How to Profit from a Trailing Stop Loss in an Altcoin Bull Market | Cryptohopper
Trailing stop loss can be a powerful tool
Around the beginning of December we began a change in the mood of the overall altcoin cryptocurrency market.
After about 3 months of steady decline in most altcoins, that trend reversed and since then every altcoin under the sun has had its turn to pop off and start a bull run pump. Looking at the charts today, ZClassic (ZCL) is currently pushing past 1500% gains over the last week…that’s just one example.
One of the challenges of trading in the crypto market is keeping a nimble mind to adjust to a change like this after getting used to 3 months of downward trending. How long will this last?
That’s probably still up to Bitcoin, and whenever it begins its next prolonged phase of growth and altcoin sell off.
How to use a trading bot to your advantage in a bull market?
For now, how can you use a trading bot like Cryptohopper to take advantage of these bull trends without having to stare at the charts all day?
Use signals integration for a totally hands off approach, or manual entries from groups or technical analysis. You may even be able to use Cryptohopper’s default TA settings and do well in a market like this…but your best friend is…
Trailing stop loss!
How to Configure Trailing Stop Loss to Guarantee Profit in Bull Markets
Once you have a good entry from a manual order or automatic buy from a signal, the trailing stop loss feature will help you earn consistent returns…unless or until the overall market shifts bear.
For example: Most of the Crypto Bullet signals will hit a 20% return or higher within 7 days or much sooner. This means that if you’re using that signal you could set your trailing stop loss arm at 20%, and your stop loss at say, 5%. When a position hits 20%, your stop loss is activated.
The crypto can continue to rise from there, but when it then drops 5%, it will sell. You can experiment with the stop loss or arm percentages to give a position more room to grow and ride a moon run like ZClassic, or stay conservative but sure to lock in decent gains.
Happy Hopping!
