Introduction

Trendbot 

• Managed
• Volume
• Managed vs Volume
• Potential Application

Marginbot

• Managed
• Volume
• Managed vs Volume

Conclusion

 

 

Introduction 

 

Tradeium began tracking the performance of its two trading bots, Trendbot and Marginbot, across many different settings starting March 1st, 2021. The first 6 months concluded August 31st, 2021 with impressive results that we will share in this review. 

 

 

TrendBot

 

Trendbot was the first trading system added to Tradeium. It uses the Spot Account on Binance which features a wide selection of coins to choose from. It uses a dual-momentum trading system which aims to allocate greater positions to coins in the strongest uptrends, while hiding in USDT (or soon to be BUSD option) in downtrends. 

 

Trendbot Managed Portfolios

 

Managed Portfolios had an average return of 195.9% while BTC was down -1.9% during the first 6 months of tracking. Breakout significantly outperformed all other managed portfolios at a whopping 730% return, a solid 8.4x gain on your BTC. 

 

Breakout, Nomics, and DeFi started March 1st, 2021. NFT and Polkadot portfolios were regrettably added a month later on April 1st, 2021 with a poor average performance of -26% return between the two. Fortunately not many users selected these portfolios. 

 

 

Trendbot Volume Portfolios

 

Volume Portfolios almost performed as well as Managed Portfolios with a return of 188.3%. The best performing portfolio was LowVol20 with 393%. The other Volume Portfolios also performed extremely well, with the weakest portfolio being Top5 at 31.2%, still significantly higher than BTC with a loss of -1.9%.

It appears a higher risk portfolio paid off during this period as LowVol20 would be the riskiest, followed by Top20, Top15, Top10, then Top5. The returns followed the same pattern as the risk of each portfolio. Perhaps when the market becomes bearish, the higher risk portfolios will perform worse, we will have to wait and see!

 

Trendbot Managed vs Volume Portfolios 

 

Managed Portfolios had the big lead right out of the gate, but failed to make new all time highs in August from the previous April high. Volume Portfolios appeared to be more consistent and lost less than Managed Portfolios and BTC during the bearish period from May to July. 

 

Potential Application

 

Many Tradeium users like to trade between different portfolio options. Based on this review one might conclude Managed Portfolios (such as Breakout) may be good during highly bullish periods with extreme uptrends where some coins may go up 10x quickly like CHZ back in March. While sticking to Volume Portfolios (excluding higher risk LowVol20) during other periods such as in downtrends or weak/strong uptrends. But as the result showed, running multiple portfolios and letting them sit over time is not a bad approach. 

 

 

MarginBot

 

MarginBot builds off the dual-momentum trading strategy of Trendbot, but uses a third layer of momentum to allocate leverage positions during ideal market conditions. It uses the Margin Account on Binance to fulfill these leverage positions. The coin selection is more limited than the Spot Account so the portfolio selection is also more limited. 

 

Marginbot Managed Portfolios

 

Managed Portfolios had an average return of 204.97% beating Trendbot managed portfolios and BTC at  195.9% and -1.9%, respectively. Again, breakout took the lead with 805.5%, a 9.2x gain on your BTC. The worst performing portfolio was DeFi with -34.3%, not far behind NFT at -32.5%.

 

 

Marginbot Volume Portfolios

 

Marginbot Volume portfolios had an impressive average return of 329.7%, with Top20 and Top15 performing the best at 855.3% and 583.8%, respectively. 

 

Unlike Trendbot LowVol20, it did not outperform other portfolios at just 72.3% vs Trendbots 393% gain. This may be do to the wider selection of coins Trendbot has access to with the Spot Account. Many, if not most, of the coins in LowVol20 for Trendbot were not available for Marginbot LowVol20.

 

 

Conclusion

 

In conclusion, Trendbot and Marginbot significantly outperformed BTC during the period being tracked from March 1st, 2021 to September 1st, 2021. 

 

 

As can be seen from the table below, Trendbot and Marginbot significantly outperformed BTC during bullish periods, and also lost less during bearish periods thanks to the dual momentum strategy the bots are based on.