Bitcoin Algo
Bitcoin Algo is a long-only algorithmic strategy focused exclusively on bitcoin. Rooted in quantitative metrics, our approach eliminates emotional biases from decision-making, ensuring that only solid numbers drive our portfolio adjustments.
What is Bitcoin Algo?
Bitcoin Algo is designed to outperform bitcoin, aiming for higher returns while reducing volatility in your portfolio. The algorithm benefits from price increases by buying bitcoin at the right times, and limits losses by selling at the right times.
How does Bitcoin Algo work?
Bitcoin Algo only holds two assets: bitcoin and/or euro. And exposure to these assets can range from 0 to 100 percent. To provide a comprehensive market overview, various sources are consulted once a day, such as on-chain data, derivative markets, and price trends. The strategy does not involve day trading or high-frequency trading. This makes Bitcoin Algo highly suitable for long-term investors.
Additionally, Bitcoin Algo takes volatility into account. If the algorithm identifies unfavorable market conditions and there is uncertainty in the market, a portion of bitcoin is automatically converted into euros. In favorable market conditions, the amount of bitcoin within the portfolio is increased.
When the algorithm recognizes a positive market outlook, it can hold a maximum amount of 100% bitcoin. In the case of prolonged upward prices, this means that the strategy cannot outperform bitcoin. However, the euro value of your portfolio will still increase with the bitcoin price.
The performance of Bitcoin Algo is calculated in bitcoin, not in euros. If the euro value of your portfolio increases but the strategy does not outperform bitcoin, then we do not charge performance fees. We only charge performance fees when the strategy performs better than bitcoin.
Why choose Bitcoin Algo?
Focus on bitcoin
Bitcoin Algo is our only off-the-shelf strategy that is entirely focused on bitcoin, the largest cryptocurrency. The algorithm is made with the purpose of outperforming bitcoin and you only pay performance fees if it succeeds in doing so.
Data is knowledge
The strategy is built upon the belief that data should be the driving force of all investment decisions. Whether information is gathered from macroeconomic indicators or on-chain models, all our quantitative signals are statistically supported based on economic and psychological theories and extensively tested by our team of experts.
Fully algorithmic
The Bitcoin Algo algorithm identifies the optimal amount of bitcoin in the portfolio and automatically carries out the necessary transactions to reach the correct strategy allocation.
Performance of the Bitcoin Algo backtest
Performance Bitcoin Algo
The chart shows the performance of the Bitcoin Algo strategy. Please note: The chart represents a backtest of the Bitcoin Algo strategy. It is not an actual track record but a theoretical representation of the strategy’s performance based on historical data. The results include associated costs (see product specifications).The Bitcoin (BTC) buy-and-hold strategy assumes zero costs.
The performance of our Bitcoin Algo strategy depends on the specific entry timing unique to each client. During certain periods, Bitcoin Algo may underperform compared to a Bitcoin buy-and-hold strategy. Actual results may vary depending on factors such as your start date and market conditions. Past performance is not indicative of future results.
Start with Bitcoin Algo?
- Fill in the interest form below.
- New to Amdax? First, open a new account.
- Sign the provided power of attorney.
- Ensure that the investment amount in euros is available in your Amdax account.
- You will receive a message from us once Bitcoin Algo is activated.
Want to learn more about Bitcoin Algo?
Algorithmic Investing with bitcoin
In October 2023, Amdax CEO Lucas Wensing and Quantitative Portfolio Manager Tim Stolte gave the presentation Algorithmic Investing with Bitcoin at the Bitcoin Amsterdam conference.
In this deep dive, they took the audience through the development of algorithmic strategies that outperform bitcoin. How do you determine the ideal entry and exit points and what indicators can you use for this?
Product specifications
Minimum investment
€100,000
Entry and withdrawal fees
1% on incoming/outgoing assets
Management fee
1.6% per year on the total AUM (Euros and digital assets), calculated in bitcoin
Performance fee
20% per year on the returns of the total AUM (Euros and digital assets), calculated using a high-water mark, with both AUM and the high-water mark expressed in bitcoin
Account fees
A monthly subscription fee of €19.95 applies to business or institutional accounts
Your crypto assets are kept safe and in full reserve. We charge 0.6% per year on the portion of digital assets in the total AUM, expressed in bitcoin. Transactions within the asset management portfolio are charged 0.2% per transaction.
Our website uses cookies
We use cookies to personalize content and advertisements, to offer social media features and to analyze our website’s traffic. We’ll also share information about your usage with our partners for social media, advertising and analysis. These partners can combine this data with data you’ve already provided to them, or that they’ve collected based on your use of their services.