Are your drawdowns low enough to leave your trading Bot alone?
Drawdowns are declines of the trading account during a specific time period. The trading strategy creators all agree that a good strategy cannot be done with big drawdowns. Let’s have a look at the last 8 months of testing our newly released AI Bot. Drawdowns are inevitable, but how big can they be to still be consistent and make money?
How did we earn 65% profit in 8 months? And how can you too?
The goal of any trading strategy is consistent profit making. Consistent profits can only be achieved if the drawdowns are small enough not to take away the profit already generated.
The b-cube.ai started testing the Bulls & Bears AI Bot in March 2020. The first account we started trading on was our own account. It was a bit slow from March to summer. However, it had never been negative. The biggest decline we saw was from 5.13% to 3%.
By the end of the summer, it was really starting to break up.
From July 28 to August 9, the Bot’s results reached 46.1%. Almost half of the initial money as a plus in 6 months. At this point we saw the biggest ever drawdown. Our profits were going down by 15% until 31.1%. This period took 17 days. Periods like this are nerve-wracking. You must know, without patience and confidence, it is impossible to make profits in this profession. It is still more comfortable to wait by sitting down and letting the bot to work than by trading actively and stressing about the next trade.
There is no strategy to issue monthly paychecks always with the same amount.
After the low point until August 26, it started to grow again. We reached 65.84% on October 18th.
What is the reason behind the AI Bot’s performance? And why are we confident about the future?
Our startup enjoys the support of the world’s number one mathematics university, the Universite Paris-Saclay. As a result, we had the pleasure to work with the best minds in the quantitative finance field. The university professors and PhD students contributed a lot to the success of our models.
It trades 24/7
The Bulls & Bears AI Bot works fully automatically. No human interaction is required, it executes the trades in real time on the integrated Binance Futures account. Once you have logged in to your Binance Futures account, you can create API keys under the API Management menu point under your profile. These must be integrated to the Bot on the B-cube platform to work.
After testing the connection and saving your changes, you will need to subscribe to the bot. Bulls & Bear AI Bot has a monthly fee of € 59. This is deducted from the customer’s credit card every month. The USDT uploaded to Binance is not affected. They stay in your own account all the way. The Bot will only receive permission to buy or sell, but can never transfer from your account. This eliminates the risk of any Ponzi scheme.
Tips for Profitable Bot Trading
Patience, patience, patience
It is also the most important feature in manual trading. It can probably never be overestimated. The Bot executes trades that can be open for up to several days. The market will tell the bot for how long to stay in position. Let’s be patient and let it work. Remember, it took us 8 months to achieve these results.
Small drawdowns are natural
Don’t let your emotions take over. From time to time you will see little losses. These low drawdowns are natural. There is no strategy that wins every single trade. However, too many drawdowns are indicating there is something wrong.
There is no free lunch on the market. In the long run, we’ll run into a losing streak with him sooner or later.
This, in turn, does not mean that we are not profitable in the long run. As time goes on, a good strategy will find its way. It starts opening good trades again and making a profit. These profits will outweigh the losers.
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