12 Best Crypto Copy Trading Platforms In 2022 For New Traders

Copy trading does not take into consideration your personal financial circumstances or investment goals. You are effectively relying on a third party for trading decisions but absorbing full liability and responsibility in the case something was to go wrong. In the end, we answered the question that many traders had in mind about copy trading. Due to mistakes by novice traders, doubts regarding copy trading emerge. Copy trading has been proven as an effective source of income and trading knowledge for beginner traders. Make sure your copy trade software offers both of these so you have the flexibility in your choice.

Cryptocurrencies can widely fluctuate in prices and are not appropriate for all investors. Trading cryptocurrencies is not supervised by any EU regulatory framework. It shall not be intended as operational advice for investments, nor as an invitation to public savings raising. Any real or simulated result shall represent no warranty as to possible future performances. If you hold a position with your online broker overnight then you will probably need to pay a swap fee.

Learning directly is more impactful and faster compared to the conventional method of learning. It takes less time and effort to achieve profitable trades using copy trading. To start copy trading, the first thing you need is a reliable copy trading platform. There are a lot of factors to consider when it comes to choosing a copy trading platform.

As with any type of trading, there are risks involved with copy trading. With copy trading, you’re relying on the experience and knowledge of an established trader. As long as you choose your platform and trader carefully, copy trading can be a safe and profitable way to invest your money. There are lots of copy trading platforms out there, but not all of them are effective. There’s nothing worse than investing your hard-earned cash, only to find out that you’ve invested in a scam platform.

Here, most important point to note is that everything is proportionate. Therefore you can invest whatever amount you like depending on the broker rules. Static or flexible — What level of control do you want https://xcritical.com/ over your capital? Mirror transactions will be quick and hassle-free with fully automated and fixed copy systems. Those seeking more influence and control may choose a more open and adaptable structure.

Choosing The Right Spread Betting Platform For Your Trading Style

FXTM, or ForexTime, was established in 2011 and is one of the top global brokers of CFDs and Forex. The FXTM headquarters is in Cyprus, and it is regulated and supervised by various financial authorities, including the U.K. Financial Conduct Authority and the Cyprus Securities and Exchange Commission. Established in 2018, Bybit is a fast-growing and innovative cryptocurrency derivatives exchange. The Bybit founders are a team of professionals with expertise in the Forex and investment banking industries.

As broker fees can vary and change, it is important that you check and are clear about all of the fees involved. If you are looking to save as much as possible on your trading costs, you can take a look at our best discount brokers. Next, you have to choose a broker through whom you will conduct all your trading. Therefore, you won’t have to go through the hassle of choosing a separate broker. To start a copy trade you need to sign up on a crypto exchange that offers copy trading. Some of the highest rates crypto copy trading platforms on Trading Browser are BitYard, Bitget, and BingX.

He has 15 years of experience in the financial sector and forex in particular. He started his career as a forex trader in 2005 and then became interested in the whole fintech and crypto sector. The minimum deposit to access it starts at $2000, but it may vary depending on the geophysical area of the trader. Strategy providers can earn up to 35% on performance fees with HF Markets.

Profits could be smaller – Another drawback is that you may not make as much money as you could if you were a successful trader yourself. This is because you will only earn a percentage of the profits made by the trader you are copying. If the trader you are copying is not successful, then you will not make any money either.

Get Your Daily Dose Of Crypto And Trading Info

If you’re a novice trader, copy trading can be an excellent method to get a taste of the markets and make money with no effort. Also, traders can learn from other traders’ successes and failures, as well as from their own. However, copy trading may be risky, and there is often little control over the outcome, so while it has worked for some, it is not for everyone. This suggests that one can anticipate losing at least 30% at any point in time if they imitate the trader’s strategy. Furthermore, if traders take positions in less liquid assets, volatility may escalate, resulting in portfolio losses that are too great to bear.

• After you’ve established your accounts, you may begin duplicating transactions.
• Meanwhile, in the case of copy trading, the copier connects his trading account with the account he wants to copy from.
• This is another cost to factor in to your money management and trading strategy.
• If you qualify for an Islamic account, you will get several benefits if you open such an account.
• Traders who are not active every day will lose their edge and might be prone to make more mistakes.
• We may use this technology to link a personal exchange account and manage money without transferring them to third-party services.

As the name suggests, this focuses exclusively on major currency pairs like EUR/USD and GBP/USD. This copy trading strategy makes buy and sell decisions through technical indicators such as the RSI, ADX, and Parabolic SAR. The concept here is that by downloading a software file and installing it into MT4 – the forex EA will trade on your behalf 24 hours per day. The respective software file will have a set of pre-defined conditions built into it via an algorithm.

There is a good chance of generating profits, but there are also certain risks to be taken into account. Launched in 2018, Coinmatics is right up there with the very best crypto copy trading platforms in terms of trading options and flexibility. While the crypto copy trading platform doesn’t allow you to automatically copy the trades of individual traders, you can utilize it to copy specific crypto trading strategies. FXTM provides excellent educational resources for new traders, including live webinars, local seminars and videos, tutorials, and a demo account — all free of charge. This gives traders a familiar, sophisticated trading interface they can use immediately. This broker platform is able to meet your needs, regardless of whether you are a forex trader newbie or an experienced trader.

Unlike even some of the best crypto copy trading platforms, MoonXBT also guarantees high liquidity. This, along with the platform’s one-of-a-kind contract structure, results in some of the fastest transaction processing times in the industry. In addition to bank transfers and credit/debit cards, users can use Sofort, Neteller, Skrill, and cryptocurrencies to withdraw funds from the site. You can change the investment amount and other elements as you duplicate a trade. Additionally, you are able to keep up with the latest industry news and communicate with other traders through messaging or online chat.

Copy trading is a special type of trading activity that involves copying trades from other traders. You can use a Visa credit card, bitcoin wallet, and online payment systems such as Skrill and Neteller. Another added benefit of trading with OctaFX is that deposits and withdrawals are free of charge. This will give you confidence that you can get your funds whenever you want to. Of course, you need to verify your identity before you can withdraw profits, as this is required by law in observance of the KYC principle. Aluna.social is a combination of the multi-exchange trading terminal, the traders’ social network, the copy trading functionality, and prediction games.

Does It Really Matter Which Platform You Choose For Copy Trading?

Perhaps the main drawback with ZuluTrade’s copy trading tool is that you will need to pay a profit-based commission to the platform. This means that you will need to link your ZuluTrade account to an online broker. Not only does the platform offer support for ZuluTrade, but it allows you to trade thousands of financial markets on a commission-free basis.

You will also find that spreads are very tight at AvaTrade – especially when it comes to major forex pairs and gold. The investment process is also similar to eToro, insofar that you will need to spend some time finding an experienced trader that aligns with your financial goals. There are more than 10,000 investors part of the ZuluTrade copy trading program – so you have plenty of choices. However, unlike eToro, ZuluTrade is not a regulated trading platform. Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage.

The Best Copy Trading Platform

From inside the site, choose the Signals option to get access to free and paid forex signals from leading forex suppliers. What really sets Zignaly apart, however, is its optional profit-sharing feature. With this advanced tool, crypto investors can duplicate the trades of up to 100 expert traders — and only pay trading fees when profits are made from closed positions.

FBS’s copy trading program includes one-tap investing, performance tracking, no necessity for prior market expertise, and several deposit/withdrawal methods. Unlike many of the other trading platforms discussed in this guide, CopyMe lets you simultaneously copy the trades of multiple traders. You can allocate a certain amount to each expert and diversify your account, rather than placing all your eggs in one basket. You simply monitor the strategies you’re copying and make adjustments as needed to minimize losses and maximize profits. Compared to the work performed by the average trader — advanced analysis, constantly keeping an eye on the markets — crypto copy trading is as hands-off as trading gets. The last thing you want is a signal provider who panics and begins to change their way of doing things.

Signs That Point To A Bullish Reversal In Crypto Markets

Secondly, you want to find a trader who trades frequently and is up to date with the market moves. Traders who are not active every day will lose their edge and might be prone to make more mistakes. Firstly, you want to find a trader with a good track record what is copytrading that is longer than just a month or two. Look for someone who has consistently made profits over a long period of time. Also, some traders will choose to trade with leverage and you need to figure out whether you are comfortable with this or not.

This will help you get an idea of what to expect when using the platform. From now on, as long as you don’t cancel the trader, you will mirror all his or hers trades with a proportional amount of your account balance. Here is a short step-by-step guide on how to set up an account and copy your first trader.

As a brand and it is among the top names in the crypto community but I highly recommend that you add all the security features if you choose to trade on this platform. Cryptohopper is a web-based platform that can be accessed from any internet-connected device such as your laptop, tablet, or your smartphone. Even users with no prior experience in crypto trading will be able to get started quickly and easily.

What Are The Types Of Copy Trading?

There are numerous accounts of traders in the top 10 or even editor’s choice list who lost nearly all their account balances and with it their copiers’ allocation. You might want to dig deeper into your analysis before picking a signal provider. However, if you only have a modest amount of money, you may discover that your options are limited. To ensure that the copier’s trades go through, some signal providers demand a minimum investment amount. Crypto copy trading is a trading strategy that allows anyone to replicate the trades of experienced crypto investors. The copy trading feature means that all trades opened and closed by the trader are replicated in the follower’s account.

The amount of money invested in the trader is a better performance indicator than the number of copiers. On eToro, Zulutrade, or Naga, for instance, people have a chance to rank the traders by AUM, which means the amount of money invested in them. When there is a liquidity risk, there is a possibility that one will be unable to close out positions at the expected levels. Risk management measures can affect a trading strategy’s maximum drawdown. When there is liquidity risk, there is a possibility that one may be unable to exit positions at the projected level.

In the case of copy trading, it is better to use a proprietary trading platform as that platform is made specifically for copy trading. You don’t have to look for outside brokers and trade directly through them. How many assets are in their asset index determines diversity and opportunities to trade. You don’t need any prior experience in trading to engage in copy trading. You can perform copy trading without even understanding the complexities of market or asset prices. Copy Trading is the trading method by which a trader connects his personal account with the account of the trader that he wants to copy from.

In this article, we will explain the concept of copy trading, how it works, and the criteria for choosing the best copy trading platform for you. However, traders move in and out of profitability all the time so you might need to swap between traders once you see that your performing trader is in a rut. There are several benefits to copy trading in cryptocurrency markets. Different traders have different strengths and weaknesses, so it is important to find a trader that aligns with your own trading style and goals. It is well worth the time to test out traders with a small amount of capital before you go all in and trust one trader with your full portfolio.