How Top Traders Are Using These Tools to Get an Edge
As the crypto market continues to expand, more and more people are beginning to realize the amazing trading opportunities put forth by this relatively nascent space. To this point, reports suggest that the number of people who currently own some cryptocurrency or the other stands at a staggering 300 million individuals. Therefore as we head into an increasingly decentralized future, it stands to reason that a growing forum of investors will gravitate towards the trade of these assets in the near to mid-term.
In this article, we will list some useful market tools that many of today’s top traders are using to maximize their profits as well as gain an edge over their competitors. So without any further ado, let’s jump straight into the heart of the matter.
Starting off our list, we have Laevitas, a data analytics platform that utilizes mathematical-driven quantitative finance models that help provide users with a detailed analysis of the crypto market. To elaborate, the firm accumulates, filters, and processes data from a wide array of historical and real-time sources, eventually presenting them in a digestible fashion and allowing users to make smart, data-driven decisions.
The project recently partnered with Bybit, a popular cryptocurrency trading platform. As a result, Laevitas can harness the platform’s live market data (updated every 20 milliseconds), allowing users to analyze the exchange’s high-volume futures, perpetual, and new USDC-margined options contracts data.
Time-Weighted Average Price (TWAP) protocol is an offering launched by Orbs, a decentralized layer-3 blockchain infrastructure, to support a host of new order types for decentralized exchanges (DEXs) and Automated Market Makers (AMMs). It is employed by traders using algorithmic strategies since it minimizes a large order’s impact on the market — by dividing it into multiple smaller trades, wherein each trade is executed at regularly defined intervals over a given period.
Thanks to its decentralized framework, TWAP can mitigate many shortcomings associated with the centralized finance (CeFi) sector — such as high volatility, low liquidity, etc — while benefitting traders and trading platforms simultaneously by significantly reducing material price impacts emanating due to large orders. Lastly, TWAP affords users the ability to leverage automated dollar-cost averaging (DCA), an investment technique where investors acquire assets at a preset value as per a predetermined schedule. TWAP offers a fully automated version of the DCA strategy, allowing clients to enter market orders with longer intervals and extended durations with relative ease (i.e. without any input from the trader him/herself).
Greeks.live is best described as a trading and analytics platform with a host of easy-to-use trading tools and an exposure analysis data service. It is designed primarily for options traders and has recently forged partnerships with mainstream crypto entities, including Bybit and Deribit (amongst others).
To elaborate, Geeks.live is currently capable of tracking Bybit users’ positions/public info and feeding these data sets into its smart visualization tools to help investors make smarter buy/sell choices. Furthermore, Greeks.live affords traders the ability to deploy specialized tools such as “Synthetic Knock-in Options” and “One Click Delta Hedging” with the touch of a button as well as other useful features such as a ‘risk distribution analysis’ tool and a ‘maintenance margin stress test’ module.
One of the first analytics platforms to make its way into the crypto market back in 2018, Skew is best described as a financial infrastructure provider for the digital asset market. The company currently provides real-time analytics for various cryptos while featuring customizable data dashboards that allow users to gain an overview of the crypto sector with the touch of a button.
Skew is backed by several international venture funds allowing clients seamless access to real-time data analytics for Bitcoin and Ether derivatives. Not only that, the platform comes with a forensic trade monitor, market update chatbot, and a periodical news journal as well.
The last entry on our list is Coinglass. This futures market data mobile application provides users with quality data associated with Bitcoin liquidations, BTC open interest, and crypto long vs. short ratios, amongst other things. Furthermore, the platform’s native smartphone and web application come with a tracker capable of following more than 7,000 digital assets in real-time. These include Bitcoin, Ethereum, Binance Coin, Ripple, Cardano, Dogecoin, etc.