6 Best Crypto Copy Trading Softwares Cryptocurrency Social Trading

There are reasons to use copy trading, and reasons to stick to trading on your own. Gate.io is a CEX that allows copy trading with high leverage, with over 1,400 cryptocurrencies listed on the platform. No matter the trading signal provider you want to follow, it is important to research them well, just like you would research a trader to copy. Hovering over any profile would give you more details about the traders, and this is useful to understand the trading style of a specific trader. 5% of the net earnings will be given to the initial strategy creator when the strategy closes.

• It would be useless to learn about what is copy trading in crypto if you never learned how to do it efficiently and effectively.
• Cryptocurrency trading is a complex skill requiring extensive knowledge of fundamental and technical analysis and the cryptocurrency ecosystem as a whole.
• Coinmatics connects a part of your portfolio with the portfolio of your desired trader in a usable graphical form.
• Choosing the best copy trading platform can often mean the difference between short- and long-term success and dashed hopes.
• It’s crucial to conduct thorough due diligence when selecting traders to copy, considering factors such as their long-term performance, risk management strategies, and consistency.

In the world of cryptocurrency, copy trading crypto has emerged as an innovative and increasingly popular investment strategy. This approach allows novice investors to capitalize on the expertise of seasoned traders by automatically replicating their trades in real-time. Essentially, it enables individuals to copy the trading strategies of successful traders within the crypto market.

eToro: Best Ethereum Social Trading App

Nowadays copy trading is one of the most popular features for traders (according to the research in BeInCrypto Trading Community) and many exchanges offer such functionality to their users. Replicate the trading activities of financial experts and earn a passive income without spending time researching – every investment you make. Copy trading is copying the trading strategies or trades of someone else. Usually, it is experienced traders who are constantly generating more profit than losses. While we are at it, you should know that Copy trading is also known as social trading or mirror trading.

• You can use it to automate your trading strategy, or you can copy the trades of expert traders or crypto bots that you find on their marketplace.
• Copy trading is one of the best ways to automate your investment strategy.
• But you need to be careful about who you follow, how much you pay in fees and commissions, and how the market changes.
• EToro’s crypto copy trading platform is both unique and functional, with some of the industry’s most innovative social trading features.
• Most importantly, bot algorithms remain completely private, meaning that each creator retains full IP rights.
• The expert traders are called “Traders” and the people who copy them are called “Copiers”.

Even after the software is set up, a trader could switch to another trader any time they want. They could pause any trade the software makes or could decide on their own about closing a position without waiting for the action of the lead trader. Track your transaction history and enable daily reports on the state of your portfolio from multiple cryptocurrency exchanges and wallets. Get information for arbitrage trading from various exchanges to find deals with the highest spread.

What Is Copy Trading?

In three simple steps, users can create, fund, and start automatically trading crypto with trading bots—all in one place. All bots on the Trality Marketplace must pass a rigorous screening process by our Bot Selection Committee, which consists of industry experts with decades of collective experience. Key metrics used when selecting bots for the Marketplace include risk-adjusted return, minimum trading activity, and time under water. And since the crypto market is a volatile one, all bots are backtested in different market conditions such as bull, bear and sideways market regimes to ensure consistent returns.

• In addition, you do not necessarily have to learn all the strategies and be proficient with market technicalities.
• Nowadays copy trading is one of the most popular features for traders (according to the research in BeInCrypto Trading Community) and many exchanges offer such functionality to their users.
• Ultimately, whether copy trading is right depends on your preferences and risk tolerance.
• A third major risk category is liquidity risk, the risk that you are unable to close a trade at a reasonable price, because of insufficient buying or selling interest.
• This risk is often forgotten about when talking about copy trading risks but is still one to keep in the back of your head.

So look for platforms that have strong security features and good reviews from other users. The lead trader decides how much they want to charge for their profit-sharing fee, which can be from 5% to 40%. You can see the profit-sharing fee before you start copying someone and you can stop copying anytime you want. BitMEX is a crypto trading platform that lets you trade Bitcoin and other cryptos with different products. You can trade with perpetual swaps, futures contracts, options, and more. You can also trade with high leverage, up to 100x for some coins.

Risks of cryptocurrency copy trading

For example, copy traders can profit from the market without having to spend much time on analysis. After you have found the trader to copy, everything else is automated. In addition to standard copy and social trading tools, Shrimpy has a rebalancing tool that allows you to automatically rebalance your portfolio according to your preferred risk/reward. Trading signals are messages alerting you to potential trading opportunities. Signal providers use various kinds of analysis to bring trades to their followers, sometimes even with a take profit target and stop loss. Signals are usually not copied automatically, but manually followed by the group members.

• Professional copy traders will require a commission payment for their services, and quite rightly so!
• You simply set the parameters (such as your preferred leverage) for your copy orders after selecting a principal trader to copy.
• There are also exciting forex contests and trade-enhancing bonuses.
• A particularly big one is that you can receive payment from it, depending on the service you use.
• The best part about copy trading on PrimeXBT is that you only pay a fee when your trader makes a profit.

We will also give you some advice on how to start copy trading and what to consider when choosing a trader to follow. First off, you need to find a suitable platform that offers Copy Trading services. Try to select well-known Copy Trading providers with a long history, a solid track record, and preferably registration with at least one of the main regulators.

Benefits of Copy Trading

Copy trading is one of the simplest ways to benefit from another trader’s expertise. It also means that you retain complete control over the outcome. Cryptocurrency investors methods can also choose more than one lead trader to diversify their portfolio. However, one needs to determine the chunk of funds they want to allocate to each lead manager.

• Think of this as running your own hedge fund, and everything is automated.
• You can also decide how much money or what percentage of your portfolio you want to allocate for copy trading.
• You’re basically looking for traders will a long-term record of profit.
• Note that not all trading platforms are available for all regions.
• Track your transaction history and enable daily reports on the state of your portfolio from multiple cryptocurrency exchanges and wallets.
• Learn what this pocket-friendly mini-investing app has to offer for new Australian investors.

The platform does not charge any fees for copying or being copied. The top traders can get commissions from their copiers based on their monthly profits. Phemex is a crypto exchange from Singapore that lets you trade over 272 crypto pairs with spot and contract trading.

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Furthermore, you can always decide to stop copying the traders of others. Imagine, what if you could open the same traders as professional investors. The first company who released such feature on the crypto market was eToro who still delivers the iconic experience in copy and social trading.

Dedicated tools have made copy trading crypto more enticing, as there is less work to be done, and fewer screens and markets to individually monitor. When selecting a copy trading platform, check the spreads and transaction fees, which can often come as an unpleasant surprise for unsuspecting beginners. On the Trality Marketplace, you’ll have all of the requisite information at your fingertips, ensuring that you can copy trade with complete confidence. Bot Creators can now monetize their bots and earn passive income from investors around the world by having their bots listed on Trality’s Marketplace.

What is copy trading on eToro?

EToro is a multi-asset platform that offers both investing in stocks and crypto assets, as well as trading CFDs. Of course, if times occur when you do not feel comfortable with copying anybody else, then simply disconnect from them all and take matters into your own hands. Copy trading is significantly more social than other types of trading, as it involves interacting more directly with other traders. It liberates you from the tedious process of continually analyzing price charts and following market trends.

It is a part of social trading, where a copy trading platform automatically copies trades taken by the trader you are following. Meta Trader 5 is a powerful platform for Forex and Exchange markets. This best forex copy trade service provider uses the MQL5 language, the automated trading software that runs on your computer and trades on behalf of you. This copy trading platform allows you to open 100 currency or stock charts at a time, and the 21 timeframes enable comprehensive and detailed analysis of even minor price movements. Let’s say you’re considering copying a top trader who has consistently generated high returns but takes on substantial risks. While their performance may seem enticing, it’s crucial to assess whether you’re comfortable with the level of risk they are taking.

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

OKX Copy Trading aims to create a trading tool that is efficient, transparent, and profitable for OKX traders. In a single click, copy traders can explore new revenue streams, gain exposure, and engage with the larger trading community. This feature also provides new revenue streams for lead traders. AvaTrade is a trusted global brand that is well-known for its extensive asset range for crypto, Forex, and CFD traders.

You can sort them by risk level, performance, portfolio composition, and more. You can also see their profiles, stats, risk scores, and trading history. It has millions of users from all over the world, – a fast trading engine that executes trades smoothly, and a high level of security that protects your funds. The software will then track the trades of those traders and copy them into your account.

Is Crypto Copy Trading Safe?

Once you have chosen the right software, selecting and following a seasoned trader is often advisable. It is the most critical part of copying trades, as your profits depend on it. For this reason, the trader should have the skill to handle cryptocurrency investments.

• In other words, copy trading is simply copying the trades of others.
• It’s never been easier to trade like a real professional trader – get started in just a few steps.
• Of course, it comes with the inherent risk of trading, but with a disciplined approach and by regularly finding top crypto traders, you can ace the game of crypto copy trading.
• After you become the Follower of a Principal Trader, the copying and execution of trades are automatic.

Depending on your level of investment, though, these fees can quickly eat away at your bottom line, turning profits into losses if you’re not careful. However, copy trading, like any other strategy, has drawbacks and risks. Finally, you relinquish control of your funds to the Master Trader.