Turning $20K of Bitcoin & Ethereum into $1M using Grid-Bots — 55% ROI after first month
Abstract
After 1 month of initiating my grid bot strategy (see Figure 1), I converted an initial investment of $6,506 ($3,143 on BTC and $3,363 on ETH) into $10,105 which is a 55.3% return in 30 days. In comparison, BTC generated 34.76% return in the same time period while ETH did 21.7%. If this rate of return persists, this would mean I could achieve more than $1M within 13 months even though I started with $6,506 instead of $20,000 like originally planned. However, 55% was a bit exceptional in the first month, but we had a decent pull back in the last week, so maybe 55% average might not be too far from the truth.
Last crypto bull run, Bitcoin surged 700% between February 3rd, 2020 ($8,509) and November 8th, 2021 ($69,044). Meanwhile, Ethereum accrued 4,474% from $106 to $4,850 for the same time period. Given the ETF approval and institutional capital being deployed into few crypto-assets such as Bitcoin & Ethereum, it is believed similar returns could be expected pushing the price of Bitcoin beyond $250,000 per BTC (500%+), while Ethereum could surge to $18,000 (629%+). However, such returns are no longer large enough to convert a $20,000 investment into a $1,000,000+, for this reason, I will be using a grid-bot strategy with leverage to maximize my returns. Note, that this is not financial advice, I’m simply describing one of many of my strategies that I will use to generate life changing money for myself. These strategies are highly risky and could lead to a complete loss of capital. As well, I will readjust my strategy along the way to adapt to market conditions and I will describe such time-sensitive changes on x.com/Crypto_Rookies. This progress update will discuss the returns achieved after the first month.
Introduction
Every four years, the crypto industry undergoes massive growth until the market crashes again. If timing follows historical patterns, the next crash may be somewhere after mid 2025. Until then, it is likely that the momentum from Bitcoin & Ethereum ETFs will fuel early growth into the market. While the bull run is underway, there will be large fluctuations, sometimes even up to 30% downturns, and any strategy must be able to resist such quick price collapse. In this article, I will describe one of my strategies that utilize grid-bots to trade on my behalf hundreds of times a day on micro-fluctuations on the price of Bitcoin, Ethereum. I will utilize leverage up to 10X maximum and ensure a potential 30% collapse will not liquidate my assets. Thus far, I was able to achieve 55.3% ROI in the first month using an initial capital of $6,506 which is now sitting at $10,105.
You may also refer to my other strategy that I implemented on January 1st, 2024 to also turn $25,000 into $1,000,000 with an aggressive diversified crypto-portfolio which is less likely to be liquidated.
Strategy
Please refer to my earlier post for an explanation of the strategy.
As of March 21, 2024, the price of Bitcoin underwent a correction in the last week, and the downward trend may not be totally over. Regardless on March 4th, I activated a new bot for BTC with an entry price of $65,491.90 with a range between $59,429 and $90,000 (this level was picked based on the 2.618 fibonacci level. This bot is currently offering a 25.32% return. However, I have a bit of additional capital sitting on the side ready to add to my margin to prevent a liquidation. Since my liquidation price is $51,876.40 (which was carefully adjusted to be under the $52,506 support zone) I don’t believe it is in current danger, but my bot for Ethereum might be a bit more at risk.
This is also corroborated on the potential liquidation zone on Coinglass.
I also activated a new grid bot for Ethereum on Feb 29, 2024 with an entry price of $3,487.39 with a range between $2,700 and $4,800. Thus far, I’m up 16.92% on that bot, however in the last week the price of ETH was getting a little uncomfortable, so I moved additional capital into the account to add to my margin and prevent a potential liquidation if the price would shoot down below $2.700.
We may not be entirely recovered from the dip, so I’m ready to deploy the capital to move my liquidation price down below $2,200.
Summary
Once a month, I will publish an updated blog post on the results and discuss if I am on track to achieve my goals. Meanwhile, do not forget to follow me on Twitter (x.com/Crypto_Rookies) to get more time-sensitive changes to my trades for any of my investment strategies. While such returns seem out of reach, I have achieved much higher returns in the last crypto bull market, however I had not learned to take enough profits before the market crash even if I knew it was starting to overheat. I strongly advise anyone who follows me to not make this mistake, and make sure to understand that everyone is a genius in a bull market, but taking profits along the way can feel bad until there is a significant collapse at which point you’ll very much appreciate the sacrifice.
Check out the latest update, and the initial one.
About
Crypto Rookies is a crypto investor, serial entrepreneur in Artificial Intelligence and Web3/crypto with expertise in tokenomics and market making. Currently CEO of Smooth, which focuses on solving the problem of 95% of crypto-currencies failing in their first 2 years.
Smooth prevent such failure by:
1) Community building with AI (don’t waste money on marketing & influencers)
2) SEC-compliant Tokenomics
3) Market Making (hybrid between stablecoins & altcoins)
4) Treasury management (10%-100% APY depending on risk)
This blog channel generates 20,000+ views per month on the topic of tokenomics and crypto investments, so if you are interested in becoming a sponsor, please reach out to Crypto Rookies.
Meanwhile, please feel free to join the various communities I am involved in and do not hesitate to reach out.
- YouTube Channels: Mikhail Yergen and Cyrator
- Cyrator (a transparent and reliable token review/ranking community where anyone can join, contribute and earn)
Also check out some of the early stage crypto assets that I’m actively using:
- GRVT, it’s a Decentralized zk-powered crypto exchange.
- MarginFi, it’s a peer-to-peer lending protocol on Solana.
- Drift, it’s a Decentralized crypto exchange on Solana.
- Swell, it’s a liquid staking protocol to use in conjunction with EigenLayer.
- Linea, a layer 2 protocol of Ethereum using ZK technology.
- GetGrass, a DePIN project for shared internet bandwidth with an upcoming data labelling system
Use my referral code below for various crypto tools used for trading:
Centralised Crypto Exchanges to trade with Leverage and Grid Bots:
