I spent two years developing An Algorithmic Crypto Trading Platform and just open up our beta!
I would like to start by saying that I’m excited to finally be able to write this article, and share this project with the world.
The application was built by 7 developers including myself over the course of two years. We named it AESIR because we all appreciate Norse mythology and wanted to incorporate some of it into our application. We started working on AESIR (the name of the app) in March 2021 and we wanted to build a tool that’s easy to user and to understand, but that also allows users to create complex trading strategies.
How to Algo Trading Platforms Work?
In order to understand why a tool like AESIR can help a trader find and execute better strategies, it’s good to have a top level understanding of how they work. Algo Trading Platforms work by allowing the user to create a series of rules, that the platform is going to evaluate and execute. For instance, these rules can be as simple as a weekly DCA:
Buy BTC, ETH, DOT and SOL EVERY 1 Week, With an Order Amount of 100 USDT
The algorithm will then take these parameters and execute trading according to it. This is just a minimal example, you can create strategies that contain complex logic based on Volatility, Technical Indicators and other market tools —
Could also do something like this.
Buy ANY COIN on THIS EXCHANGE that GAINED more than 3% in the 2 MINUTES and the RSI is under 70
It’s this example that truly describes the advantage of trading algorithm over manual trading. A daytrader would simply not be able to analyse over 1000 assets in under a second and make a decision based on this analysis. But here you would be able to catch a coin that’s just about to spike up in price, because you’re constantly evaluating the price of all coins on the exchange.
So in a nutshell, a trading algorithm extends your ability to trade by adding powerful new tools in your arsenal. It goes without saying that the way you use these tools makes a big difference.