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Algorithms Attract Traders Looking to Save Crypto Wealth

When the going gets tough, the tough get trading algorithms from Set Protocol and Cleo to preserve digital asset holdings.

Robots trade crypto better than humans

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Investors who took a chance on some of Set Protocol‘s trading algorithms will find their crypto wealth slightly greener as most automated token Sets closed last week with a 40% gain over Ether

By rebalancing into stablecoins when technical indicators turned bearish, Set helped investors set emotions aside and make data-based investment decisions. 

Algorithms to Preserve Crypto Wealth

 Automating investment decisions have long helped investors eliminate bias and emotion and stick to a clear plan of action.

In the latest price action, many of Set Protocol’s automatic rebalancing algorithms moved into stablecoins between the end of February and the beginning of March. 

The performance of these strategies against ETH has so far been astounding, with the weakest performance of a USDC rebalancing Set up 2.4% last week. 

But not all Sets rebalance into USDC. The LINK/ETH RSI Set, for instance, is down 15.5% this week, as both assets took a tumble in the market. 

Source: TokenSets

Social traders on Set Protocol fared well against ETH too. The best performance last week went to the trading Sets’ of Adam Haeems, CEO of Alphachain Capital, which were up 103% against ETH.

As the cryptocurrency market declined, those who were in cash or stablecoins outperformed every cryptoasset to help preserve crypto wealth. An early rebalance to USDC, for example, would have protected investors the most.

When comparing the performance of various token Sets against the dollar, 7 out of 23 Sets enjoyed a positive return. These are the Sets that found the bearish signs early and immediately rebalanced. 

Automated investment algorithms have their ups and downs, but rebalancing without emotions is by far their best feature. This is advantageous for crypto investors who want capital preservation but aren’t investment savvy.

Alternatives for more experienced traders, like Cleo, also exist. 

Cleo offers charting and data testing processes on its platform, allowing investors to test algorithms in real-time and backtest to check for profitability in hindsight. No knowledge of coding is necessary, as the platform provides a base for an investor to execute strategies as they see fit.

The main goal of both Set Protocol and Cleo is to eliminate emotions from the process of investing and preserve enthusiasts’ crypto wealth. 

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