Giovanni explains why falling markets cause liquidations and execution errors while rising ones are easy to trade. The team built an algorithm that identifies a power law bottom, a tuned level where capital is injected to cover large Bitcoin price moves.
I'm sure everyone in this chat will know if you've traded when price is going up. It's a very, very favorable condition that's very, very easy to trade. But the problem is when price is going down. This is where we see a lot of, you know, liquidations and errors and understanding how to execute trades correctly. So, at heart, what we've built in now, having Giovanni as a part of, you know, a partner and a part of the team, is an algorithm that's built with the power law in mind. At its heart, all the trading will happen. Irrelevant to that. All that matters is where the power law bottom is. We tune the power law bottom to be a level where the majority of the capital gets injected. And essentially, the algorithm has the ability to cover massive amounts of Bitcoin's price.
