They are able to learn, read the trading charts and gain the ability to respond to changing market conditions. Copy trading platforms allow investors to automatically copy the trades of expert traders, often with just a few clicks of a button. With so many options available, knowing which copy trading platform to choose can be difficult. This guide explores the six best copy trading platforms available in 2023. Crypto copy trading is a trading strategy that allows anyone to replicate the trades of experienced crypto investors. The copy trading feature means that all trades opened and closed by the trader are replicated in the follower’s account.

You can also decide how much capital you wish to use for these trades and the total risk per trade. For instance, if a trader opens an order to buy gold at 5% of his trading account size, that same trade will appear in your trading account. If you are more risk-averse than the trader you are following, you can limit the risk per trade. Finestel is one of those crypto copy trading software that you always wanted it to be existed. Finestel is an independent platform that connects pro-traders with investors.

BingX Copy Trading

Cryptocurrency trading is a complex skill requiring extensive knowledge of fundamental and technical analysis and the cryptocurrency ecosystem as a whole. Crypto copy trading enables traders to replicate the trades of expert traders and get over the steep learning curve. AvaTrade was tested and found to be excellent for copy trading, competitive on mobile, and in line with industry standards for pricing and research. The platform registers over 2 million trades every month and has a monthly trading volume that surpasses $70 billion. This makes AvaTrade one of the best copy trading platforms for traders interested in all financial markets, not just cryptocurrency.

• Now that we’ve explored the risks and rewards of copy trading in the crypto market, let’s delve deeper into optimizing the risk-reward ratio to make the most out of this investment strategy.
• Oftentimes traders can feel isolated and alone as staring at a screen with charts and numbers can feel very secluded.
• Replicate the trading activities of financial experts and earn a passive income without spending time researching every investment you make.
• You also give up control over your trading decisions, though some platforms allow you to set your own risk parameters and even choose which trades to execute.
• Here, you just need to fund your account, leave it alone, and hope to see it grow, or you can monitor.
• However, it’s important to acknowledge that copy trading carries inherent risks.

It supports more than 20 cryptocurrencies, like Bitcoin, Ethereum, Ripple, Litecoin, Cardano, Dogecoin, and more. You can deposit and withdraw your money using different methods, like credit cards, bank transfers, e-wallets, and crypto wallets. To do copy trading on BitMEX, you need to use another service that connects to BitMEX with an API. Some of the services that you can use are Zignaly, AIVIA, and WunderTrading.

Copy Trading for Cryptocurrency

Then you can pick one or more traders to follow and copy their trades automatically on your BitMEX account. Cryptohopper is a platform that lets you use different features and tools to trade cryptocurrencies. For example, you can copy other traders, use automated trading bots, analyze the market, and use advanced tools like backtesting, market-making, and arbitrage.

• The return of social trading is not made in cash but will likely result in a better trading performance overall.
• There are two major ways in which copy trading can be a social activity.
• And since everything is automated, the entire process saves you time and effort as well as increases the likelihood of a positive return on your investment.
• However, it comes with its own risks and limitations, just like any investment.

The platform’s excellent analytics and crypto social trading network mean that you don’t have to navigate the crypto space alone. There are models that you can use to build your strategies, but you also have the option to copy the strategies of other traders through the copy trading feature. And when investing in any assets, it’s important to manage your expectations and control your emotions.

The Hybrid Approach ─ Integrating Offline Marketing for Thriving in the…

It involves careful consideration of various elements to ensure long-term success and minimize potential risks. When it comes to copy trading in the cryptocurrency market, optimizing the risk-reward ratio is a critical factor to consider. The risk-reward ratio refers to the potential reward in relation to the level of risk taken.

• By following successful traders who have consistently achieved positive results, there is a possibility of earning significant returns on investment.
• Copying is free of charge, but you will still pay the 1% spreads and transaction fees.
• Phemex is a crypto exchange from Singapore that lets you trade over 272 crypto pairs with spot and contract trading.
• Copy trading is safe, but if the trader opens a bad trade, your account will replicate that trade, and you might lose your funds.

While there is no need to keep an eye on your copy investment because the trader you are copying is already doing that, you may choose to stop copying their investments. In short, social trading will take considerable time, but you will become a better trader in return. The return of social trading is not made in cash but will likely result in a better trading performance overall. Finally, copy trading allows you to get exposure to markets you are not familiar with yourself. In this, even a crypto trader can easily take advantage of the volatility in stocks or forex, without having to learn the ins and outs of the industry. Zignaly differs from the rest because of its profit-sharing feature.

Supported Cryptocurrencies

Taking an active role is key in avoiding unnecessary risks and maximizing potential rewards. 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. As with any investment decision, careful research and due diligence should be taken before making any trades. The content published on this website is not aimed to give any kind of financial, investment, trading, or any other form of advice.

• You can also enjoy the advantages of OKX’s exchange, such as high liquidity, low spreads, and various trading tools.
• As mentioned before, places like eToro have a dedicated platform for copy trading, which is simple and effective to do.
• WunderTrading offers a platform for copy trading that supports Binance, FTX, Kraken, Bybit and many more exchanges.
• Portfolio diversification is another plus point of copying trades.

There are two major ways in which copy trading can be a social activity. The point here is that you should go out of your way to locate a trader who operates in a way that you are comfortable with. Others don’t like it because it can be viewed as unethical – when handling assets from smaller organizations, such as when hedge funders shorted GameStop’s GME shares. The crypto space has only existed for a handful of years, and so everybody is still trying to grasp how it functions in terms of technical analysis.

Copy trading simplifies crypto investing

A particularly big one is that you can receive payment from it, depending on the service you use. For instance, choosing to be a copy trader on eToro means you receive an annual payment immediate edge of 1.5% of the assets that people copy-traded when they followed you. Depending on how many people follow you and how much they put in, that could be a huge amount of passive income.

• For instance, eToro has a dedicated copy trading tool that is designed to be very user-friendly, making it perfect for absolute beginners.
• BingX is a leader in the industry with no deposit fees and the lowest fees.
• It has many features that help you make money with crypto, like earning interest, staking in launch pools, and prediction markets.
• One might question how they will be able to get insights into the performance of various traders.

He is a dedicated volunteer and enjoys reading, writing, poetry, and going to the gym. He is an INFJ-A personality type dedicated to positively impacting the world. Wasay has a passion for writing as it allows him to express his creativity, share his knowledge, and connect with people worldwide.

PrimeXBT Covesting: Top-Rated Copy Trading platform for beginners

After deciding on the trader you want to copy, simply click on the “Copy” button. You will have to set the details for the traders before the platform can start copy trading. It can be used to trade crypto, Forex, stocks, commodities, metals, and other financial markets.

• You will also not learn much by simply watching other people trade without attempting to trade yourself.
• However, too much transparency may lead to losses for the platform, as followers may be able to employ certain techniques to avoid paying following fees.
• For instance, choosing to be a copy trader on eToro means you receive an annual payment of 1.5% of the assets that people copy-traded when they followed you.
• On their page, you will see all the details of your copy investment.
• The process of copying another trader’s trades is known as “copy trading.” Instead of replicating a strategy, you replicate every action of the trader you have chosen to emulate.
• Copy trading saves you from this struggle as it automates your process.

You’ll also want to choose a good trader with a solid and transparent track record of success over an extended period of time. Your aim is to identify a pro copy trader by their long-term successes, and all of the bots offered on Trality’s Marketplace have been extensively vetted by our experts. The Trality Wallet provides a seamless integration between the world’s most trusted exchange and the world’s best crypto trading bots—full flexibility without API keys. Trade directly on Trality without having to connect your exchange’s API key. With the Trality Wallet, you no longer have to manually configure and manage API keys from an exchange account in order to connect to Trality. While everyone knows that wallets are used for storing funds, the Trality Wallet excels as a trading wallet, offering additional ease-of-use and convenience.

Trality’s Marketplace and intraday bots

Copy trading in the crypto market presents both opportunities and challenges for investors. Understanding the risks and rewards is crucial for making informed decisions when venturing into this realm. 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. There is definitely a social side to copy trading, but never let it get in the way of the financial and economic side. Part of the process of learning what is copy trading in crypto is learning when to pause it and simply observe the actions of others, rather than replicate them. It can be hard to figure out when to do this, but a general rule would be that if you are getting too nervous it might make sense to take a break and go about trading on your own.

• There are many different copy trading platforms available, for different kinds of markets.
• In layman’s terms, a cryptocurrency exchange is a place where you meet and exchange cryptocurrencies with another person.
• BingX is a copy trading platform with over 1 million users within 100+ regions, BingX provides over 300 cryptos ranging from Bitcoin, Ethereum, Dogecoin, Safemoon, Solana, etc.
• 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.

These rules may include the investment amount, the threshold for several copiers, and a fee charge. To use copy trading on 3Commas, you need to have a subscription plan that includes this feature. You also need to have an account on one of the 16+ exchanges that 3Commas supports, like Binance, Coinbase, or Kraken. To begin copy trading, users must first locate a copy trading platform. If you are pleased with the trader’s performance, you can increase the amount of money you gave them. When looking for a trader, choosing one in the age of social media is challenging.

FOLLOW US

I didn’t know there was a term for replicating someone’s trading actions in order to maximize profits especially if you are new to trading until now. Unlike many of its competitors, OKX has been dubbed a one-stop shop, due to the variety of services that it offers. User’s will be happy to know that OKX’s suite of products is bound to meet most of their needs. In addition to spot trading and derivatives, the global platform offers bridges, cloud services, mining, loans, and copy trading. On their page, you will see all the details of your copy investment. As always, it is important to do your own research before investing your hard earned money; never invest more than you can afford to lose.

• It is a strategy that allows investors to copy the trades of experienced and successful forex investors and implement the same trades, in almost real time, in their own accounts.
• You can earn returns in your portfolio without having to invest hours researching the market.
• Fast and helpful customer service can help you solve any problems or questions you may have.
• The crypto space has only existed for a handful of years, and so everybody is still trying to grasp how it functions in terms of technical analysis.

In addition to copy trading tools, eToro allows for community discussion, which helps traders to learn from the traders they copy. You can copy trend-following traders or choose to focus on range-bound environments. Ideally, copy traders put together a “portfolio” of different traders to copy, so that they will always have a few successful ones running. In this sense, copy trading can be a good idea for experienced traders looking to take a step back, but it is likely unwise for people just starting out. Another way of increasing your chances of success is by copying multiple successful traders with different trading systems. After all, diversification makes you less dependent on market conditions.