Charts
Shown below is the live performance of my self-developed Bitcoin Deep Reinformacement Learning Trading Bot compared to a Buy & Hold approach. Please read my blog post to known more about the concept behind this trading bot.
Update 06/19/21: After many weeks of not being invested, the bot turned slightly optimistic and bought bitcoin with half of the investment amount. We will see if this is a good decision given the fact that bitcoin is in a sideways market.
Update 04/10/21: The bot spotted the top in February perfectly and sold its position. Then it traded a bit from day to day, but mostly only with half of the maximum investment amount. In the last months, the volatility of the bot’s performance is low compared to a Buy & Hold strategy. Note that the bot did not receive any update since January 2019 and is still running on a dataset including data only until mid 2018. This is quite impressive!
Update 01/17/21: Currently, the bot is invested with half of the total investment amount. Similar to previous bullish market phases, it is not going to be full long and misses the sharp price increase. My self-developed bot is now running for two years without any interruption and I am still excited about this experiment. I have to note that the bot was trained on data until 2018 and since then it is in unknown territory.
Update 11/21/20: The bot is currently invested with the maximum investment amount. At the beginning of September the bot bought Bitcoin with half of the available investment amount and in November the other half followed. The recent price increase is driven by organic transactions and this could lead to a new all-time high, probably even this year. Similar to prior bullish market phases I do not expect that the bot will change its state often, but stick to its investment.
Update 10/19/20: After a long phase since May 2nd of not being invested the bot is currently invested with half of the maximum investment amount. The recent price crash did not change the state of the bot. If the price continues to rise above ~11,800$ we may see a huge price jump, because this is an important resistance with a history back to 2017.
Update 09/06/20: After a long phase since May 2nd of not being invested the bot is now invested with half of the maximum investment amount. However, the recent price crash was not anticipated. Nevertheless, the bot sticks to its decision and is maybe right. I think this was driven by a strong correlation to the stock market and its downturn. Therefore, we may see a strong comeback of bitcoin in the next weeks.
Update 08/21/20: The bot is not invested in Bitcoin since May 2nd, because it has a strong affinity to stay in the same state. It only reacts to market movements and does not change its state in sideway markets or after short breakouts. The recent price increase end of July did not lead to an investment. This could be due to the lagging indicators that require more time to lead to a buy signal. Let’s wait for an outbreak above 12,000$ and maybe then the bot turns bullish again.
Update 07/25/20: The bot is not invested in Bitcoin since May 2nd, because it has a strong affinity to stay in the same state. It only reacts to market movements and does not change its state in sideway markets. So let’s wait for an increasing volatility in the next weeks/months, when we leave the important support/resistance area around 9400$.
Update 06/21/20: The bot is not invested in Bitcoin since May 2nd, because it has a strong affinity to stay in the same state. It only reacts to market movements and does not change its state in sideway markets. So let’s wait for an increasing volatility in the next weeks/months, when we leave the important support/resistance area around 9400$.