Everyone wants to reap profits from their venture. Thus, they will need to invest in areas that have no bias and, at the same time, reliable to yield maximum profit. Crypto investors in cryptos can get that from the crypto trading bots. Unfortunately, they no longer trust the bots.
A survey indicates that traders no longer trust the bots, and some don’t even use them at all. The crypto trading bots have grown immensely, reaching the pick in 2018. People were investing in it to make money with much ease since they believed they needed to get a strategy and start reaping bountifully.
Yet, another group of investors bought the bots and stopped using them after a month upon paying for it. The main question would be why did traders stop using it?
The Traders’ Expectations While Buying the Bots
Many investors said they don’t trust them depending on the people who developed them. The majority of the investors thought the bot wasn’t standard. Also, a large percentage of bots were technical. Still, many of the bots are unknown to the traders while those already known can’t be trusted for use. Some of the investors say they are not familiar with them, so they don’t use it.
Also, most of the traders want to get their trade automated but with the pre-build modular scripts. Also, the poor messaging and untrustworthy developer teams have been a huge turn-off. However, even though automated trading seems stagnated, there is so much untapped potential.
The majority of the trading bot is algorithmically driven, which makes them sound like money printers. It can carry out efficient investments for you with the sole aim of making profits and without bias, which sounds reasonable enough. But eventually, traders fail to trust them. A considerable number of traders stopped using them only a month after paying for them due to disappointments in the expectation gaps.
There have been diverse bots as per the users, with crypto hopper and Haas leading in 2019. In the year 2020, kryll, three commas, and FTX Quant Zone have been on the lead, although the outcome has been the same. They sounded appealing, but investors abandoned them even after paying for them due to the substantial expectation gaps.
Also, some of the platforms lacked the standard language that many traders could relate to. The language was the main put off for the majority of the traders. Following the enormous scams lately, including the Defi explosion, many crypto users are skeptical when dealing with anonymous products. Even though only a few users have been using automated trading, the overall feeling about crypto is the same and hasn’t been changed by automation.
However, some groups, such as institutions with vast crypto investments, still invest in the crypto trading bots since they can afford to pay developers to create custom-made bots to meet their needs. Despite the decline in the use of crypto trading bots, trading bots’ demand is still there. But it all depends on the kind of product that will be delivered in the market. It has to meet the users’ needs, which is what the bot developers haven’t met yet. The users are experiencing a few pain points which must be attended to before they can adopt them.
Typically, not all bots can finally yield a profit for you. Noting that the trading bots are a type of investment strategy, the concept behind them also needs to be profitable. To develop such software takes excellent skills, strategies, and a great business understanding. That is why institutions are reaping huge profits since they use custom made trading bots. They know what skills to adapt and investing strategies.