New purchasing strategies for Cryptotrader

Where is the best place to buy Bitcoin?
April 4, 2023

As of today, as a user you can switch between different purchasing strategies in your Cryptotrader: Cautious, Moderate and Aggressive.

You can set the strategy per trader yourself via the settings screen. If you have not yet chosen a strategy, the trader trades in the “Cautious” mode. Cautious has the same behavior as the “old” Cryptotrader.

You can switch between the desired strategy as often as you want. With every new purchase, the strategy chosen at that time is acted upon.

As soon as you have chosen a new strategy and pressed the “Save” button, the strategy becomes active.

Pocket size

The size of each new pocket to be purchased still depends on the price drop. But depending on the chosen strategy, this has a greater impact on the pocket size.

Here is an example of the effect of price drops and the chosen strategy on the size of a new pocket to be purchased.

Pocket Strategy
New Lowest Difference Cautious Moderate Aggressive
$59000 $60000 $1000 3.33% 13.33% 23.33%
$58000 $60000 $2000 6.67% 26.67% 46.67%
$56000 $60000 $4000 13.33% 37.50% 50.00%

The new pocket size is the calculated percentage x available USD in your trader.

You have $1000 available in the trader, you have chosen “Moderate” purchasing strategy and the Bitcoin price drops from $60000 to $58000. Then a new pocket will be purchased at a Bitcoin price of $58,000 with a value of $266.70 (= $1000 x 26.67%). This pocket then contains 0.004598 BTC.

Every strategy has its advantages and disadvantages

Strategy Features Optimal for
Cautious Many small pockets
Can continue purchasing for a long time
Down (Bear) Market
Moderate Slightly larger pockets. Ensuring more profit when selling Horizontal / Rising market
Aggressive Very large pockets. Ensure large profits when selling
Note: the available USD is quickly used up.
Sharply rising (Bull) market

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