Covesting August In Review: Volatility Across Crypto Shakes Up LeaderboardsThe month of August was as volatile as it was pivotal for cryptocurrencies like Bitcoin, Ethereum, Litecoin, and others.
Mid-cap altcoins exploded in value, helping to keep more important cryptocurrencies like BTC and ETH afloat at local highs and above support.
A fall into a bear market following one of the worst quarterly selloffs on record might have been narrowly prevented, and a reversal back into a bull market is still in the cards considering that a lower low was never put in on Bitcoin.
The total cryptocurrency market has reentered the bull zone on the RSI, but the market is still reeling considering how nasty the collapse now months ago was in hindsight. With traders of all skill levels unsure what to do next, even the Covesting leaderboards filled with experienced strategy managers saw some shake up.
Here’s the August Covesting leaderboards in review.
Number One Trader Retains Title, Loses Some Steam
To start, the reigning champion from the month before was able to hang onto the top spot, but unfortunately, not all of their profits. ChamelX is still crushing it on the Covesting leaderboards, but they did see their total profits fall from their all-time highs above 30,000%, suggesting the trader was caught off guard or feeling some pressure after the recent pullback in crypto.
At one point, ChamelX had made more than $1 million for their followers. Although that sum still isn’t too far off, it does show the importance of followers on Covesting regularly taking advantage of the take profit feature for followings.
Followers can periodically choose to take profit on a following, which closes out the current following, books profit, but doesn’t cause the follower to lose their place with the strategy manager. There is also a stop loss feature that closes out the following after a maximum drawdown is reached to protect follower capital.
Covesting gives followers similar risk management tools that the strategy managers have to trade with. The recent situation also stresses the importance of diversifying a one’s portfolio across several strategy managers so there’s less impact when a hot trader turns cold.
Newcomers Enter The Top Five In Just One Month
Looking at the chart above – one of the clear as day metrics available that followers can gauge strategy managers by – there was only a slight fall from grace. With this perspective it still shows just how far up ChamelX still is despite normal market movements causing some unrealized gains to disappear.
Elsewhere in the leaderboards, there was additional chaos. Several newcomers with just over a month active were able to take over the top five to ten traders ranked on the leaderboards.
Looking at the performance metric on the ranking snapshot page, each of the top four traders’ performance patterns are similar, suggesting they have similar trading styles.
Star Studded Strategy Manager Stands Out In August
However, pay close attention to the one verified strategy manager, BitcosaurusApp. This user might be ranked in 7th place so it seems less glitzy than number one or two, however, this is a four-star and commonly five-star trader and their performance is slow and steady.
This strategy manager is exactly the model trader that followers would want to diversify their portfolio with if they’re also going all in with traders like the top three. As we’ve learned from last month’s review. The top trader lost his way after risking too much too often, and ChamelX was able to take over. ETHMan today is no longer even in the top ten, after once having more than 20,000% profits themselves to show.
Will September Be One To Remember On Covesting And PrimeXBT?
The month of September is beginning, and it could lead to either a bear market or a clear continuation of the bull market in crypto. What this also means is that as volatile and chaotic as August was for the Covesting leaderboards, September will be one to remember.
Take a good look at the current Covesting leaderboard rankings above and remember them for the next review, and see which traders were able to stay strong in September using Covesting and PrimeXBT!
About Kim Chua, PrimeXBT Market Analyst:
Kim Chua is an institutional trading specialist with a track record of success that extends across leading banks including Deutsche Bank, China Merchants Bank, and more. Chua later launched a hedge fund that consistently achieved triple-digit returns for seven years. Chua is also an educator at heart who developed her own proprietary trading curriculum to pass her knowledge down to a new generation of analysts. Kim Chua actively follows both traditional and cryptocurrency markets closely and is eager to find future investment and trading opportunities as the two vastly different asset classes begin to converge.