10 years ago the Bitcoin white paper was released. Today QuantNews released a breakout strategy designed to capture BTC’s volatility. The strategy uses real-time streaming tick data via Websocket to get into a trade as soon as a breakout occurs. Read the article and find the full sample code in Python here: https://www.quantnews.com/bitcoin-btc-breakout-strategy-free-python-code/
Any stats on if this strategy works?
Does Bitcoin have volatility anymore? Doesn’t appear so. I think the brokers need to get the cryptocurrency trading costs down to accommodate the new lower volatility environment. Costs too much to trade cryptos at the moment.
I’m running this strategy on my FXCM demo at the moment. The spreads are pretty decent (about 44 as we speak and it’s around rollover). I just started the strategy today so no stats yet.
I find that the spread might be decent but it is the swap that kills any profit, unless the strategy is a day trading strategy.
Keen to see what your trading costs will be as a percentage of the profit @Quants-R-Us . Looking forward to the stats if your up for posting them after you have accumulated some trades.
BTC price has definitely been consolidating, but perhaps heading for a breakout. Support’s been pretty steady but highs have been progressively lower…
Overall I personally think the crypto hype is far from over, its such a young industry and there are lots of interesting things happening.
That $6000 support level is interesting, apparently that’s the break even costs for the miners.
If the asset didn’t cost so much to trade I would be going long off the bounces around $6100 with some form of trailing stop.