BEST CRYPTO EXCHANGES
Pionex is one of the leading cryptocurrency exchanges offering built-in trading bots.
With access to 16 unique trading bots, allowing users to take advantage of these unique automated trading products for no additional fee.
Through automation, Pionex users remove the need to monitor the market and can free up time to focus on building and improving their trading strategy.
One of the leading products is the Dual Investment bot, which is a structured derivative product built on top of the cryptocurrency options market.
Sounds long-winded we know, but it’s really just a cash flow generating product that leverages the volatility of crypto options in the market.
The Dual Investment product bot falls into the category of an Earn product, and is labelled as such on other major crypto exchanges.
Yield products have revolutionised the crypto space and presented a unique opportunity for users to earn sizable profits for simply holding on exchanges like Pionex.
Pionex customers are spoiled, as they are able to earn a high annual percentage rate at the same time as reaping the benefits of being in the market.
There are various use cases for the Dual Investment bot, which we’ll discuss next in this article.
Benefits Of Dual Investment
Traders at Pionex can use the Dual Investment product without the fear of being forced out of their position due to liquidation, which is often the case if a position is inadequately collateralized and the price moves unfavourably.
In order to achieve this, the bot aggregates option orders, meaning short positions are all sufficiently hedged to eliminate the risk of forced liquidation.
Despite its versatility the product is surprisingly easy to use, simplifying a process that is normally tedious and requires a depth of understanding about options trading.
The platform is available through a fully fleshed-out mobile trading app, adapted to suit both Android and iOS operating systems, delivering a plethora of market data and pricing information to keep users up-to-date in the ceaseless crypto market.
Options trading is one of the more popular strategies, as it carries a fairly low level of risk, if managed correctly, and provides the user with complete control over the trade.
Users should aspire to achieve a sustainable ROI trading over a long period, which is more than achievable using the Pionex bot.
The final point we’ll touch on here is the benefits of compounding profits, opposed to an estimated %APR.
These kinds of fixed rate APRs often don’t allow people to reinvest the profits, as normally the payout comes annually or biannually.
With Pionex, users can reinvest profits from each round of the Dual Investment.
Allowing users to invest profits from each round of the product, will see an increase in the annualised ROI.
What Is Buying The Dip And Why Is Pionex The Place To Do It?
Buying the dip simply refers to purchasing stock when the price has dropped.
The hope when buying the dip is that the value of the stock will rise again, possibly rebounding to its previous price or higher.
The risk in buying the dip, is knowing where the bottom is and ensuring you capitalize on the right moment to purchase.
Generally speaking, buying the dip is a short-term price tactic and not something applied by seasoned day traders.
Moreover, experienced traders are never concerned with the price of stock, rather than ability to assess risk and capitalise on opportunities in the market.
By buying the dip, users are reliant on making educated guesses related to market timing, and this can be very risky.
Buying the dip at the right time and making sure the size of the dip is sufficient enough to find value is impossible.
However, with Pionex’s Dual Investment bot, you can lay out the specifics of the price drop that would trigger the bot to purchase more stock.
While buying the dip seems like the best way to make money, it’s no a strategy long-term investors entertain.
Many would argue that buying the dip in the crypto market is an extremely risky tactic.
This is due to the fact many cryptocurrencies and tokens don’t have underlying fundamentals, valuation metrics, or cash flows to provide data to traders and risk assessors.
As such, what might seem to be a huge dip, may in-fact be a permanent price crash and the asset will never return to it’s previous position—which is something we’ve seen many times in the last 6 months!
Closing Thoughts
Pionex has an MSB license with FinCEN in the United States, which is one of the most rigid regulatory bodies in thew world.
As such, customers can rest assured that their funds are safe and can enjoy the fruits of this innovative trading platform.
As one of the most-reputable products, the Dual Investing trading bot brings something new to the table and has caught the eye of many traders in the crypto space already.
Whether you’re buying the dip, or looking to capitalise on market opportunities using automated trading bots, Pionex is a one-stop-shop for crypto traders in 2023.
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Written by Thomas McGovern
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