Copy trading is a popular tool in cryptocurrency investment. It is essentially about replicating the successful strategies of influential crypto traders.
But whose lead might you follow?
Thousands of crypto investors, traders, and influencers are keen to provide their market opinion and approach should you want them. If you are considering copy trading, there are plenty of examples to follow.
However, sorting the wheat from the chaff can be a job in itself. Here, I profile five influential traders who have earned a reputation for success in crypto investment.
Copy Trading and a Warning
Copy trading is a handy feature that has made the leap from traditional stock trading to crypto.
On some platforms, it is possible to access the moves of successful traders should you wish to copy their strategy directly.
In other cases, you can study their actions independently – or from what they share on their social platforms – to define an investment strategy based on their approach.
Remember, though, that historic success is no guarantee that the strategy will work again. However much someone else made, there’s no assurance that copy trading will deliver the same results for you.
Online Personalities
Accurate crypto trading insights and tips can be invaluable, which is why many people are keen to follow the journey of successful investors through social media channels.
But, as ever in cryptocurrency, you need to be on your
guard and conduct due diligence. Just because someone with 100k followers on Twitter says it, that doesn’t automatically make it true.
Some will post outspoken and even boastful content to attract followers and clicks, because there is value in having an audience and engagement.
Some social media influencers are kept on retainer by crypto projects because of their following. This agreement can mean undue prominence is given to altcoins that turn out to be nothing more than pump-and-dump schemes.
Before putting your faith in a crypto trader you’ve found on Twitter or Instagram, weigh things carefully. Copy trading, like any form of investment in the volatile crypto markets, carries a risk that you must be aware of.
Be cautious about how much faith you put in someone’s online opinions and always be questioning of their motivation.
Never risk more than you can afford to lose and always do your own research.
Copy Trading Examples
With all of that in mind, we turn to my guide to five online personalities who have been influential in the world of crypto trading.
These are people whose reported trading successes have helped shape other people’s investment strategies and move markets.
How much you let any of them, or anyone else, influence your decisions is entirely a matter for you. Please bear in mind my earlier warnings.
In compiling this list, I am not endorsing any of the profiles mentioned.
Online Crypto Traders
Chicago-based Satoshi Flipper had one of the largest crypto Twitter (CT) followings during the bull run of 2021. Flipper disappeared from the public eye at the height of his popularity after his parents caught Covid. Many followers valued his clear and no-nonsense opinion, with his macroeconomic insights proving particularly popular.
The ever-popular ShardiB describes herself as a macro-first crypto scalper and swing trader, and a long-term BTC and ETH holder. Based in the US, Shardi has 200k+ followers and is known for her transparency and warm rapport with her audience.
Devoted Arsenal fan Goomba has built himself a steady reputation with accurate calls and timely advice. The owner of a paid Discord group, Goomba is known for a no-nonsense attitude.
With 380,000+ followers, Income Sharks is one of the most popular crypto traders on Twitter. Well-respected opinions are complimented by crypto and market education and analysis. Also the owner of a paid Discord group, Income Sharks has been providing advice since 2015.
Co-founder of NFT project Wonky Stonks, Kaleo has been active on Twitter since late 2017 and is a popular crypto trader with more than 565,000 followers. With a background in engineering and options trading, Kaleo’s opinions and trades are followed closely by a vast army of loyal fans.
Copy Trading Conclusion
If you are keen to follow the successful investment strategies of others, then copy trading is worth considering.
If you prefer not to use a direct copy trade tool, which can be found on many exchanges, you can follow social media influencers who share their tips and insights into cryptocurrency buying and selling.
The list above is just the tip of the iceberg. There are many more you may find more to your taste.
However you approach it, just bear in mind that you need to:
- research the information you read
- acknowledge what may be influencing the content of social posts
- be prepared for the fact that previous success is no guarantee of future rewards
You also need to be on your guard against the ever-present menace of pump-and-dump schemes and online criminals attempting to defraud unwitting investors.
By all means, take advantage of the often great advice that exists out there – but always do so with an element of caution.
