Post
Topic
Board Bitcoin Discussion
Re: bitcoin improvement
by
rachellee
on 27/02/2019, 06:31:29 UTC
The momentum effect is that if the bitcoin price rises continuously over a week, it may keep growing for the next week. This is a common feature of almost all known asset classes, and we have found that the momentum effect strongly affects the cryptocurrency. We have designed a simple investment strategy in which investors buy Bitcoin only when their price increases by more than 20% from the previous week. This strategy has excellent returns and a very high Sharpe ratio. Wink

This strategy doesn't go well now, given the gloomy trend of the market. Many times, the crypto prices rose for more than a week, then fell even heftier after that. With the current situation of the market, no strategy is better than trusting your own judgement. It's a losing move to trust investment strategies planned by others, especially if it's a paid one.