Coin Zone Trends: Bitcoin Price Trends Based on Big Data This Week (2016-04-14)

1. Price Trends
This morning, the price has stood above 2760, retesting the resistance line of 2760. The current hourly K-line is slightly bullish. If it stands firm, it may be directly pulled up to above 2800. The funds brought by new entrants are still dominant, and the price of the currency has risen slightly. Perhaps after a wave of market pull-ups or suppression, those who are still bearish in the market will turn bullish. The trading volume has also slightly rebounded, and the market seems to be starting to become active. At present, it is a contest between off-site entry funds and on-site air forces, and off-site funds have a slight advantage.
2. The newcomer index looks at the amount of funds entering the market
The average level of new entrants in the past two days was much higher than the average level after the Spring Festival. The amount of funds brought by the recent entrants may have been able to maintain the current coin price.
3. The long-short index looks at the market's recognition of the currency price
It is slightly bullish in the morning, but overall the market's bearish sentiment remains unabated, and the rise in currency prices may still rely on off-market funds.
The above data is updated in real time, and the chart was updated at 10:00 on April 14. We will continue to observe how the data will develop in the future.
4. Is automated Bitcoin trading a sure win?
It is understood that there may be more than 1,000 automated trading robots in operation in the domestic Bitcoin market. But is automated trading a sure win? Currently, there are mainly the following types of automated trading robots: 1) hedging arbitrage between platforms; 2) quantitative trading based on statistics; 3) quantitative trading based on data analysis.
Among the three methods, hedging arbitrage between platforms (similar to arbitrage), if you don't count the interest on borrowing money and coins, it can be said that it is basically a sure win, but the current market capacity is limited. It is estimated that there are at least five companies (not individuals) in the industry doing this business. Quantitative trading based on statistics and data analysis cannot be said to be a sure win, it is risky.
Each strategist has a different way of thinking and knowledge, and the strategies they write are also different. Theoretically, there are infinite trading strategies. Moreover, strategies are not universal. The trading of strategies may be opposite in different market environments. For example, a strategy that is basically stable in a bull market may be "steady to lose" in a bear market. When we are in the market, we usually don't know whether it is a bull market or a bear market, and the same is true for strategies. Even if the backtested annual return of a strategy reaches more than 50%, it may not be that high in the actual environment. The market environment is complex and changeable, and there is no universal strategy.
Automated strategy trading is not a zero-sum game. Strategy trading relies on the strategy engineer’s understanding of the market, mastery of mathematical modeling knowledge, and control of various information in a specific market.
PS: Cryptocurrency investment is particularly risky, including but not limited to large coin hoarders dumping their coins, dealers manipulating the price of coins, and systemic risks of cryptocurrencies themselves. This article is for reference only. The market changes 24 hours a day, and the description in this article also has certain time limits and limitations. Investors are responsible for their own investments, and the author of this article or related websites are not responsible for the specific investments of investors.
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