What is automated crypto trading and how does it work? By Cointelegraph

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What is automated crypto trading and how does it work?

Published Oct 16, 2022 04:24PM ET Updated Oct 16, 2022 06:00PM ET

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What is automated crypto trading and how does it work?

Time waits for no one and financial markets are no exception. Especially in the uncharted territory of cryptocurrency trading, keeping up with the fast-paced changes in prices is key to success. A plethora of cryptocurrencies, a few viable trading strategies and numerous tools accessible to new traders may all cause confusion.

Fortunately, technology has made it possible to automate several trading processes, including market analysis, predicting trends and order execution. This frees up more time for strategic planning and establishing a solid foundation for long-term cryptocurrency trading success.

Advantages

Minimizing Emotions

Backtesting

Preserving discipline

Improving order entry speed

Diversifying trading

Disadvantages

High start-up costs

Ongoing maintenance costs

Lack of flexibility

Mechanical failure

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What is automated crypto trading and how does it work?

Advantages

Minimizing Emotions

Backtesting

Preserving discipline

Improving order entry speed

Diversifying trading

Disadvantages

High start-up costs

Ongoing maintenance costs

Lack of flexibility

Mechanical failure

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