Today’s savvy investors understand the volatilities of the market, as well as the “safe bets”. They do their homework, use sites like Live Coin Watch (www.livecoinwatch.com) to learn more about the coins and other investments they are interested in, and pay careful attention to the daily news reports, correcting as they go. What the average American knows about investing is nothing compared to the wealth of information available through websites that aggregate their information, some in real-time and others not. Investment groups, organizations, and consultancies are all using data rich sites to make their investment decisions. Apps are everywhere, giving additional investment insight and data, managed through analytics and technology…and that’s just for traditional investments. Enter crypto: investing’s new paradigm, with high risks, and even higher rewards, when successful. In order to learn more about crypto, you must be ahead of the curve, at all times, and in real-time.
Most people rely heavily on the data from websites for future crypto currencies. Much like a Bloomberg, or an even more traditional stock exchange ticker, Live Coin Watch is easier to understand globally, especially when the information is more local. The site keeps tabs on transactions and valuations. Today, with over 1,400 coins currently in ongoing trading, this space is growing at warp speed. Because crypto currency is largely unregulated, unlike the traditional stock exchanges, they are more volatile. With volatility comes the enhanced need for real-time information — and even faster decision-making. Because crypto currency markets are open 24 hours per day, 7 days per week, and never close for holidays, the investment opportunities are, in effect, limitless.
To understand just how big this space is, and how it is the new frontier of investing, it is essential to understand that there are multiple exchanges where investors can purchase crypto currency, unlike a more traditional exchange. Until now, the two most prevalent were Coinbase and Gemini for U.S. novice investors. These exchanges sell a limited number of the major crypto currencies, including Bitcoin and Ethereum, although there are literally hundreds of others. This is where crypto currency becomes more complicated, largely because once investors have these coins, they can use them to participate in other ones. The best way for investors to find out about the opportunities is through membership in a variety of “exchanges”. Many of these exchanges are detailed thoroughly on Live Coin Watch, so instead of having to go to a myriad of sites for information, it can be found in one simple, easy-to-understand location.
As trading ensues, the exchanges monitor the crypto currencies, and the pricing, similar to that of traditional stocks, which are set by the free market, and the demand it brings. They use a bid/ask system, like their traditional stock counterparts. After extensive research, it is abundantly clear that very few companies offer real-time insights into the currencies, with live price updates, data rich charts, graphs and coin summaries. To the investor, all of this is critical to proper decision-making. In contrast, Live Coin Watch is essentially the equivalent of a crypto currency price index updated in real-time, all the time.
Interestingly enough, what most savvy investors won’t tell you, is that regardless of their investment, their entire trading schema is based on mathematics. This is not the math we learned in high school; rather, it is based on complex algorithms, using logic and back-testing to ensure proper analysis. These algorithms predict upticks and downticks in pricing, as well was consumer demand. And to do this effectively, many use bots.
You’ve probably heard about bots before and while many companies are using them today, most are not using them to their full extent. Essentially, they are small pieces of technology that monitor for information and report back on what they find. They are being used in the near real-time analysis of crypto, as well as traditional stocks, and have been found to be quite efficient in their big data reporting. Because the currencies are global ones in nature, for example, there is significantly more information to gather about each.
All investment decisions come with risks. Investors understand that the better investment decisions come with enhanced intelligence and modeling. Using technology to find historical patterns, and using those patterns as the basis of artificial intelligence-based predictions, is something relatively new in to the investment community. At the end of the day, when the algorithms are accurate, and the predictive modeling in timely, it is significantly easier to find spot essential trading opportunities, mitigate one’s investment risk, and harness the growth potential of crypto currencies.