Bitcoin Up, the well-established trading platform that connects users with trusted crypto brokers who utilize automated trading robots to potentially revolutionize their investments, has just updated its trading algorithms with machine learning. Recently, the platform has been in the news recently for all of the right reasons. This latest update is another positive addition to the platform.
The trading platform is certainly not the first to update its trading algorithms with machine learning, and for good reason. An increasing number of trading platforms are adopting machine learning and other artificial intelligence techniques to create algorithmic trading systems that learn from data without relying on rules-based systems.
In recent years data scientists have made a series of advances in cloud computing, and provided access to open-source frameworks for training machine learning models. As a result, AI is transforming the crypto trading world and the conventional investing sphere. For example, some of the world’s biggest banks have rolled out self-learning algorithms for equities trading.
“Machine learning is a natural next step of algorithmic trading because machine learning identifies patterns and behaviors in historical data and learns from it.”
Robert Hegarty, managing partner, Hegarty Group, a consultancy focusing on financial services, technology, data, and AI/machine learning.
In contrast to the traditional algorithms which are generally designed by programmers and quant strategists, machine learning hands responsibility over to the machine in order to discover the best trading patterns and update the algorithms automatically, without the need for major human intervention.
Traditional algorithms, on the other hand, are based on if/then rules, generally do not learn on their own, and need to be updated on a regular basis. But many people are wondering how this effect them and what this update to Bitcoin Up’s trading algorithm really means.
How does the machine learning change affect you?
In short, this change to Bitcoin Up’s trading algorithm is very good crypto news. It has revolutionized an already popular platform that connects you to some of the best brokers in the crypto sphere.
You see, Maching Learning is centred around consturcting algorithms and systems to analyze the process and learn from data. When it comes to successful crypto trading, there’s a lot of data to analyze and to do so manually is a significant task that many of us simply don’t have time for. This is where Machine Learning comes to the rescue and does most of this work for you.
This is why Machine Learning how grown into one of the most popular ways of analyzing trading behaviors and determining the value of an asset in the cryptocurrency market. As ML can let people to predict the trading patterns of specific investors, it allows traders to potentially form an understanding of a particular digital asset through an analysis of how other investors interact with it, since it is difficult to apply ML algorithms directly on an asset itself.
As with anything, there are also cons to ML too. Analyzing data itself is a rather time-consuming task, so Machine Learning algorithms can take a long time to run and provide accurate results with accuracy. This means it’s more suited to investors in long positions rather than day traders.
To sum it up, trading can be hard for beginners but using trustworthy brokers who use such technology can potentially help you advance in your trading journey. But of course, ML is by no means 100% accurate and mistakes are not uncommon. So you should never view it as a guaranteed way to make profits in the inherently volatile crypto space. Do your due and know your risk tolerance in trading, and never trade with money you can’t afford to lose.
