Crypto Copy Trading Copy Top Crypto Traders

This ensures that your balance remains under your total control. Moreover, our users are able to protect Coinmatics account with two-factor authentication. In 2014, eToro became the first trading platform to support cryptocurrencies when it added bitcoin (BTC) support.

• The percentages will be calculated automatically so that every trade they make will be copied into your portfolio with the same percentage.
• WunderTrading is a service that works on the cloud and connects to many crypto exchanges, such as Binance, Bybit, OKX, and others.
• Instead of automatic trade execution, social trading is meant to improve your trading skills and help you become a better trader of your own.
• XT Futures copy trading allows you to replicate real time trades of top cryptocurrency investors with one click.
• Honest and accurate statistics will help you make smart decisions when choosing professional traders to copy and avoid scams.

What should you know if you are planning to broadcast your own trades for others to copy? For starters, bear in mind that by opening yourself up to copy traders, you may feel a new level of responsibility for those following you. This can sometimes work, but remember that we are all fallible, and even the best traders can do a poor job of reading the room. This is why it is important to understand the fundamentals of what is copy trading in crypto as well as understand the conceptual elements.

Practical Benefits of Copy Trading Crypto

So far, our discussion on what is copy trading in crypto has touched on the act of automating your copy trading habits, but let’s delve further into it now. As mentioned before, places like eToro have a dedicated platform for copy trading, which is simple and effective to do. But you can copy trade on other exchanges as well, even if they do not have a console created specifically for it. It is worth keeping this in mind when you start copy trading yourself, as even the most well-versed crypto trader will still have knowledge gaps. This is unavoidable as those gaps are caused by a lack of historical data. However, it is not necessarily a bad thing, as sometimes, too much data can cloud judgment and lead to a false sense of security.

• Past performance is not always indicative of future results, and blindly following a trader’s every move can lead to losses.
• The platform currently supports over 16 cryptocurrencies in addition to stocks, commodities, and currency pairs.
• Moreover, our users are able to protect Coinmatics account with two-factor authentication.

You can choose who to copy from a list of lead traders who have different performance indicators. You can also adjust your copy settings like maximum amount, take profit, stop-loss, and the number of positions. You can use Coinmatics with different exchanges, like Binance, BitMEX, Bitfine, – and Bybit. You can also trade with different coins, like Bitcoin, Ethereum, Litecoin, Ripple, Cardano, Polkadot and more. And you can choose different types of trading, like spot, futures, and perpetual. It will copy the trader’s orders on your account as soon as they happen.

What Users Think of Coinmatics?

It also fits into the wider ethos around blockchain and cryptocurrency, where transparency is viewed in a positive light. Crypto has always been about pulling the curtain back and showing the world how to handle and manage money without hiding. Remember that some of the core elements of this industry surround the notion that the opaque nature of traditional finance makes it hard for individuals to partake. Both of these examples can be highly stressful for beginners and those who do not have a ton of cash to spare themselves. So, even if a well-regarded trader is doing this, it might not be smart for a beginner to follow them. Of course, if shorting and dealing with futures is your cup of tea, then, by all means, follow a trader who does this.

• So, we advise checking with your local regulator if you are eligible to hold crypto assets, trade them, or use copy trading facilities.
• It creates a type of democratizing of knowledge and experience; those who are viewed at the top of the trading strata are offering their insights to others by making their trades known.
• It takes the guesswork out of choosing where to invest your money.
• Based on our research, we recommend using Bybit and eToro social trading platforms.

Temporary losses can and will happen, but you shouldn’t decide to unfollow a trader prematurely because of fear, doubt, or uncertainty. Similarly, when copy trading crypto, take advantage of the power, consistency, and reliability of crypto trading bots. While you stand to profit by copying the trades of a successful trader, you’ll also sustain losses when the trader’s bot encounters a losing streak.

Mirror Trading vs Copy Trading

If the risks outweigh the potential rewards for your investment goals and risk tolerance, it might be wise to look for other traders who align better with your preferences. Part of learning what is copy trading in crypto is learning that copy traders can essentially function on any exchange, even ones without a dedicated dashboard or console. This is possible because the vast majority of exchanges, such as Binance, Kraken, and KuCoin, all have APIs that allow you to follow the actions of others through the use of code.

• Simply click on “Copy trading” and allocate a fund that you wish to delegate for Copy trading.
• However, it is important to note that past performance is not necessarily an indicator of future success, and caution should be exercised when relying on influencers or top traders.
• Once everything checks out, simply move ahead and deposit funds.
• Even after the software is set up, a trader could switch to another trader any time they want.

However, modern providers of copy trading services enable the process to be completely automated. In this case, all you have to do is decide which trader (or traders) to follow and how much of your account capital to allocate to that trader. While copy trading allows a trader to view the actions of lead traders, they don’t get to see the work behind the scenes that led them to make those moves.

Holistic and long-term view of cryptocurrency copy trading

Many people who learn how to copy trade crypto choose to use a service or tool that automatically replicates the trades of more experienced or successful traders. These exchanges allow users to connect their accounts to those of more experienced traders and automatically emulate their trades. The platform offers over 150 crypto assets, has over 3 million global users, and is one of the few derivatives platforms that offer an automatic copy trading system. New crypto investors can easily follow and copy the trading strategies of successful traders. This copy trading software automates buying and selling of crypto assets by mitigating the original trades of professional traders.

• EToro strives to improve its crypto trading services and also offers a crypto wallet to traders that wish to own the underlying asset.
• Temporary losses can and will happen, but you shouldn’t decide to unfollow a trader prematurely because of fear, doubt, or uncertainty.
• These are important for evaluating how well the traders on the platform are doing.
• After choosing a crypto copy trading platform and a seasoned trader to follow, you should manage the platform’s settings.

One surprising recent example involves newbies trading investment tips on TikTok. As the phrase suggests, it’s a process in which a crypto investor (or group of crypto investors) – copies the trades of an expert trader. Remember what we said about success at the very beginning of this article? Copy or social trading is based on following profitable traders.

Trading 101: What Is Copy Trading?

It is a huge factor to keep in mind, and having power like that is highly sought after. It creates a type of democratizing of knowledge and experience; those who are viewed at the top of the trading strata are offering their insights to others by making their trades known. It makes for a more horizontal experience, where those who know the most help those who are just starting out. It would be useless to learn about what is copy trading in crypto if you never learned how to do it efficiently and effectively. This might sound strange, as in many ways you are not making most of the granular decisions, but rather another party is.

• It can also be automated with the help of robots and expert advisors.
• In addition to copy trading tools, eToro allows for community discussion, which helps traders to learn from the traders they copy.
• Choose your favorite, seasoned trader/s and software, and then customize its settings.
• Knowing the risks and reward potential can help you decide whether copy trading is a strategy you should adopt.
• You could say that the essence of learning what is copy trading in crypto is learning how to study other people and learning which people align with you on the trading floor.

Copy trading is like having your own personal crypto mentor, guiding you through the ups and downs of the market. This website is using a security service to protect itself from online attacks. There are several actions that could trigger this block including submitting a certain word or phrase, a SQL command or malformed data.

Incentives for Helping People Learn How to Copy Trade Crypto

Gate.io is a well known crypto exchange that allows users from USA as well. You can join as an investor (to copy other trades) or you can join as a trader, so that others can copy your trades and you can make money. Think of this as running your own hedge fund, and everything is automated.

• It is the most critical part of copying trades, as your profits depend on it.
• This gives traders a familiar, sophisticated trading interface they can use immediately.
• So, when you as an investor rent a trading bot made by an expert trader, you are effectively copying their trading strategy.
• But different countries may have different rules and requirements for crypto copy trading platforms and users.
• The copy trading platform automatically opens the trades on your account when a trader you follow opens them.

EToro is a platform where you can trade and invest in various kinds of financial instruments, including cryptocurrencies. It has over 20 million users around the world and it follows the rules of the FCA (UK), CySEC (Cyprus), and ASIC (Australia). Check and analyze their performance, risk level, and trading history before you copy them. If you want to copy the trades of other traders, you can sign up as a copy trader on OKX. You can choose from 340+ trading pairs and find the best traders to follow.

Step 2. Select one trader to apply the copy trading strategy

Investors can rent profitable bots tailored to specific risk tolerances (low, medium, and high) and individual investment goals. A full suite of metrics is available, allowing investors to decide on a bot based on clear, quantifiable whats crypto trading data. But there are things that you should bear in mind when considering copy trading and profitability. Just as businesses must know their customers, so too should you do your due diligence when picking a reputable trading platform.

• You can start out copying top traders at FXTM with a minimum deposit as low as $100.
• This way of manual copy trading is available for purchase as well, with many “influencers” acting as paid signal providers, usually in private Discord groups.
• First, your success hinges on which investor’s movements you follow.
• To become a copy trader, you need to have a trading account with a broker that offers copy trading services.
• This allows the investor to mirror the trader’s strategy and benefit from their expertise.
• You can filter them by different criteria, like an exchange, coin, profit, risk score, followers, etc.

For this reason, it is easy to assume that your success comes almost entirely from another person. Once you have picked your trader of choice, and set up either the API or the platform you are using, you will then start to see your trades sync up with your target! This is equal parts exciting and scary, but just remember that even when you copy-trade crypto, you are still the one in charge. If you want to disconnect yourself from somebody else, you can easily do that at any time, and reconnect with them in the future, too. After a standard KYC process, simply add funds to the Trality Wallet using a preferred funding method, whether by credit card, bank transfer, Apple Pay, or Google Pay. The first step involved in crypto copy trading is arguably the most important.

Buy Crypto

You can copy trade a forex, CFDs or stock trader, or follow a crypto trader along his journey. EToro social trading is quite popular among beginners who are looking to start with copy trading feature. Pro-traders can share there trades from Binance or other supported exchanges (automatically using API), and investor can automatically copy those trade to make money. First, your success hinges on which investor’s movements you follow.

• The biggest drawback of this trading method is that you need to constantly monitor the market’s flow and decide on individual trade trends.
• Copy trading is a form of trading where investors automatically replicate the trades of other traders they choose to follow.
• Copy trading is a way of making money by following the trades of another principal trader who has trading knowledge and proven success rates.
• For example, if you invest conservatively then you’d copy someone with a conservative trading bent.
• But luckily, the most popular trading platforms offer multiple features to help you on your investment journey.
• Copy trading can also have a negative impact on an investor’s psychological well-being.

MetaTrader 5 offers desktop, web, and mobile versions of the platform. This one of the best social trading platforms uses the MQL5 language, the automated trading software that mostly runs on your computer and trades for you. Furthermore, copy trading saves time and effort for busy individuals who may not have the luxury of dedicating hours to market research and managing their own trades. Instead of spending countless hours monitoring charts and analyzing trends, they can entrust their investments to skilled traders through copy trading platforms like eToro. This freedom from constant monitoring allows them to focus on other aspects of their lives while still being actively involved in the cryptocurrency market.