Lately, market operators cryptocurrency They opt more and more for IA trade bots. These autonomous entities operate on the basis of artificial intelligence to obtain advantages for you. Most of these artificial intelligence robots promise effortless advantages. However, they can also lead to big risks. An operator lost up to 400 dollars (around 380 euros converted) in just 24 hours to confidently trust an AI robot. This article painfully exposes the dangers of automated trading, and the merchant in question explains what AI trading robots are not absent.
The main dangers of AI commercial robots
Starting independently to operate on the cryptocurrency market can be very overwhelming. Many do not get advantages in the first months and generally leave. Some then go to the So-appeal trading robots. These automated robots operate alone on the basis of artificial intelligence. The negotiation robots with AI have become more and more popular in recent months. An autonomous entity that earns money depending on AI and your configuration. It seems ideal, right?
An operator who warns there revealed Why is not as easy as it seems. Commercial robots almost always promise rapid and effortless advantages. Of course, the idea of making money automatically without human intervention seems attractive for many investors. However, the following recent example shows that blind faith in this technology can be risky.
An operator called Derek Phyo Panking tested a robot of this type. He used the Commercial Powrai robot and decided to invest 1,886 USDT. This translates into just over 1,800 euros which he has invested, believing that the bot would obtain better results than a manual strategy. With a 20%stop-loss, it looked like a safe choice. Then, their operations closed when the AI bot had losses for this percentage.
Unfortunately for him, the reverse was demonstrated in just 24 hours. The bot has activated the armage one day of negotiation, causing an instant loss of 400 USDT. This example shows how fast an automated operation can go wrong when the human factor is ignored. But what’s wrong? In fact, the robot did exactly what it had to do. Derek concluded that the AI leaves aside another crucial aspect when it acts independently. AI does not understand human emotions, he revealed.
The Robots IA fail in a crucial appearance
The cryptocurrency market moves not only depending on the figures, but is also very influenced by emotions. Among other things, anxiety and Fear of getting lost Something, something that a system cannot recognize. These are the factors that AI robots do not take into account, but that stimulate the market. IA robots analyze market data and operate according to algorithms. However, they cannot assess unpredictable human emotions, such as panic sales. In this case, the robot strictly followed the established rules, but has lost recovery opportunities that a human operator could have detected.
A current error is to think that AI is more reliable because it eliminates emotions. However, to obtain advantages on the cryptocurrency market, more than logic is necessary. Profitable trade in the cryptocurrency market also requires sufficient intuition and flexibility. In a volatile market, rapid change is essential, and there is exactly where the bots fail. Are News on cryptocurrencies They demonstrate that the bots are only tools and do not offer the fast path to success that promises mainly. They can undoubtedly be useful, but know what is put as an operator. Confidence technology without human intervention can be expensive, as this experience shows.
Negotiation robots with artificial intelligence may seem an attractive solution for the loss of operators. Only they have significant risks because they cannot assess the feeling. In addition, they are not prepared for unexpected situations and cannot compete with human flexibility. If you use AI, it is advisable to use it as a support and not as a substitute for your own strategy.