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November 26, 2022

Algorithm Known for Outperforming Crypto Markets Allocates to Ethereum, Polygon and Two Additional Assets

By Daily Hodl Staff

An algorithm with a reputation for outperforming the crypto markets is showing a preference for Ethereum (ETH) and three other large-cap digital assets amid uncertain trading conditions.

Each week, the Real Vision Bot conducts surveys to compile algorithmic portfolio assessments to create a “hive mind” consensus.

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The bot’s latest data reveals that traders’ have a strong preference for Ethereum, with the majority of market participants voting to overweight their portfolios with ETH.
After ETH, traders favor the blockchain scaling solution Polygon (MATIC). Flagship cryptocurrency Bitcoin (BTC) and Circle’s stablecoin USD Coin (USDC) follow behind MATIC, respectively.

 

Source: Real Vision Bot

At time of writing, MATIC is trading at $0.86, down 70% from its all-time high. Meanwhile, Ethereum is down further, a 75% devaluation from its record high.

The bot’s altcoin portfolio is topped off with Ethereum rivals Polkadot (DOT) and Avalanche (AVAX), followed by blockchain interoperability system Quant (QNT) and decentralized oracle network Chainlink (LINK).

According to those who run the Real Vision Bot, the heavy allocation to USDC could be a sign that traders want to de-risk as the fallout from the collapse of crypto exchange FTX unfolds.

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The Real Vision Bot was co-developed by quant analyst Moritz Seibert and statistician Moritz Heiden.

According to Real Vision, the bot’s allocations, which are based on aggregated opinions of crypto traders, have historically outperformed the top 20 crypto assets on the market by more than 20%.

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Featured Image: Shutterstock/Zaleman