performance in a tumultuous market. The emergence of a new class of digital assets is a boon for investors seeking diversification. However, this is accompanied by significant volatility, which can now be tamed.
Successive economic crises are making traditional financial markets more and more crumbly. A system of communicating vessels that seems to be working to the advantage of Bitcoin (BTC).
The latter asserts itself on a daily basis as a logical contender for the future ultimate store of value, but also a diversification tool that is becoming difficult to ignore.
A new ATH for Bitcoin
This new reality greatly appeals to institutional players, little known for their love of risk, but in dire need of diversification. Bitcoin and the attainment of a new ATH in the midst of the Covid 19 crisis has had a knack for whetting the appetites of once-skeptical investment funds.
The preconceived ideas are indeed upset and force the institutions to review their positions. The PayPal company recently integrated Bitcoin into its payment solutions. Billionaire and fund manager Ray Dalio even explains on Twitter that he “may have missed something about Bitcoin.”
The finding is similar for retail investors. Still, for followers of potentially asymmetric income, their main concern is quite different. Without real trading fundamentals, they are faced with extreme volatility which often leaves room for frustration.
This emotional charge induced by sudden and unexpected market movements profoundly changes the attitude of traders, both experienced and novice. In order to approach the markets more calmly, they use trading bot services, of which Napbots is one of the major outsiders.
As 2021 approaches, which promises to be daunting for the cryptocurrency industry, it is now established that the lessons of the bull cycle that saw Bitcoin hit $ 19,500 in 2017 are now being learned.
The use of automated tools has definitely become commonplace. It makes it possible to tame the volatility of prices, but also and above all to offer asset management alternatives, formerly reserved for the financial elite.
Is it too late to invest in Bitcoin?
The sudden rise in the price of BTC may seem like you’ve missed the boat. The + 45% he recorded over the last few weeks has beaten all forecasts. However, the excitement of the crypto market is still far from peaking. As proof, Google searches related to Bitcoin are comparable to the figures for 2016, post Bullrun period.
Some analysts get very inspired when it comes to imagining future highs in digital gold. Despite their sometimes whimsical predictions; they prefer to delegate their active trading activities to bots that can analyze a multitude of indicators in real-time; in a market that never sleeps.
Bitcoin adoption is on the rise. The community does not seem to be affected by this price increase; and continues to stack sats through thick and thin. The number of addresses holding 1 or more BTC since his induction is at an all-time high.
These data prove that investors are still in a process of accumulation; that volatility does not appear to be a tangible brake in any way. What are the causes?
How to tame volatility?
Experiencing fluctuations in any market is a sign of a bad investment strategy. This assumption is particularly valid when it comes to Bitcoin (BTC) and the world of cryptocurrencies.
However, this reality can quickly become a major ally of the most sophisticated investors, who have the right tools. Setting up an automated trading strategy is an option that is gaining popularity. In addition to being on constant watch on a 24/7 open market; robotic tools allow you to choose between different trading strategies, all without effort and negative emotions.
There are several offers in the field, but one of them seems to particularly stand out for French-speaking customers. This is NapBots, which has as its main ambition the “democratization of algorithmic trading strategies”; previously reserved for institutional investment funds.
Supported by a team of experienced traders, the choice of strategies is legion and applicable in a few clicks. De facto, market fluctuations and the fear of an imminent correction will no longer be your major concerns. Trading bots will be able to generate returns regardless of the direction of the markets.
Between institutional presence and heightened volatility; the level of demand required to take advantage of market fluctuations is much higher than in previous cycles. Solutions for individuals have however been strengthened, and Napbots offers you to be the happy beneficiaries.
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