Bitcoin Algo
Bitcoin Algo
Bitcoin Algo is a long-only strategy that adjusts exposure between bitcoin and euros using proprietary quantitative market signals. The algorithm makes portfolio changes according to predefined rules.
What is Bitcoin Algo?
Bitcoin Algo aims to increase your bitcoin holdings, outperforming a bitcoin buy-and-hold strategy over a full market cycle while limiting volatility. Quantitative signals determine how much of the portfolio is allocated to bitcoin or euros.
Exposure to bitcoin
Strategy goal: outperform bitcoin
Reduced volatility
How does Bitcoin Algo work?
Bitcoin Algo holds bitcoin and euros. Bitcoin exposure can range from 0% to 100%, with the remainder held in euros. The strategy evaluates on-chain data, derivatives market data, and price trends once a day. It is designed for investors with a long-term horizon.
When its signals weaken, the algorithm can reduce bitcoin exposure and increase the euro allocation. When signals improve, it can increase bitcoin exposure again.
Bitcoin exposure can increase to 100%. During a sustained price rise, a portfolio already fully allocated to bitcoin cannot outperform a bitcoin buy-and-hold position.
Performance is measured relative to bitcoin, not in euros. A performance fee applies only when the strategy increases your holdings, outperforming bitcoin.
Why choose Bitcoin Algo?
Focus on bitcoin
Bitcoin Algo is our only off-the-shelf strategy that is entirely focused on bitcoin, the largest cryptocurrency. The algorithm is made with the purpose of outperforming bitcoin and you only pay performance fees if it succeeds in doing so.
Data is knowledge
The strategy uses quantitative signals derived from macroeconomic indicators, on-chain data, and other market data. Amdax tests and monitors these signals before using them in portfolio decisions.
Fully algorithmic
The algorithm determines the target bitcoin allocation according to predefined rules and executes the required transactions automatically.
Performance
The displayed return is a theoretical estimate based on historical weightings and prices, not the realized returns of an investment portfolio. The figures are presented net of periodic costs. One-off costs, such as performance fees, are not included. The charts are updated periodically and may therefore contain outdated data. Past performance is no guarantee of future results.
Daily performance in terms of BTC
Since 8 July 2023
- Cumulative return in BTC
- −10.1%
20232026
Start with Bitcoin Algo?
Investing in crypto involves significant risk. You may lose some or all of your investment.
Submit the Bitcoin Algo interest form.
New to Amdax? First, open a new account.
Sign the provided power of attorney.
Deposit the required investment amount in euros into your Amdax account.
We’ll notify you when Bitcoin Algo has been activated.
Please note: Investing in crypto assets involves risks. Prices are volatile and you could lose your investment. Invest responsibly and stay informed about the risks.
Algorithmic Investing with bitcoin
In October 2023, Amdax CEO Lucas Wensing and Quantitative Portfolio Manager Tim Stolte gave the presentation Algorithmic Investing with Bitcoin at the Bitcoin Amsterdam conference. In this deep dive, they discussed the development of algorithmic strategies designed to outperform bitcoin. How can quantitative indicators inform entry and exit decisions?
Want to learn more about Bitcoin Algo?
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