One of the main conditions for success in the world of digital money is to learn about important information earlier than others. Services that monitor news feeds, transfers of large tranches, and so on will help to do this.
The rise and fall in the value of digital coins often follows news stories. For example, on October 25, Chinese President Xi Jinping announced the need to introduce blockchain into the country's economy as one of the key technologies. After that, Bitcoin rose in price by almost 40% within two days, from $ 7,400 to $ 10,300. At the same time, Chinese cryptocurrencies began to rise in price. In 4 days, the TRON token rate has risen by 50%, and NEO – by 100%.
A trader who is the first to receive information about important events on the crypto market is able to respond quickly to them, and accordingly, has more chances to make money on rate fluctuations. This is done by bots, applications and services that run in the browser, on mobile devices and on social networks.
Alarm clocks and news aggregators
Cryptopanic.com is an aggregator site that collects real-time news from the cryptocurrency industry from information portals, YouTube channels, Reddit threads, social media accounts of influential representatives of the cryptoindustry and other sources. There is an option to sort by languages, regions, currencies and topics. Analogs: CryptoControl.io, CryptoNews.net.
"Crypto alarm clocks" will help to monitor price fluctuations. For example, if the Bitcoin rate is approaching the current resistance level of $ 10,000 or any other critical level, so as not to miss this, you can request an alert through the free platform cryptocurrencyalerting.com.
Most of the top exchanges and 6403 digital coins are available for monitoring. Signals about a change in their course can be received by mail, SMS, Telegram and in other ways.
A multi-platform and more modern analogue is the coindera.com application. It can track the rate of more than 11 thousand cryptocurrencies, but the free version allows you to set only five active alerts at a time.
Twitter bots
Twitter has several automated accounts that report large, abnormal, or suspicious cryptocurrency transactions. One of these bots is Whale Alert. For example, on November 27, he recorded the withdrawal of 342 thousand ETH from the Upbit exchange, later information about the hacker attack was confirmed.
When the head of the trading platform spoke about this, the rate of Ethereum and other cryptocurrencies began to decline. This may be due to the fact that traders began to get rid of their coins, fearing a market drop due to a sharp sale of stolen assets. Whale Alert made it possible to predict the market reaction, as it recorded an unauthorized withdrawal before Upbit informed about the hack.
The bot also reports large cryptocurrency receipts to marketplaces and cold wallets. Based on this data, it can be assumed what attitude the major players are in: storing coins for the future or transferring them to exchanges for sale.
Another Twitter bot, Scam alarm, informs about possible fraudulent projects on the crypto market. For example, at the end of December, he announced the sudden shutdown of four out of ten nodes in the Hedera Hashgraph network and the transfer of millions of HBAR tokens to the Binance exchange. Following this, the altcoin rate fell by 18% during the day.
Telegram bots
Telegram also has Whale alert and its Russian counterpart Walletscan. The latter allows you to set up a daily mailing with the rates of the largest cryptocurrencies in terms of capitalization. Otherwise, the bots do not differ in functionality, but there are a lot of movements in the digital money market, so one of the programs can fix what the other will miss.
The Telesig bot informs about strong changes in the price of cryptocurrencies and large transactions on the Bitfinex exchange. In the case of buying a large amount of BTC with one order, he publishes the green apples symbol, and when selling – red ones. As with Whale Alert, this information can be used to understand the strategy of large investors.
You can also judge the market sentiment using the FOMO_Bot. It allows you to collect information about open long and short positions on the Bitfinex, OKEx exchanges and some information from other trading platforms.
Mobile applications
If you believe the theory about the impact of news on cryptocurrency rates, then a sharp increase in their value occurs immediately after messages from blockchain projects about updates, new partnerships and other important events. For example, on February 4, the ICON token (ICX) went up in price by 70% in a few hours. This happened after the startup team announced the launch of a new product on their Twitter account.
In order not to miss such events, you can use the free Blockfolio app. It allows you to connect to social media accounts and follow startup messages. The program also has a built-in "crypto alarm" function for 8 thousand coins and 300 exchanges.
The most popular cryptocurrency market monitoring apps are Coinmarketcap and Investing. Each runs on iOS and Android, has a "crypto alarm" function, collects important news from the industry and allows you to control your investment portfolio. You can specify which assets were purchased and at what price, and keep track of what happens to your money.
A warning
In 2017-2018, they became useful, which is why bots for arbitrage became popular. They report the opportunity to buy a coin on one exchange and sell it profitably on another. However, now there are scammers who use this information to deceive traders. Earlier, we have already talked in detail about how not to lose your cryptocurrency on Telegram.
You can look for opportunities for arbitration yourself. To do this, you need to go to an information site with cryptocurrency rates, such as Coinmarketcap, select a coin and see how much it costs on different exchanges.
But, both in the case of using bots for arbitrage, and in the case of an independent search for such opportunities, there are a number of risks. Firstly, a trader can accidentally transfer a cryptocurrency to a bankrupt exchange, and it will be impossible to withdraw money from it. Secondly, there is a possibility that the transaction will freeze for several hours, and at this time the price of the sent coin will collapse.
It is impossible to make money on everything that happens on the crypto market. However, the use of these services can increase the chance that a trader will not miss an important event in the life of a blockchain project or the entire industry. In addition, you can subscribe to your Telegram channel or Twitter accounts to catch big traffic.