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Why Investing At Least 50 USDT Makes a Difference in Copy Trading

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Why Investing At Least 50 USDT Makes a Difference in Copy Trading

Introduction

In the ever-evolving world of cryptocurrency trading, Bitget has emerged as a frontrunner with futures copy trading modes: Smart Copy and Diverse Follow. These modes offer our traders the opportunity to mirror the strategies of experienced traders, streamlining the trading process. However, a key aspect to successful copy trading lies in the investment amount, with Bitget setting a minimum threshold of 50 USDT. In this article, we delve into why this minimum investment is crucial for maximizing the success rate and returns in copy trading.

Enhancing the Success Rate of Following Orders

Case Study: Smart Copy Trading Mode

Consider a scenario in Smart Copy Trading where a trader uses a leverage multiple of 3, leading to a total investment of 18,000 USDT. The trader executes four different orders with varying margins and prices. For instance:

Trader

Position

Margin (USDT)

Margin ratio

Opening price

Closing price

Order 1

0.1 BTC

976

5.42%

29,280

29,135.1

Order 2

0.1 BTC

990.8

5.50%

29,724

29,336.9

Order 3

0.1 BTC

975.6

5.42%

29,268

28,500

Order 4

0.1 BTC

980.8

5.45%

29423.3

28,500

Follower

Investment amount

Number of copy trading orders

Return (USDT)

User A

50

4

2.22

User B

5

0

0

In this scenario, two followers, User A and User B, demonstrate the impact of investment amount on the success of copying orders. User A invests 50 USDT and successfully follows all four orders, yielding a return of 2.22 USDT. In contrast, User B, with only a 5 USDT investment, fails to follow any orders due to the amount being lower than the minimum required by copying rules.

This example illustrates how a minimum investment of 50 USDT improves the likelihood of successfully following orders.

Achieving Higher Returns for Followers

Example of Varied Returns Based on Investment Amount

Follower

Investment (USDT)

Return (USDT)

Number of copy trading orders

User A

50

2.22

4

User B

10

0.1449

1

Continuing with the same trading scenario, the difference in returns between two followers with different investment amounts is stark. While User A, with a 50 USDT investment, enjoys a return from all four orders, User B, investing only 10 USDT, can only successfully follow the first order. This results in a significantly lower return of 0.1449 USDT. The limitation in investment amount restricts User B’s ability to participate in subsequent profitable trades, highlighting the advantage of a higher investment threshold.

Conclusion

The minimum investment requirement of 50 USDT in Bitget's copy trading serves two primary purposes: ensuring a higher success rate in following orders and enabling followers to reap more substantial returns. This threshold aligns with Bitget's commitment to providing users with a robust platform that maximizes their chances of success in the dynamic and often complex world of cryptocurrency trading.

For more information, visit the below guidelines:

Bitget Copy Trading: Follower’s Copy Order Limit | Bitget

What is Smart Copy?

About Diverse Follow

Guidelines for Futures Copy Trading: Diverse Follow Mode

Who Should Opt for Smart Copy and Diverse Follow Modes?

larkLogo2024-01-24
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